Telangana government grants exemption on road tax and registration fee for electric vehicles

By exempting electric vehicles from road taxes and registration fees, Telangana aims to make EVs more accessible to the public, businesses, and public transport services.

Published Nov 17, 2024 | 7:05 PM ⚊ Updated Nov 17, 2024 | 7:05 PM

Tax exemption for electric vehicles in Telangana

An electric vehicle being charged. (UNDP)

In a significant move to promote electric mobility, the Telangana government has announced a 100 percent exemption from road tax and registration fees for electric vehicles (EVs) registered in the state.

The exemption, which applies to a wide range of electric vehicles including two-wheelers, four-wheelers, e-autos, taxis, tractors, and buses, will be in effect until 31 December 2026.

This decision, formalised in a Government Order (G.O.Ms.No.41) issued on 16 November, 2024, comes as part of the state’s ongoing efforts to encourage the adoption of electric vehicles under the Telangana Electric Vehicle & Energy Storage Policy 2020-2030.

#Telangana: 100% exemption on road tax and registration fees for electric vehicles such as two-wheelers, four-wheelers, e-autos, taxis, tractors, and buses till 31 December 2026. pic.twitter.com/J3lL1SjwwH

— South First (@TheSouthfirst) November 17, 2024

Promoting sustainability

The policy aims to accelerate the shift towards sustainable transportation by offering incentives such as road tax and registration fee exemptions for electric vehicles purchased and registered within the state.

The exemption applies to various categories of electric vehicles, including:

Electric two-wheelers
Electric four-wheelers (both commercial and private)
Electric three-seater auto rickshaws (in both GHMC and non-GHMC areas)
Electric light goods carriers and three-wheeled goods vehicles (in GHMC and non-GHMC areas)
Electric tractors
Electric buses, with the exemption applying for the entire life of the vehicle if operated by the Telangana State Road Transport Corporation (TSRTC). Industry-owned buses used for transporting employees are also eligible, provided they are not used for commercial purposes.

Reducing carbon footprint

The move is seen as a major step towards reducing the state’s carbon footprint and boosting the adoption of eco-friendly transportation solutions. Telangana is emerging as a key player in the push for green mobility in India, and this latest initiative is expected to further accelerate the transition to electric vehicles.

The Telangana government’s decision aligns with its broader goals to promote sustainable energy solutions and reduce pollution in urban areas. By exempting electric vehicles from road taxes and registration fees, the state aims to make EVs more accessible to the public, businesses, and public transport services.

As the deadline for the exemption is set to end on 31 December, 2026, the government is encouraging vehicle owners and operators to take advantage of the incentive and contribute to the state’s green mobility targets.

(Edited by Ananya Rao)