Andhra Pradesh EV Policies

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Status: Notified; Date of Notification: June 8, 2018; Validity Period: 5 years from the date of issue of relevant government resolution

This Policy has the following Objectives

  • To make AP a global hub for electric mobility development and manufacturing.
  • Attract manufacturers across the EV ecosystem to the state to setup their manufacturing units and supply to a global market.
  • Promote innovation actively through grants and venture funds to research organizations, incubators, and startups working on next generation battery technology, fuel cell technologies, EV power trains and EV electronics.
  • To create best in class ecosystem via Industrial parks to hasten product development, manufacturing & testing.
  • Enable investment into charging/battery swapping infrastructure and hydrogen generation and fueling station development.
  • Create a skilled workforce which is attuned to the needs of EV ecosystem.
  • Promote usage of EVs to enable transition to environmentally friendly cities.
  • Build next generation transportation infrastructure using Vehicle to Everything (V2X) platforms.
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  1. Model Electric Mobility (EM) cities
    • 2018-19 shall be announced as the “Year of the Electric Vehicle” in AP
    • The cities of Vijayawada, Vishakhapatnam, Amaravati and Tirupati will be declared as model EM cities with phase-wise goals to adopt EVs, charging & hydrogen refueling infrastructure and new EV enabling building codes.
    • Visakhapatnam will be the pilot city for all new initiatives
    • Model EM cities will have a deadline to convert 100% of all commercial & logistics fleets to electric fleet by 2024. These fleets can belong to any government organization, APSRTC, educational institutes, hospitals or corporates and other institutions
  2. Revision of transport regulations for EVs
    • All regulations below are applicable only for FCEVs and BEVs using advanced battery technologies with energy/power density similar or more than that of a Lithium Ion battery.
  3. Smart Mobility Corporation
    • A corporation will be setup to coordinate all necessary activities for promoting futuristic needs of transportation.
    • This organization will coordinate with various departments in central government as well as state governments to further the adoption of vehicles both for government as well as private use.
  4. Financial Incentives for Private Purchase and Use
    • Reimbursement of registration charges and road tax on sale of EVs until 2024.
    • Phase wise/City wise, promotional discounted tariff will be offered for charging BEVs.
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Tax Incentives

  • 100% net SGST accrued to the State will be reimbursed for a period of 5 years for micro and small,7 years for medium, 10 years for large industries. This reimbursement will be limited to 100% of capex or for the period Stated, whichever is earlier.
  • 50% of cost of participation with a maximum amount of INR5 lakhs to be reimbursed to a maximum of 10 MSME units per year for participating in International Trade Fairs.
  • Andhra Pradesh Electricity Regulatory Commission (APERC) will issue regulations, defining tariff and related terms & conditions, for vehicle to grid (V2G) sale of power to meet the requirements of real time and ancillary services for DISCOM. Sale of power from battery swapping stations to the grid will also be considered as V2G sale of power.
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1.Investment by the Government departments

  • The DISCOM will invest in setting up both slow and fast charging networks in government buildings and other public places. These charging points will be accessible to both government as well as private vehicles.
  • DISCOM will setup the charging infrastructure on its own or through third party operators using appropriate PPP models. Such costs can be recovered as part of ARR.

2.Investments from private infrastructure developers

  • Land across major cities will be allocated for private developers for setting up charging or battery swapping stations in a form similar to a contemporary fuel station as per statutory clearances.
  • Facilities will be provided to setup swapping stations in the form of a kiosk to service 2 and 3 wheelers.

3.City & Building codes

  • City codes will be modified for both public places and private buildings in order to make the infrastructural changes needed for charging/battery swapping infrastructure
  • Urban local bodies, Municipality rules/regulations will be modified to allow charging and battery swapping stations to be setup within its limits as and when required.

4.Financial Incentives for Private Charging Stations

  • DC Chargers (100V and above): Capital Subsidy of 25% of the value of the charging station equipment/machinery for first 100 stations upto a Maximum subsidy of INR10,00,000
  • DC Chargers (Below 100V): Capital Subsidy of 25% of the value of the charging station equipment/machinery for first 300 charging stations upto a Maximum subsidy of INR30,000
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  • State will identify required quantum of skilled manpower, map EV specific skill sets and provide courses at different levels of education – matriculation and above.
  • Local Industrial Training Institutes (ITIs), employment exchange centers,technical institutes will be prepared to introduce EV courses & train technicians and engineers.
  • Additional subsidy on training and stipend will be provided for every company with a cap on employees per type of firm
  • Skill Development Incentives: stipend of INR10,000 per employee per year to a maximum of first 50 employees for a single company for Micro, Small, Medium and Large firms.
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Battery recycling plants will be incentivized to mine for compounds from used batteries.