India’s electric vehicle (EV) revolution isn’t just driven by central government policies — states across the country are launching their own ambitious EV policies to fast-track adoption, reduce emissions, and create local manufacturing ecosystems. From subsidies on electric two-wheelers to free registration and road tax exemptions, Indian states are competing to become the EV hubs of the future.
Delhi – The EV Pioneer
Policy: Delhi EV Policy 2020 (revised in 2023)
Two-Wheeler Subsidy: ₹5,000 per kWh of battery (max ₹30,000)
Benefits:
Scrappage incentive up to ₹5,000
100% road tax & registration fee exemption
Charging infra with ₹6/kWh cap for public stations
Focus: Clean air, public transport electrification, last-mile delivery
Maharashtra – High Subsidy & Infra Focus
Policy: Maharashtra EV Policy 2021
Two-Wheeler Subsidy: ₹5,000 per kWh (up to ₹25,000)
Incentives: Early bird incentive of ₹5,000 (for vehicles purchased before deadline)
Infra Support: Targets 2,500 public charging stations
Focus Cities: Mumbai, Pune, Nagpur
Tamil Nadu – EV Manufacturing Hub
Policy: Tamil Nadu EV Policy 2023
Subsidy: Primarily focused on manufacturing support
Investor Perks:
100% stamp duty exemption
Capital subsidy for OEMs and battery makers
Why It Matters: Ola, Ather, and Simple Energy have major plants in Tamil Nadu
Karnataka – First Mover in EV Policy
Policy: Karnataka EV & Energy Storage Policy 2017 (updated 2021)
Focus: Industry promotion, R&D, and infra
Incentives:
Road tax exemption
Encouragement of battery swapping tech
Hub: Bengaluru – a strong startup ecosystem for EV innovation
Gujarat – Maximum Financial Incentives
Policy: Gujarat EV Policy 2021
Subsidy: ₹10,000 per kWh (capped at ₹20,000 for e-2W)
Benefits:
Highest per-kWh subsidy in India
No road tax or registration fee
Focus: Clean energy adoption and affordability
Uttar Pradesh – Mass Adoption Focus
Policy: UP EV Policy 2022
Subsidies: ₹5,000/kWh up to ₹20,000 for e-2W
Production Focus: 100% exemption in stamp duty for EV manufacturing
Charging Infra: Plans for 20 charging stations per district
Goal: Become India’s EV manufacturing leader by 2027
Telangana – Startup & Infra Friendly
Policy: Telangana EV & ESS Policy 2020
Highlights:
Full road tax & registration fee exemption
100% stamp duty refund for EV units
Special incentives for EV startups
Infra: Rapid EV charging network in Hyderabad
Kerala – Sustainability First
Policy: Kerala Electric Vehicle Policy 2019
Focus:
Promote e-autos, e-buses, and e-2Ws
1 million EVs by 2026 target
Subsidies: ₹10,000 on electric scooters (select cities)
Model: Strong push for shared and public electric mobility
Andhra Pradesh – Investor Friendly
Policy: AP Electric Mobility Policy 2018-23
Incentives:
Capital subsidy
Interest-free loans for charging infra
Focus: Green energy integration, e-mobility clusters
Other EV-Active States to Watch
State | Highlights |
---|---|
Punjab | Road tax exemption & subsidy on e-2Ws |
Haryana | Up to ₹20,000 subsidy on e-2Ws, local incentives |
Rajasthan | ₹5,000-₹10,000 subsidy on e-2Ws, focus on rural EVs |
West Bengal | Focus on public transport electrification |
Madhya Pradesh | Developing EV parks and charging infra |
India’s EV growth is not one-size-fits-all. While some states focus on consumer subsidies, others are building EV manufacturing ecosystems or investing in infrastructure. The state you live in can significantly impact how affordable and accessible your EV purchase will be in 2025.