In Short : Goa’s ambitious electric vehicle (EV) policy has encountered financial challenges, impeding its implementation. The state’s initiative to promote electric mobility faces hurdles due to budgetary constraints, hindering the swift adoption of EVs in the region. Despite these setbacks, efforts are underway to address fiscal issues and bolster the transition to cleaner transportation solutions in Goa.
In Detail : Financial crunch seems to have held back the State government’s plan to re-launch the EV subsidy scheme that was abruptly discontinued in July, last year.
Even after Rs 25 crore provisions made in the State Budget 2023-24, the revised policy — drafted by the department of new and renewable energy — is pending for financial approval for more than two months now.
In November 2021, the government had launched a subsidy scheme to promote electric vehicles but with growing demand for EVs, the subsidy was stopped on July 31, 2022 onwards. According to the policy, the subsidy amount was capped at Rs 30,000 per vehicle for two-wheelers, Rs 60,000 per vehicle for electric three-wheelers and Rs 3 lakh per vehicle for electric four-wheelers.
The subsidy was limited to a maximum number of 3,000 electric two-wheelers, 50 three-wheelers and 300 four-wheelers.
Speaking to The Goan, Minister for new and renewable energy Ramakrishna ‘Sudin’ Dhavalikar said that the department has already redrafted the policy with minor changes. “The file has gone to the Chief Minister. It’s been more than two months now that the file is waiting for financial approval,” he said, adding ‘a financial provision of Rs 25 crore was made in the budget for re-launch of the scheme’.
The Minister said that the new policy also speaks about EV-charging infrastructure along highways as well as charging stations in cities and rural areas.
According to sources, the new policy will cap the subsidy to a certain percentage of the actual price of the vehicle like 25-30 per cent subsidy for two-wheelers, 40 per cent for three-wheelers and four-wheelers up to Rs 3.50 lakh. “Finance department has not approved the file due to financial issues,” sources said.
According to the data, for the financial year 2022-23, Goa saw a record purchase of 7093 E-vehicles as compared to 1,816 in 2021-22. Last financial year, a total 6,325 EV two-wheelers were sold as against 1,443 in 2021-22.
Four-wheelers contribute only 11 per cent of the total EV purchase in the State so far. Of the total 1089 four-wheelers, 684 were purchased in the last financial year.
As per the State government’s draft ‘Goa State Energy Vision 2050’ the State intends to increase the penetration of electric vehicles to a minimum of 75 per cent for public transport, 100 per cent for two-wheelers and taxis.
