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Questions to the Indian Government

Q) The National Electric Mobility Mission Plan (NEMMP) 2020 was launched in January 2013.  
     Why is there a delay in announcing subsidies to the EV industry & consumers?  

Our View
As of 2013 we still don't have any announcements regarding subsidies for EV's.  Delay in announcing subsidies is resulting in stagnation in sales forcing manufacturers to roll back their plans.
A subsidy of 30% on each vehicle would ensure that EV's can compete with oil based vehicles and thus help these manufacturers, consumers and help in reducing our OIL import bill.

Q) Can there be exemption of basic import duty on EV components?  

Our View
Basic import duty of 14.86% & 8% CVD on imported EV parts like motors, battery packs, cells makes the total import duty to around 24%. This is a problem as the cost of manufacturing EV's shoot up and thus the price of EV's are not competitive as compared to oil based vehicles.
Critical components for EV's must be exempted from all import duties. At-least for a time frame of 3-4 years till the EV industry stabilizes.

Q) Can there be exemption of excise duty on EV components?  

Our View
8.24% excise duty is levied on EV components like battery, motor etc. This is a problem as the cost of manufacturing EVs shoot up and thus the price of EV's are not competitive as compared to oil based vehicles.
Critical components for EV's must be exempted from all excise duties.

Q) Can EV consumers be helped with VAT exemption / Refund?  

Our View
Delhi & Uttarakhand have 0% VAT.  Some states have 4% VAT. Most other states have 12 to 15% VAT for EV's. High VAT ensures that the price of EV's are not competitive as compared to oil based vehicles. 
VAT should be 0% for EV's.

Q) What is the status on investment on R&D, EV charging infrastructure that is mentioned in The National Electric Mobility Mission Plan (NEMMP) 2020?

Our View
Some areas like charging infrastructure are being provided by automakers.  The government too needs to help them and thus help inspire confidence in consumers.  Also there should be financial help with R&D on manufacturing of critical EV components like batteries, motors, controllers etc which are imported.
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