Odisha hikes incentives to promote EVs
Notable because
Odisha has amended its 2021 EV policy to provide higher purchase incentives to EVs across all categories to boost EV adoption in the state. It now extends INR 5,000/kWh to e-2W and INR 10,000/kWh to e-4W, with ceilings of INR 20,000 and INR 1.5 lakh, respectively. E-3W will also receive a flat subsidy of INR 30,000.
What to look out for in the months ahead
A CEEW-CEF analysis demonstrates that states with higher incentives record superior EV volume growth. Tthis move towards higher subsidies may see a more successful greening of Odisha’s transport sector, which currently sees low EV volumes and penetration levels of just 5 per cent. Presently, only 80 out of the country’s 500 EV original equipment manufacturers (OEMs) operate in the state,
this move may provide greater confidence to them to enter this market.