Bihar EV Policies

Explore The Bihar State EV Policies in Detail

Status: New Policy notified on December 5, 2023 after approval from the cabinet; Valid for a period of 5 years from the date of notification

Objective of the Policy are as follows:

  • Ensuring that by the year 2028, 15% of new vehicles purchased and registered in Bihar are EVs
  • All licensed Aggregators under Bihar Aggregator Operational Directives, 2019 have been given the following targets for two wheeler fleets:
    • 2025 – at least 20% electric two-wheelers
    • 2026 – at least 40% electric two-wheelers
    • 2027 – 50% electric two-wheelers

All licensed Aggregators under Bihar Aggregator Operational Directives, 2019 have been given the following targets for four wheeler fleets:

*  2025 - at least 20% electric two-wheelers 
*  2026 - at least 40% electric two-wheelers 
*  2027 - 50% electric two-wheelers 
  • Making Bihar a model state for developing an Electric Vehicle transport ecosystem
  • Developing an accessible and robust network of EV charging infrastructure in the state
  • Rncouraging startups and investment in the field of electric mobility and associated support sectors like data analytics, IT, R&D, etc.
  • Reducing air pollution

To know more about the previous draft policy, please check out a blog here.

Electric Two-Wheelers

  • Purchase incentive of INR 5,000/- per kWH for electric two-wheelers, for the first 10,000 vehicles
    • Upper limit of INR 10,000/- per vehicle for SC/ST
    • Maximum of iNR 7,500/-per vehicle for others
  • 75% rebate in Motor Vehicle Tax, for the first 10,000 electric two-wheelers purchased and registered in Bihar or within the policy period, whichever is earlier
    • After 10,000 vehicles, subsequent electric two-wheelers purchased and registered to get 50% rebate for duration of policy
  • Exemption in permit fee during the policy period for all licensed Aggregators under Bihar Aggregator Operational Directives, 2019 if they ensure operation of a maximum number of electric two-wheelers by 2028

Electric Three-wheeler (Passenger)

  • 50% rebate in Motor Vehicle Tax for vehicle purchased and registered in Bihar during the policy period
  • All new registered electric three-wheelers (passenger vehicles) purchased and registered in Bihar shall be given due exemption in permit fee during the policy period

Electric Four-wheeler

  • Purchase incentive of INR 10,000/- per kWH for electric four wheelers, up to a maximum of INR 1,50,000/- for the first 1,000 vehicles
  • 75% rebate in Motor Vehicle Tax, for the first 1,000 electric four wheelers
    • After 1,000 electric four-wheelers, subsequent electric four-wheelers will get a 50% rebate on Motor Vehicle Tax for the duration of policy
  • All licensed Aggregators under Bihar Aggregator Operational Directives, 2019 shall be promoted to operate a maximum number of electric four-wheelers by 2028 by way of giving due exemption in permit fee during the policy period

Light Electric Motor Vehicle (Goods Carriage)

  • 50% rebate in Motor Vehicle Tax for light electric motor vehicles (goods carriage) purchased and registered during the policy period.
  • Exemption in permit fee to all light electric motor vehicles (goods carriage) purchased and registered during the policy period

Heavy Electric Motor Vehicle (Bus and Goods Carriage)

  • 75% rebate in Motor Vehicle Tax for for the first two years from the date of notification.
  • After two years, 50% rebate on all subsequent heavy electric motor vehicles purchased and registered for the duration of policy
  • Exemption in permit fee to all heavy electric motor vehicles purchased and registered during the policy period

Other Benefits

  • Owners of electric vehicles purchased and registered shall also be eligible for scrapping incentives for old vehicles
  • Municipal authorities will provide subsidized parking for all personal EVs
    • Individual Towns/Cities will prepare a city parking plan providing for on-street parking places for electric vehicles with subsidized fees and EV charging stations.

Incentives are mentioned in Chapter 6 of Bihar Industrial Investment Promotion Policy, 2016

  • 100% reimbursement of land conversion fees/change in land use fees being levied for conversion of agricultural land after the unit commences the commercial production.
  • 100% reimbursement of the electricity duty on power including captive power consumed or exported to BSHPCL by all new units from the date of commencement of commercial production for a period of 5 years.
  • 100% reimbursement of stamp duty/registration fees levied on lease/ sale /transfer of industrial land/shed as also those outside the jurisdiction of Bihar Industrial Area Development Authority would be available to all the new units after the unit commences the commercial production.

Electric Vehicle- AC charger (three Guns)Slow/Moderate Charger:

  • 75% incentive on purchase of equipment/machinery and INR 10,000 as installation cost (excluding the cost of land) per charger, up to a maximum of INR 50,000/- for the first 600 chargers

Electric Vehicle- AC charger (two guns)Fast Charger:

  • 75% on the purchase of equipment/ machinery and INR 25,000/- as installation cost (excluding the cost of land) per charger, up to a maximum of INR 1,50,000/- for the first 300 chargers

Electric Vehicle- DC charger (two guns)Slow/Moderate:

  • 75% on the purchase of equipment/machinery and INR 25,000/- as installation cost (excluding the cost of land) per charger, subject to a maximum of INR 1,50,000/- for the first 300 chargers

CCS/CHAdeMO Charger (two guns) Fast charger:

  • 50% on the purchase of equipment/machinery and INR 1,00,000/- for installation cost (excluding the cost of land) per charger, up to a maximum of INR 10,00,000/- for the first 60 chargers

Other important features are as follows:

  • All existing residential building owners, Residential Welfare Associations (RWAs) and Co-operative Housing Societies with demarcated parking area of at least 5 equivalent car spaces (ECS) are encouraged to install at least one Bharat Electric Vehicle AC charger (3-Guns).
    • Incentives shall be given for the installation of such charging stations as per the category-1 charger
  • All non-residential building owners and market associations having parking area demarcated for at least 5 equivalent car spaces (ECS) and 5 equivalent bike spaces are encouraged to install at least one Bharat EV AC charger (3-Guns)
    • Incentives shall also be provided for another category of charger installed at these locations as per the conditions and categories mentioned in para-8.
    • Incentives shall be provided for a maximum of 5 EV chargers at a specific location

Power Tariff

  • For the first three years, a 30% subsidy can be provided on Power Tariff for public and semi-public charging stations.
    • Subsidy shall be given by the Transport Department.
    • Power Tariff subsidy given by the State Government shall be specifically mentioned in the bill generated for the EV user.
  • Supply of renewable energy shall be promoted for EV charging stations and EV users

Data is being fetched

  • Re-use of EV batteries reaching their end of life will be encouraged
    • Setting up of recycling businesses to be promoted in collaboration with battery and EV manufacturers
    • Focus shall be on extracting rare metals from within the battery and re-use of batteries
  • Policy for encouraging re-use of batteries shall be notified by Industries Department in consultation with the Environment, Forest &Climate Change Department, Government of Bihar and Bihar State Pollution Control Board