Government of Odisha
Commerce and Transport (Transport) Department
***
No.
TRN-LC-RT-0003-2017/
360
/T.,
RESOLUTION
dated the
ti
Sub:- Odisha Electric Vehicle Policy, 2021
Whereas climate change has become a global concern over the last few
decades and the road transport sector contributes a major role for rapid
increase in the global temperature and therefore, there is need for reduction
in the use of fossil fuel and associated emissions.
Whereas the NITI AYOG have urged upon all States/ Union Territories
to adopt a well defined Electric Vehicle Policy for the State.
Now therefore, Government of Odisha have framed a draft "Odisha
Electric Vehicle Policy, 2021" to build Odisha a model State in promotion of EVs
through adoption, adaptation , research & development apart from facilitating
growth in employment for circulation among the stake holders and general
public.
Any suggestion for inclusion or omission in the draft policy may be
brought to the notice of the undersigned within fifteen days from the date of
publication in the Odisha Gazette either in person, post or e-mail,
.
Draft ODISHA ELECTRIC VEHICLE POLICY
1. BACKGROUND
Climate change has become a global concern over last few decades and
rapid global temperature increase has created the need for reduction in the
use of fossil fuels and the associated emissions.
Due to rapid urbanization, transport infrastructure has gone up leading
to congestion and pollution. Electric Vehicle can improve the above scenario by
reducing local concentrations of pollutants in the world. Many countries have
included EVs as an element of their transportation policy. Their responses vary
according to their stage of economic development, energy resources,
technological capabilities and above all political prioritization of their response
to the climate change.
India is also operating in the same global context as other countries who
have adopted an EV policy. But India has a unique mobility pattern and the _
growth rate of vehicles as well as the ownership growth is rapid in India which
is the key difference between India and other countries. Further, a large
variety of motorized transport on roads and its auto segments are quite
different from most of the developed countries.
Government of India have therefore adopted a National Electric Mobility
Plan and have committed to cutting its emission intensity by 35% below levels
by 2030 and requested all the States and Union Territories to frame their own
EV policy.
Based on the last 4 years sales data, the different categories of vehicles in
the State registered as under:
2
Sl.
No.
Vehicle Type
No. of vehicles registered
% of Vehicles
1
BUS
5179
0.19 %
2
GOODS
VEHICLE
75085
2.86
(
Y0
3
LMV
1,84,684
7 %
4
THREE
WHEELER
80, 480
3.06 %
5
TWO WHEELER
21,45 239
82 %
6
TRACTOR
59, 786
2.28 %
7
TRAILER
46, 736
1.78 %
8
OTHERS
24,909
0.94 %
TOTAL
26,22,089
100 %
From the above table, it is found that two wheelers constitute nearly
82%
of the total vehicle population of the State. Among the rest, Light Motor
Vehicles constitute 7%, 3 wheelers 3.06%, Goods vehicles 2.86%, Tractors
2.28%, Trailers 1.78%, Others 0.94% and lastly Buses only 0.19%.
Basing on the techno-economic development in the EV sector, there is
need to formulate a policy for promotion of Electric vehicles in Odisha to keep
pace with other states of India, Government of Odisha envisages to build
Odisha a model State in promotion of EVs through adoption, adaptation,
research & development apart from facilitating growth in employment.
2.
OBJECTIVE
The primary aim of the Odisha Electric Vehicle policy, 2020 is to
accelerate the pace of adoption of electric vehicles in the vehicle segments
especially in the category of two wheelers, three wheelers and LMVs .The
policy shall focus to drive rapid adoption of Battery Electric Vehicles to
contribute a substantial percentage of all new vehicles in the years to come
and bring about improvement in the air quality in Odisha in general and all
major cities in particular. The key objectives of the policy are, as under:
3
1.
Promote use of Electric Vehicles across vehicle segments among public in
the State by facilitating appropriate ecosystem. The aim is to achieve
adoption of 20% Battery Electric Vehicles in all vehicle registrations by
2025.
2.
Promote manufacture of Electric Vehicles & its components including
Battery in the State.
3.
