Uttar Pradesh EV Policy – Summary

Status of Policy – Final

Date of Release – 07 Aug, 2019

Targets of Uttar Pradesh EV Policy 2019

  • To attract investments of over INR 40,000 crore in the next 5 years across the electric mobility ecosystem with an employment potential for 50,000 people
  • To launch 1000 electric buses (BEVs/FCEVs), and achieve 70% EV public transportation on identified green routes in identified 10 EV cities by 2030.
  • To phase out all conventional commercial fleets and logistics vehicles and achieve 50% EV mobility in Goods Transportation in identified 10 EV cities by 2024 and all cities by 2030.
  • To roll out nearly 10 lakh EVs, combined across all segment of vehicles, by 2024.
  • To bring in manufacturing units of high density power storage of at least 5GWh capacity in the next 5 years for smooth electric mobility
  • To set up nearly 2 lakh slow and fast charging, swapping stations by 2024

The policy outlines special incentives and concessions to attract investments in EV manufacturing and infrastructure, which includes –

Investment Criteria

  1. Mega Anchor Project:- investments of over INR 1000 crores to get support of minimum of INR 200 crore investment for EV assemblies. 
  2. Anchor EVMU:-Indian Original Equipment Manufacturers (OEM) that design and manufacture Electric Vehicles will be investing at least INR 500 Cr and supported with at least 10 vendor units.
  3. Anchor EBU:- Indian Original Equipment Manufacturer (OEM) which designs, manufactures EV batteries with recycling set up, will be invested at least INR 300 Cr and brings along at least 10 vendor units.  
  4. Vendor units (EVMU/EBU):– Units which are located in the same cluster as Anchor unit (EVMU or EBU) and supply at-least 50% of its end product to the Anchor unit.
  5. Large projects Large EVMUs:- Fixed capital investment of at least INR 500 crores or creating at least 2500 direct employment in over state.
  6. Large EBUs:- Fixed capital investment of more than equal to INR 100 crores or creating at least 1200 direct employment.
  7. MSME units:- Government has specified incentives for MSME firms manufacturing and repair of components of the electric mobility ecosystem.
  8. Ultra-Mega Battery Plant:– A plant with annual 1 GWh output will be set up for battery and fuel cell manufacturing.
  9. Service units criteria:- The following criteria will be considered:-
    1. Slow charging:- Set up with minimum capital investment (excluding land cost) size of INR 25 lakh, providing charging range of more than 15kms but less 80 kms per hour of charging at 10-50 kW power level.
    2. Fast category:- Set up with minimum capital investment (excluding land cost) size of INR 50 lakh, providing charging range of more than 80 kms per half an hour of charging at 50-150 kW power level.
    3. Swapping Station:- Set up with minimum capital investment (excluding land cost) size of INR 20 lakh, providing integrated services for battery swapping, repair and maintenance at least at 5 places in a city.

Policy Framework

  1. EV Manufacturing Zones/Park– To develop the state as an EV manufacturing hub Government is promoting quality infrastructure.
  2. EV mobility – Various cities including Noida, Ghaziabad, etc. will be declared as model EM cities.
  3. Transition to Electric Vehicles– Government will promote hybrid electric vehicles and give incentives to boost demand of HEVs in the state.
  4. Public Transportation– To promote EV vehicles in Public Transportation, 1000 EV buses will be introduced by the State by 2030. 25% in phase I by 2020, 35% in phase II by 2022. 40% in phase III by 2030. 
  5. All forms of government vehicles will be converted to electric vehicles by 2024.

Development of Charging Infrastructure

  1. State will facilitate acquisition of land to such PSUs at concessional rates in designated areas to set up charging infrastructure.
  2. DISCOM will plan an investment to set up 100 DC public charging stations in each of the 10 model EM cities.
  3. Charging infrastructure to be developed and promoted in public places with provisions to set up charging outlets.
  4. Promote EV mobility on prominent highways, with heavy density of vehicles, fast charging stations, battery swapping infrastructure, at every 50kilometers.

Fiscal Incentives

Incentives to manufacturing units (EVMUs and EBUs)

  1. Land Subsidy – Upto 25% of reimbursements will be provided on  Mega Anchor Project and Ultra mega battery plant on land purchased.
  2. The defined Large, Anchor EVMUs/EBUs and MSME units will be provided incentives including:-
    • Capital interest subsidy
    • Infrastructure interest subsidy
    • Industrial quality subsidy
    • Stamp duty and electricity duty exemption
    • SGST reimbursement
  3. For manufacturing of alternate clean sources of fuel like hydrogen based fuel cells will be supported in technology transfer.
    • Anchor EBUs will be reimbursed 100% and 75% cost of technology transfer towards first and next 5 vendor units consecutively, upto INR 50 lakh.
    • Ultra mega Battery plant will be reimbursed 50% cost of technology transfer, upto INR 10 lakh per annum.

Incentives to Service Units 

  1. Capital Subsidy @25% on fixed capital investment (excluding land cost) to first 100 charging stations subject to maximum Rs 6 lakh per charging station. 
  2. 50% Capital interest subsidy on fixed capital investment will be provided for setting up hydrogen generation and fuelling plants in the form of reimbursement to first 10 units in UP, subject to maximum INR 50 lakh per unit over the period of this policy.

Private EV Parks – Government of Uttar Pradesh will provide incentives to the developers of private EV parks & clusters with plug and play facilities.

Patent & quality certifications – Government will provide financial assistance limited to 75% towards patent and certifications. It will be subjected to a maximum of 25 lakhs for obtaining patent registration and 50% of all charges, subject to a maximum of 5 Lakhs paid for obtaining quality certification.

Testing Facilities – Government will set-up an accessible quality testing centre for all manufacturers EVs. 

EV mobility incentives 

First 1,00,000 buyers of Private EVs manufactured within the State of Uttar Pradesh over the period of this policy will be provided following exemptions – (customer base and promotion)

  1. 100% exemption from Vehicle registration fees
  2. 100% exemption on road tax for 2-wheeler EVs and 75% road tax exemption for other EVs

Ease of business

Taking forward the vision and mission of State’s Industrial Investment and Employment Promotion (IIEP) Policy, 2017, this policy also ensures ease of business in the state.

Link to Policy Document

UP Electric Vehicle Manufacturing and Mobility Policy 2019

Karan Bhatia

EV enthusiast and electronics engineer from Vellore Institute of Technology. Currently working as an Embedded engineer at Zahnradfabrik Friedrichshafen.

Leave a Reply

Your email address will not be published.

error: Content is protected !!