Chandigarh EV Policies

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Status: Notified; Date of Notification: September 20, 2022; Validity Period: 5 years from the date of notification

Objectives of the Policy:

To accelerate adoption of EVs in the UT so that they contribute to 70% of new vehicle registrations by the end of policy period.
To establish Chandigarh as a ‘Model EV City’ by achieving one of the highest penetration of Zero Emission Vehicles amongst all Indian cities, by the end of policy period
To leverage the cycling track infrastructure of city for promoting usage of Electric Bicycles as a replacement of 2/4W especially for short trips
To establish wide network of Charging points by enabling availability of power supply and related processes
To harness the New & Renewable Energy sources for charging of EVs to positively impact the indirect emissions
To enable fleet operators like E-commerce companies, last-mile delivery/logistics players and mobility aggregators transition to zero emission vehicles
To nurture skill development, R&D and startup for electric mobility space in the UT.

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e-2W

A purchase incentive of INR5,000/kWh for vehicle with fixed battery and INR3,000/kWh for vehicle with swappable battery subject to maximum incentives of INR30,000 and INR15,000 respectively.
Scrapping incentive of INR5,000
Number of vehicles to be incentivised: First 10,000 vehicles registered during the policy period
The early-bird incentives for vehicles purchased on or before March 31, 2023 include a purchase incentive of INR3,500/kWh, subject to a maximum incentive of INR50,000

e-Bicycle

An upfront incentive of 25% of the cost of bicycle subject to a maximum incentive of INR3,000
Number of vehicles to be incentivised: First 25,000 bicycles purchased during the policy period
The early-bird incentives include a purchase incentive of INR 2,000

e-Cart

A purchase incentive of INR5,000/kWh for vehicle with fixed battery and INR3,000/kWh for vehicle with swappable battery subject to maximum incentives of INR30,000 and INR10,000 respectively.
Retrofit kit incentive of 15% of cost of the bicycle subject to a maximum incentive of INR10,000
Number of vehicles to be incentivised: First 1,000 e-Carts registered during the policy period
The early-bird incentives for vehicles purchased on or before March 31, 2023 include a purchase incentive of INR3,500/kWh, subject to a maximum incentive of INR50,000

e-Autos

A purchase incentive of INR5,000/kWh for vehicle with fixed battery and INR3,000/kWh for vehicle with swappable battery subject to maximum incentives of INR30,000 and INR15,000 respectively.
Retrofit kit incentive of 15% of cost of the vehicle subject to a maximum incentive of INR15,000
Scrapping incentive of INR7,500
Number of vehicles to be incentivised: First 1,000 e-Autos registered during the the policy period
The early-bird incentives for vehicles purchased on or before March 31, 2023 include a purchase incentive of INR3,500/kWh, subject to a maximum incentive of INR50,000

e-Goods Carrier L5N

A purchase incentive of INR5,000/kWh for vehicle with fixed battery subject to maximum incentives of INR50,000
Retrofit kit incentive of 15% of cost of the vehicle subject to a maximum incentive of INR15,000
Scrapping incentive of INR15,000
Number of vehicles to be incentivised: First 1,000 Goods Carrier L5N registered during the policy period
The early-bird incentives for vehicles purchased on or before March 31, 2023 include a purchase incentive of INR3,500/kWh, subject to a maximum incentive of INR50,000

e-Goods Carrier N1

A purchase incentive of INR5,000/kWh for vehicle with fixed battery subject to maximum incentives of INR80,000
Retrofit kit incentive of 15% of cost of the vehicle subject to a maximum incentive of INR 25,000
Scrapping incentive of INR15,000
Number of vehicles to be incentivised: First 1,000 Goods Carrier N1 registered during the policy period
The early-bird incentives for vehicles purchased on or before March 31, 2023 include a purchase incentive of INR3,500/kWh, subject to a maximum incentive of INR50,000

4 W- e-Cars (Personal)

A purchase incentive of INR5,000/kWh for vehicle with fixed battery subject to maximum incentives of INR1,50,000
Scrapping incentive of INR7,000
Number of vehicles to be incentivised: First 2000, 4 W- e-Cars (Personal) (including Hybrids as defined in FAME II) registered during the policy period. Applicable only for vehicles with exshowroom price upto INR20 lakhs
The early-bird incentives for vehicles purchased on or before March 31, 2023 include a purchase incentive of INR3,500/kWh, subject to a maximum incentive of INR50,000

4 W- e-Cars (Commercial)

A purchase incentive of INR10,000/kWh for vehicle with fixed battery subject to maximum incentives of INR2,00,000
Scrapping incentive of INR7,000
Number of vehicles to be incentivised: First 1,000 4 W- e-Cars (Commercial) (including Hybrids as defined in FAME II) registered during the policy period.
The early-bird incentives for vehicles purchased on or before March 31, 2023 include a purchase incentive of INR3,500/kWh, subject to a maximum incentive of INR50,000

Road Tax and registration fees shall be waived for all eligible vehicles

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Incentive Structure for Charging Infrastructure

Private Charging

Infrastructure Incentive:

Grant on purchase and installation of charging equipment with a maximum incentive of INR6,000
Number of units to be incentivised: Only for first 30,000 private chargers installed during policy period

Public Charging

Reimbursement of GST paid:

100% reimbursement of GST paid on the Fast Charging/Swapping Electric Vehicle Supply Equipment (EVSE) procured by private enterprises/individual with a maximum incentive of INR50,000
Number of units to be incentivised: Only for first 50 fast charging /Swapping EVSE installed during policy period.

Upfront electricity infrastructure:

Upfront cost on infrastructure for bringing power supply to Electric Vehicle Charging Station with a maximum incentive of INR5,00,000
Number of units to be incentivised: Only for first 50 Public fast Charging/Swapping Stations installed in the state during policy period.

Electricity Duty Exemption:

100% Electricity duty exemption for Public Charging and Swapping stations during the entire policy period

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Electric Vehicle manufacturing and servicing requires skilled manpower which varies from conventional automobiles. In order to ensure smooth transition to electric mobility, special efforts shall be undertaken for skill development in Electric Vehicles.
Short-term courses on electric mobility, EVSE, repair and maintenance, battery manufacturing and maintenance shall be developed and introduced by Education Department in collaboration with Transport department, Chandigarh. Polytechnics shall offer two-week duration courses on Electric Vehicle awareness for skill upgradation.
Chandigarh Administration, in partnership with relevant/interested OEMs and service providers, shall develop skill enhancement centers for delivering vocational courses on the EV ecosystem. The skill enhancement centers will aim to train the ICE mechanics/workforce in repairing and servicing of EVs and charging stations.

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The Policy shall encourage the reuse of EV batteries that have reached the end of their life and setting up of recycling businesses in collaboration with battery.
The Chandigarh administration will promote second-life usage and recycling of electric vehicle batteries.
Reuse of EV batteries: Disposal of Electric Vehicle Batteries in trash/landfills will be strictly prohibited. OEMs, through their networks, partnerships and retail centers will channelize battery collection for reuse. The guidelines for the same will be notified separately