Promote Innovation and facilitate Research & Development in the areas
relating to Electric Vehicles & Battery.
4.
Put in measures to support the creation of jobs in driving, selling,
financing, servicing, manufacturing and charging of Electric Vehicles.
3.
STRATEGY.
3.1. Validity: The Odisha Electric Vehicle Policy,2020 shall remain valid for
a period of five years from the date of notification of this policy.
3.2. The fiscal incentives being offered under the policy would be in
addition to the demand incentives available in the FAME India Phase-
II Scheme of Government of India.
3.3. The policy is proposed to be implemented through following verticals:
(a) Institutional Mechanism for administration of policy through
State Level Task Force and Steering Committee apart from
establishing an EV Cell and developing a public outreach program
focused on creating awareness about benefits of EVs and key
element of the policy.
(b)
Financial Incentives: - Purchase incentives, Scrapping incentives,
Interest subvention in loans.
(c)
Waiver of Road tax & Registration fees
(d)
Establishment of a wide network of Charging Stations and
swappable battery stations.
(e)
Setting of Skill Centers with provision for training related to jobs
in EV ecosystem.
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(f)
Setting up of Recycling ecosystem for Batteries
(g)
All the incentives available for manufacturing industries under
IPR, 2015 and MSME Policy, 2016 shall be made available to EV
manufacturers.
(h)
Creation of an Umbrella non-lapsable "State EV Fund" to be
funded through Additional taxes, cess, fees etc on polluting
vehicles.
3.4.
INSTITUTIONAL MECHANISM
3.4.1.
STATE LEVEL TASK- FORCE
A State Level Task Force has proposed to be formed as follows:
1.
Chief Secretary
Chairman
2.
Additional Chief Secretary, Planning & Convergence
Member
3.
Principal Secretary, Commerce & Transport
Member-Convener
4.
Principal Secretary, Industries
Member
5.
Principal Secretary, Finance
Member
6.
Principal Secretary, Housing & Urban Development
Member
7.
Commissioner-cum-Secretary,
Skill Development & Technical Education
Member
8.
Principal Secretary, Energy
Member
9.
A.C.S/Principal Secretary, F &E
Member
3.4.2.
FUNCTIONS OF STATE
LEVEL
TASK FORCE
i.
Monitor and ensure timely release of relevant Orders/Government
Resolutions/Government Notifications and amendments required.
ii.
Approve the framework/modalities of implementation proposed by
the Committee in a time-bound manner.
iii.
Bring about inter-departmental coordination in respect of matters
related to this Policy.
5
iv.
Review the best practices across India and take steps to try them out
in Odisha
v.
Review the work of the Steering Committee in implementation and
effectiveness of the policy every six months and take corrective
measures/changes/amendments, if required.
3.4.3.
STEERING COMMITTEE
For implementation of the decisions of the State Level Task Force to
streamline the EV adoption in the State, a Steering Committee is
proposed to be formed as under:
1.
Principal Secretary, Commerce & Transport Dept
Chairman
2.
CMD, OSRTC
Member
3.
CMD, IDCO
Member
4.
CEO, CESU
Member
5.
EIC, Electricity
Member
6.
Member Secretary, State Pollution Control Board
Member
7.
FA-cum-Additional Secretary, C & T Deptt.
Member
8.
Additional Secretary (T), C & T Deptt.
Member
9.
Transport Commissioner, STA
Member-Convener
10.
Additional Secretary, H & U.D. Deptt.
Member
it Additional Secretary, SD & TE Department
Member
12.
Joint Secretary, Finance Department
Member
13.
A Representative from SLBC
Member
3.4.4.
FUNCTIONS OF THE STEERING COMMITTEE
It is the Executing Committee for State Level Task-Force.
i. The Committee will anchor EV promotion by ensuring that the
incentives approved in the policy reach to the end-users.
6
ii.
The Committee by utilizing a network of expertise across different
working groups will aim to shape the future course of e-mobility in
Odisha.
iii.
The scope of the Committee would be to recommend action on the
strategies to promote EVs in Odisha.
iv.
To review the functioning of the EV Cell.
4.
