Electric vehicle policy by December

The Centre is planning to unveil a new electric vehicle policy by December with an aim of a mass scale shifting to battery-powered vehicles by 2030 in the country.

The policy, which is being worked out, will have schemes to encourage electric vehicles  (EVs) both for manufacturers as well as users, Union Road Transport and Highways Minister Nitin Gadkari said here on Monday.

Gadkari, who is scheduled to launch battery-powered electric vehicles mainly buses, autos and taxis in Nagpur next week, said the future of the auto mobile industry is electric vehicles. An inter-ministerial panel led by the Niti Aayog is preparing the policy to promote usage and convert most vehicles to electric mode by 2030.

The ministers of road transport, power, petroleum and heavy industries are members of the panel.  In the first phase, the government aims to convert public transport vehicle like buses, autos and taxis as e-vehicles, and in the next phase it will target commercial vehicles.

In the third phase, the project will be expanded to private vehicles, an official in the road transport ministry said.

The Niti Aayog has already pitched for restricting the registration of diesel and petrol vehicles saying that the adoption of electric and shared vehicles could save $ 60 billion in fuel cost by 2030.

A joint report prepared by the Niti Aayog and Rocky Mountain Institute had recently suggested that the government should limit the registration of conventional vehicles through public lotteries and complement this measure by giving preference to EVs as is being done in China.

It also suggested that government should consider more tax incentives to promote EVs so that they can be made available to people at reduced cost.