UP Cabinet Approves New Electric Vehicle Policy, Sets Target To Procure 73 Lakh Metric Tonnes Of Paddy

In the meeting, chaired by Uttar Pradesh Chief Minister Yogi Adityanath, the Cabinet also gave its nod to develop a 'shani parikrama path' in the holy city of Mathura.

The Uttar Pradesh Cabinet on Thursday approved a new electric vehicle policy and set a target to procure 73 lakh metric tonnes of paddy. In the meeting, chaired by Uttar Pradesh Chief Minister Yogi Adityanath, the Cabinet also gave its nod to develop a 'shani parikrama path' in the holy city of Mathura to attract more devotees.

Besides, the Cabinet has also approved a plan to procure one lakh metric tonnes of maize, 50,000 metric tonnes of millet. The government said new maize purchasing centers will be opened in 25 districts and for bajra in 18 districts.

The new electric vehicle policy has been developed as the government wants to promote the manufacture and operation of electric vehicles in the state. It proposes to give various exemptions to electric vehicle firms to set up manufacturing units in the state.

The main objective of the EV policy is to make the state a global hub for the manufacturing of electric vehicles, batteries and associated equipment.

As per the draft of the UP Electric Vehicle Policy 2022, a 15 per cent rebate will be given on the purchase of two or four-wheeler electric vehicles, e-buses and a 100 per cent discount on their registration and road tax in the state, IANS reported.

For the first three years after implementation of the EV policy, a 100 per cent exemption will be given for the registration of electric vehicles and road tax. In the fourth and fifth year, 50 per cent relaxation will be given.

A discount of 15 per cent (maximum Rs 5,000) on the factory price of the vehicle will be given on purchase of a 2-wheeler electric vehicle for a period of one year from the date of issue of the EV policy, the report further said.

Government employees will be encouraged to buy EVs, for which advance will also be allowed by the state government.

The new policy provides capital subsidy at the rate of three per cent on investment subject to maximum Rs 1,000 crore per project to maximum first two Ultra Mega battery projects, investing Rs 1,500 crore or more each for setting up battery manufacturing plants in the State of minimum production capacity of 1 GwH.

Also, the policy provides stamp duty reimbursement to the manufacturers, which is at the rate of 100 per cent to Integrated EV Project and Ultra Mega Battery project for setting up facility anywhere in the state.

(With inputs from IANS)