INCENTIVES
(USER RELATED)
In order to achieve large scale adoption of Electric Vehicles in the State
and to maximize reduction of vehicular pollution, the Policy focuses attention
on incentivizing the purchase and use of Electric Vehicles particularly in the
segment of two wheelers, public/shared vehicles and goods carriers.
4.1.
Two wheelers/ Three wheelers/ private cars( LMVs):-
Nearly 82% of all new vehicles registered in the State comprise two
wheelers. It is the most popular segment of vehicles which contribute a
major part in air pollution. Similarly, three wheelers numbers 3.06% and
Cars (LMVs) 7.04% of total registered vehicles. It is therefore necessary to
offer good incentives to create demand generation among public for these
vehicles.
It is proposed to give the following incentives:
4.1.1.
Purchase incentive at the following rates shall be made available:
Sl. No.
Category of vehicle
% Of subsidy
Maximum amount
of subsidy
1.
Two wheelers
15%
Rs. 5000/-
2.
Three wheelers
15%
Rs.12,000/-
3.
Four Wheelers
15%
Rs. 1,00,000/-
4.1.2.
There shall be open permit for autos (three wheelers).
7
4.1.3. 100%
interest free loans would be made available to State
Government employees for purchase of Electric Vehicles.
4.1.4.
Interest subvention to public for purchasing personal EVs.
4.1.5.
Government Departments/Offices, Public Sector
Undertakings
will give preference to hire EVs for Official use and the above
purchase incentives will be applicable for the private Owners to
purchase these vehicles. Government Department/ Offices/
Public Sector Undertakings will purchase EVs when such
purchase is necessary and is allowed.
4.1.6.
Public parking: Municipal authorities will provide subsidized
parking for all personal EVs. Individual Towns/Cities will prepare
city parking plan to encourage provisions for on- street parking
places for EVs with subsidized fees and EV charging stations.
4.1.7.
Original Equipment Manufactures (OEMs) shall have to register
their e-vehicle model including swappable battery models
meeting eligibility criterion with Transport Department.
In order to avail the above incentive, the electric two
wheelers have to fulfill the performance and efficiency eligibility
criteria as in FAME India Phase-II as under:
Sl.
No.
Criteria
Threshold Value
1.
Min. top
speed
40km/hour
2.
Min.
acceleration
0.65m/s2
3.
Max. electric
energy
consumption
Not exceeding 7kWh/ 100km
4.
Warranty
At least 3 years comprehensive
warranty including that of
battery from the manufacturer
8
All the above regulations are applicable only for Fuel Cell
EVs and Battery EVs using advanced battery technology with
energy power density similar to or more than that of Lithium-
Ion battery.
4.2. Buses:
Government of Odisha will provide appropriate incentives and other
support to ensure that pure electric buses constitute at least 50% of all
new stage carriages procured for the city buses in next five years.
4.2.1.
A subsidy of 10% (maximum limit of Rs. 20 lakhs per vehicle) shall be
extended to the buyers for passenger buses registered in the State.
4.2.2.
100% SGST on the sale of electric buses sold and registered in the
State will be reimbursed during policy period.
4.2.3.
100% exemption on road tax & registration fees for the first four
years will be made available.
4.2.4.
Interest subvention of 5% on loans for purchase of Electric Buses
would be made available
4.3. Goods Carriages:
4.3.1.
The policy recognizes the importance of light commercial goods
carriages and committed to extend incentives for USE OF EVs of this
category.
4.3.2. Individual and fleet Owners shall be given purchase incentive of
Rs.30,000/- to the first 5000 electric goods carriers to be registered
in the State.
4.3.3.
Interest subvention of 5% on loans for purchase of electric goods
carriers in the policy period.
9
4.3.4.
100% SGST on the sale of electric goods carriages sold and
registered in the State will be reimbursed for the policy period.
4.3.5.
100% exemption on road tax & registration fees for the policy period
will be made available.
4.3.6.
Electric goods carriages in the above category shall be exempted
from prohibition on plying and idle parking on identified roads of the
State during specified timings as notified by the local authorities
from time to time.
4.3.7.
