India EV incentives
byΒ PLUGGED IN RIDEΒ |Β Feb 12, 2026Β |Β Uncategorized
| IndiaΒ | In 2026, India is boosting electric vehicle (EV) adoption through theΒ PM E-DRIVE Scheme, offering upfront purchase subsidies (approx. βΉ15,000/kWh for 2Ws) and robust charging infrastructure support. Key incentives includeΒ lower 5% GST, income tax deductions of up to βΉ1.5 lakh on loans, and state-specific waivers on road tax and registration.Β Key 2026 EV Incentives & Policies: PM E-DRIVE SchemeΒ (2024-2026):Β Provides immediate purchase discounts on 2W and 3W, focusing on performance-based criteria like a minimum 80km range and 40 km/h speed. Manufacturing Incentives (PLI):Β The Production Linked Incentive scheme provides 13% to 18% support for auto components to foster local production. Import Duty Concessions (SMEC):Β New guidelines allow reduced 15% import duties on EVs for manufacturers investing at least $500 million and setting up local manufacturing within three years. Income Tax Benefit:Β Under Section 80EEB, individuals can claim up to βΉ1.5 lakh in interest deductions on loans for purchasing electric vehicles. Charging Infrastructure:Β A βΉ2,000 crore allocation supports the deployment of public charging stations nationwide. State-Level Incentives:Β States like Delhi, Maharashtra, and Gujarat offer additional, specific subsidies (e.g., up to βΉ30,000 for e-bikes in Delhi) and full registration/road tax exemptions. These incentives aim to reduce the upfront cost of EVs, with a strong focus on two-wheelers and commercial vehicles.Β |
