Electric cars may be subsidized in New Delhi, India
Photo of new Delhi by Wili Hybrid. Licensed under Creative Commons license 2.0.
Drivers interested in an electric cars in New Delhi will likely soon be able to get a government subsidy that will cost the government around Rs 25 crore (Rs 35 crore if two- and three-wheelers are added). Since early February of this year, a 25 paise tax has been added to each liter of diesel fuel and should generate around Rs 48 crore for the governemnt. Up to 2,000 EVs could be subsidized this year, the government estimates, but the exact subsidy per vehicle has not been decided. A 15 percent "significant" amount is possible. The Hindustan Times reports that the Council of Ministers is likely to pass this proposal at its next meeting. The overall intent is to clean the air in New Delhi. Other Indian cities already exempt BEVs from the road tax and some states exempt them from the VAT.
[Source: Hindustan Times]
Reader Comments (Page 1 of 1)
Tim 3:35PM (4/11/2008)
Man, I hate these articles which don't convert to us dollars, gallons and miles. I don't have the time to look them up so I can't enjoy or learn anything from the article. Thanks anyway.
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steven 4:18PM (4/11/2008)
@Tim: I think they only block this web page in China. The rest of the world reads it too! ;-)
Your post reminded me of that old joke which some times hits a bit close to home:
Q1: What do you call someone the speaks three languages? A: Multilingual
Q2: What do you call someone who speaks two languages? A: Bilingual
Q3: What do you can someone who speaks one language? A:American
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Wave54 5:02PM (4/11/2008)
I'll agree, it means little to those not familiar with Indian currency. Converted to US dollars:
Drivers interested in an electric cars in New Delhi will likely soon be able to get a government subsidy that will cost the government around $6.3 million ($8.8 million if two- and three-wheelers are added). Since early February of this year, a .63 cent tax has been added to each liter of diesel fuel and should generate around $12 million for the government. Up to 2,000 EVs could be subsidized this year, the government estimates, but the exact subsidy per vehicle has not been decided. A 15 percent "significant" amount is possible. The Hindustan Times reports that the Council of Ministers is likely to pass this proposal at its next meeting. The overall intent is to clean the air in New Delhi. Other Indian cities already exempt BEVs from the road tax and some states exempt them from the VAT.
[Source: Hindustan Times]
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Niralisherni 5:50AM (4/12/2008)
Thanks for the info Wave54, i dont suppose a sop for EVs like this is possible in the US?
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Manu Sharma 2:23PM (4/12/2008)
We have only one electric car in India right now - the REVA and that too is only available in South India...not Delhi. So this will mainly be relevant for electric two wheelers.
Though this might change with the entry of the electric car that Tara is planning to launch in a few months.
http://specials.rediff.com/money/2008/mar/17tara1.htm
I think there ought to be a disincentive in traffic laws that allows for frequent single occupant car drivers (and maybe even double occupant cars too) to be penalised. Cars should only be used for more than two occupants. The funds collected from this can then be utilised for further subsidising EVs.
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raju 9:20AM (4/21/2008)
It is definitely great news. Indian roads with more electric are and that means more less pollution and fresh air. Many car makers and also Ajanta-well known clock makers are planning to roll out electric car which will not only be eco-friendly but also also ultra cheap. . http://blog.carazoo.com/2008/04/another-challenge-for-nano.html
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