Scrapping incentive shall also be extended for old ICE goods
carriages registered in the State as per the scrapping Policy
announced by Gol.
4.3.8.
A good financing mechanism would be evolved by Finance Dept.
for purchase of EVs.
5.
INCENTIVES
(MANUFACTURING RELATED)
In order to develop sustainable EV manufacturing industries, the
Government of Odisha will take the following measures:
5.1.
SGST reimbursement for manufacturing of EVs in the State during the
policy period.
5.2.
All the incentives will be extended under the IPR, 2015 and MSME
Policy, 2016 as amended from time to time to the manufactures.
5.3.
The Small and Micro EV Battery manufacturing Units will be facilitated
with the following incentives as MSME Policy, 2016:
10
Si.
No.
Category of Enterprise
Quantum of Assistance
1.
New Micro 86 Small
Enterprise
25% of Capital Investment
made in plant 86 machinery
subject to an upper limit of
Rs.1 crore
2
New Micro 86 Small
Enterprise owned by
SC/ST/Differently
abled/Women/ Technical
( Degree/ Diploma)
Enterpreneur
30% of Capital Investment
made in plant & machinery
subject to an upper limit of
Rs.1.25 crore
3.
New Micro 86 Small
Enterprise set up in
industrially
backward districts
including KBK districts
Additional Capital investment
subsidy @ 5% investment made
in plant 86 machinery with
an
prescribed at Sl. No.1 86 2
above
5.4.
For extension of incentives to Battery Assembling Units, necessary
provisions shall be made in the IPR/ MSME Policy by way of
amendment
5.5.
Government of Odisha will explore possibilities of entering into
MoU with Lithium Cell Manufactures to start battery assembly plant
in Odisha.
5.6.
Capital subsidy, tax, and tariff incentives and other policy support will
be provided to attract private investment in dedicated areas/ zones
for manufacturing of Lithium Ion Batteries in the long run.
11
6.
INCENTIVES (FOR
CHARGING INFRASRUCTURE)
Availability of Charging Infrastructure is the key element for adoption
of Electric Vehicles. Government of Odisha aims to provide environment to
enable for establishing private as well as public charging infrastructure as
detailed below:
6.1. Private Charging Points:
6.1.1.
The existing residential and non-residential building Owners shall be
encouraged to install private charging points within their premises
which will provide shared access for charging of EVs of residents of
group housing societies and multistory apartments. Setting up of
Charging Infrastructure shall be mandated in the Housing Policy by
H& UD Department.
Government will provide grant for purchase of charging
equipments up to Rs.5000/- for the first 20,000 such points. Grants
shall be available those points which will comply all the electrical
norms specified by the Electricity Distribution Companies operating
in the State.
6.1.2.
The customers under all the Electricity distribution Companies in the
State shall purchase Private Charging points with the grant
supplied by Govt. and request the Discoms to install the same in
their premises. The installation charge as approved by Government
may be collected through electricity bills.
6.1.3.
Building bye-laws shall be made for all new home and workplace to
make it EV friendly with additional power load equivalent to the
12
power required for all charging points with all safety factors
adhering to the guidelines and standards as issued by Ministry of
Power, Govt. of India from time to time.
6.2. Public Charging Infrastructure:
6.2.1.
Energy Operators shall be invited to set up charging and battery
swapping stations across all the cities and along the NH & SH in
phases by porting and providing locations at bare minimum rental
lease. A list of such locations shall be rolled out by the Steering
Committee within a reasonable period. Such Stations can also be
setup outside the locations as approved by the Steering Committee
depending on the demand and suitable public access.
6.2.2.
Government shall provide capital subsidy of 25 % to the selected
Energy Operators for the charger installation expenses. Such
subsidy will be available within one year of allocation of
locations.
6.2.3.
Special subsidy shall be allowed for first 500 Charging Stations.
6.2.4.
Government will also provide 100% SGST reimbursement to the
Energy Operators for purchase of batteries to be used in swapping
stations.
6.2.5.
Provision of mobile charging vans to provide on-road assistance for
EV users who run out of charge shall be explored so that they can
reach the nearest charging station with minimum travel.
6.2.6.
