Andhra Pradesh decides against incentives for hybrid vehicles in new EV policy

livemint.com:

Subscribe to enjoy similar stories. New Delhi: The Andhra Pradesh government has decided not to extend road tax waivers and cash incentives for buyers of hybrid vehicles, in its new sustainable electric mobility policy document seen by Mint. The policy, effective 11 December, extends benefits only to electric two-, three-, and four-wheelers, goods carriers, and e-buses, diverging from other states like Uttar Pradesh that have incentivized hybrids to promote cleaner mobility. The policy, valid until 2029, is part of Andhra Pradesh’s goal to achieve carbon-neutrality in the transport sector by 2047.

While Uttar Pradesh has included hybrids in its incentive programmes, Andhra Pradesh has decided to focus on battery electric vehicles (BEVs) as the backbone of its clean-transport strategy. Sales of electric passenger vehicles in India fell 19% in the first half of the ongoing fiscal year. Andhra Pradesh has 1.3 lakh registered BEVs, just a fraction of its 1.78 crore vehicle population, which includes a negligible 817 hybrids.

Hybrid vehicles typically use internal combustion engine as well as electric motors. In July, Uttar Pradesh extended a 100% road tax waiver to both EVs and hybrids for three years, and introduced cash incentives of up to ₹1 lakh. The road tax waiver alone represents significant savings: for EVs priced above ₹10 lakh, the waiver could offset the 8% road tax, rising to 9% for vehicles priced above ₹20 lakh.