Society of Manufacturers of Electric Vehicles (SMEV) has announced that it has asked for an allotment of Rs 20,000 crore in the subsequently two years for encouraging EVs in the country and also advocated the government to enforce a “national green cess” on conventional vehicles in the forthcoming interim Budget to finance the drive.
Spelling out their budget wish list, the SMEV also alleged that the second phase of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) must be declared with a six-year plan and time-bound implementation.
“Electric mobility needs steady and long-term policy support, strenuous measure of customer incentives and immense awareness campaign to achieve a target of 30 percent EVs by 2030,” said SMEV Director-General Sohinder Gill.
He further said SMEV expects the government to target at least one million EVs in top-10 most-polluted cities across India.
“SMEV suggests a national green cess on all IC (internal combustion) engine vehicles to generate this amount rather than plunging into the exchequer,” he added.
SMEV believed Indian supply chain for critical powertrain components of EVs will come up only if there are adequate such vehicles on the road. “Till then, the current import duty concessions should persist, so that the vehicles do not end up becoming costlier,” Gill added.
The EV industry body further said, “The government should give more thrust on e-mobility under the smart city project which is missing, at present.”
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