Govt. will explore the charging facility at bus stands/ stops for e-
buses to reduce the battery size.
6.2.7.
Highway re-fueling stations will be encouraged to set up fast
charging stations for top up charging.
13
6.2.8.
Corporate Offices/ Educational InstitutesZULBs/OSRTC/ Housing
Societies/ Government Buildings will be encouraged to set up
charging infrastructure in their premises to meet the social
responsibility and necessary incentives shall be extended to them.
6.2.9.
Electricity tariff as applicable for charging stations shall be notified
by the OERC. All the public charging station operators shall be
encouraged to use low cost and renewable sources of power
through OERC.
6.2.10.
Electricity tariff applicable for all Public and Captive charging
stations for commercial use (i.e., charging facilities used by fleet
owners) shall be as notified by OERC. Government shall endeavour
to work out special tariff for EV charging.
6.2.11.
The Energy Distribution Companies may take lead role in setting up
charging points/ stations than other private parties. The number of
charging points to be established will be maintained by the Energy
Distribution Companies.
6.2.12. E.I.C., Electricity will be the Nodal Agency for setting up &
monitoring of charging stations.
7.
RECYCLING ECO SYSTEM
Electric Vehicles batteries need to be replaced once they have degraded
to operating at 70-80% of their capacities. EVs are therefore going to outlive
the batteries powering them with a vehicle requiring at least two batteries in a
10 year life span. Batteries that have reached their end of life shall have to be
either reused or recycled. Lack of such facilities shall have a high
environmental cost. The EV batteries carry a risk of extracting toxics gases if
damaged during disposal. But the core materials such as lithium and cobalt are
finite and very expensive to extract.
14
The policy shall encourage the reuse of EV batteries that have reached
the end of life and setting up of recycling business in collaboration with battery
manufactures.
7.1.
The Government of Odisha therefore will take the following measures.
Batteries currently installed in the EVs will be clearly labelled with the
specific battery chemistry.
7.2.
EV Battery Manufacturers will set up schemes for the collection of
waste batteries and shall not charge end users for collection.
7.3.
Synergies with existing e-waste management agencies shall be
explored.
7.4.
Bench mark labels of materials to be recycled from batteries will be
set up to encourage better recycling technique.
7.5.
A well defined. Policy for encouraging Recyclers shall be notified by
Industries Department in consultation with Forest & Environment
Department and State Pollution Control Board.
8.
AWARENESS
Government of Odisha will facilitate the following initiatives in the
State to promote awareness, in association with corporate, non-
governmental organizations (NGOs), manufacturers and aggregators:
8.1.
Deploy EVs in Government Departments to create visibility. This
would directly increase their use and provide prospective owners
with increased exposure to the vehicles.
8.2.
Encourage stakeholders to gain a comprehensive understanding of
the behaviour and attitude of potential EV users for better planning
of communication.
8.3.
Conduct campaigns, provide funds and facilitate pilots to make
consumers cognizant about EVs. Racing events, trial runs, and test
drives can also be organized in collaboration with manufacturers and
operators.
8.4.
Communicate with the general audience through alternative channels
such as films and TV; the inclusion of EVs and charging as a part of a
new "Model" of life in popular entertainment productions to spread
the message of adoption effectively.
8.5.
Regularly disseminate information on Central and State Government
schemes, to promote EVs to the relevant stakeholders.
9.
FUNDING
The Government will set up a dedicated Fund to provide incentives
under the policy and the said Fund will be financed from such cesses/levies as
the Government may decide and budgetary support as may be decided.
10.
CREATING JOBS AND VOCATIONAL TRAINING
On implementation of the policy, a large number of new jobs can be
created by way of increasing EV adoption i.e. e-Auto, e-Cab Drivers, Charging
Station Operators and EV Service Mechanics. Government shall endeavor for
provision of training related to jobs in the EV Eco System. Vocational Courses
shall be designed to train EV drivers, mechanics and charging station staff with
Auto OEMs and Energy Operators. These courses shall be delivered through
world class skill centres set up with the support of Government of Odisha.
