Himachal Pradesh Approves Draft EV Policy

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The EV Policy, which was proposed earlier this year by transport minister Anupam Kashyap, was approved in a Cabinet meeting chaired by chief minister Jai Ram Thakur

Following the cue of several other Indian states, Himachal Pradesh Cabinet has now approved the Draft Electric Vehicle Policy to promote electric mobility in the state and make it a hub for EV and related components manufacturing.

The EV Policy, which was proposed earlier this year by transport minister Anupam Kashyap, was approved in a Cabinet meeting chaired by chief minister Jai Ram Thakur.

With this new EV Policy, the state government aims to promote sustainable, safe, eco-friendly, inclusive, and integrated mobility solutions, and establish Himachal as a model state for electric-vehicle (EV) adoption among hilly states.

The primary objective is to make battery electric vehicles (BEVS) form at least 15 per cent of the new vehicle registrations by 2025.

The policy aims to make three cities-Shimla, Baddi, and Dharamshala- model cities for EV readiness and adoption. Besides, it also envisages the electrification of Himachal Road Transport Corporation (HRTC) buses and cabs.

The government would incentivise the adoption of EVs across segments and also create a network of public charging stations. At least one charging station would be made available within every 1km x 1km grid in major cities and towns, and at least one slow-charging station (on each side) will be created every 25km on state highways.

At least one fast-charging point (on each side) every 50kms on busy national highways will also be deployed.

With regards to funding, an umbrella state EV fund will be created using a ‘feebate structure’, where fees are applied to ICE vehicles to raise funds that are returned as rebates in the form of incentives.

The state EV fund will be capitalised from sources such as additional road tax and/or registration fees charged to ICE vehicles, green tax on ICE vehicles registered in the state, pollution cess on petrol and diesel vehicles sold in the state.

Under the policy, all EVs have been exempted from payment of road tax under the Himachal Pradesh Motor Vehicles Taxation Act. Commercial EVs have also been exempted from requiring permits.

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