10.1. The private sector partners i.e. Auto OEMs and Energy Operators
shall be allowed to conduct their own captive staff training in the
above Skill Centres.
10.2. The Skill Centres shall offer short training courses for ICE Mechanics
who want to be trained in repairing and servicing of e-Vehicles.
16
10.3. Government of Odisha shall conduct regular Recruitment Fairs at
these Training Centres for private sector recruiters desires to hire
trained persons.
10.4. A Centre of Excellence shall be set up at one of the State Universities
within Odisha and shall be funded by Government. The Centre shall
focus on the design and use of EVs, improving the usage and
effiencies of EVs and charging equipments.
11.
POLICY IMPLEMENTATION
Government of Odisha shall take the following measures to ensure
smooth implementation of various proposals in the Odisha EV Policy-2020.
11.1. The Transport Department shall be the Nodal Department for
implementation of the Policy. A dedicated "EV Cell" shall be
established in the Department for day-to-day effective
implementation of the policy with relevant technical expertise. All
relevant rules, provisions shall be made by the Department for
compliances of the requisites made in the Policy.
11.2 Government will design and implement an intensive public outreach
and communication campaign focused on driving awareness
regarding benefits of EVs and key elements of the policy.
11.3 The EV Cell shall regularly review the performance of various
Stakeholders under the policy and take additional measures as
necessary for effective implementation of the policy to achieve the
primary objective and to bring out material improvement in the air
quality of Odisha by bringing down emissions from the transport
sector.
By Order of the Governor
6
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Principal Secretary to Government
17
Memo No.
GI
IT., dated i i O
.
I
Copy along with its soft copy forwarded to the Gazette Cell, Commerce and
Transport (Commerce) Department, Odisha with a request to kindly publish the Notification
in an extra-ordinary issue of the Odisha Gazette and to supply 20 copies of this Notification
to this Department.
‘A 0
Joint Secret ry to Government
Memo No.
t
fT. dated Y
Copy forwarded to the Joint Secretary to Government of India, Ministry of Road
Transport & Highways(Transport Wing), New Delhi / All State Governments/ U.Ts
(Department dealing with Road Transport) for kind information.
Joint Secrel
l
a
D
y t Government
Memo No.
3 &'3
r r .
dated t
D.oal
Copy forwarded to OSD to Chief Secretary/ PS to DC-cum-ACS, P&C Dept./ PS to
Principal Secretary, C&T Dept./ PS to Principal Secretary, Finance Dept./ PS to Principal
Secretary, Industries Dept.! PS to Principal Secretary, H&UD Dept./ PS to Commissioner-
cum-Secretary, Skill Development & Technical Education Dept./ PS to Principal Secretary,
Industries Dept./ PS to Principal Secretary, Energy Dept./ PS to ACS, Dept. of Forest &
Environment for kind information of Chief Secretary/ DC-cum-ACS, P&C Dept./ Principal
Secretary, C&T Dept./ Principal Secretary, Finance Dept./ Principal Secretary, Industries
Dept./ Principal Secretary, H&UD Dept./ Commissioner-cum-Secretary, Skill Development &
Technical Education Dept./ Principal Secretary, Industries Dept./ Principal Secretary, Energy
Dept./ ACS, Dept. of Forest & Environment.
'/i/4
Joint Secretary to Government
Memo No4
6
(
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,
i D-001
Copy forwarded to the Transport Commissioner, Odisha, Cuttack/ All Collectors/
CMD, OSRTC/ CMD, IDCO/ CEO, CESU/EIC, Electricity/ Member Secretary, SPCB/ FA-
cum-Addl. Secy. to Govt., C&T Dept./ Joint Secretary to Govt., C&T(T) Dept./ Addl. Secy. to
Govt., H&UD Dept./ Addl. Secy. to Govt., SD&TE Dept./ Joint Secy. to Govt., Finance Dept./
All RTOs for kind information and necessary action.
tt
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Joint Secretary to Government
Memo No.
if)G S
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dated the
Acral
Copy forwarded to All Officers/ All Sections of C & T (Transport) Department/ Guard
file (10 spare copies) for information and necessary action.
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Joint Secretary to Government
18
