Briefing Document: Tamil Nadu Electric Vehicle Policy 2019

Date: October 26, 2023
Source: "Tamil Nadu Electric Vehicle Policy 2019.pdf" and G.O.(Ms).No.176, Industries (MID.1) Department, Dated: 09.10.2019

Executive Summary:

The Tamil Nadu Electric Vehicle (EV) Policy 2019 articulates a comprehensive strategy to drive EV adoption and manufacturing in Tamil Nadu. With a vision to become the “EV Hub of India,” the policy builds on the state's automotive strengths and global trends in clean mobility. It targets ₹50,000 crore in investments and aims to create 1.5 lakh jobs through extensive demand- and supply-side incentives. Valid for 10 years, the policy emphasizes infrastructure, R&D, battery recycling, and skilling.

Main Themes and Important Facts:

1. Rationale and Vision:

Global EV transition acknowledged.
Tamil Nadu’s strength in automotive and components sector.
Commitment to SDGs and Vision 2023.
Goal: ₹50,000 crore investment, 1.5 lakh jobs, "EV Hub of India".

2. Scope and Applicability:

BEVs, PEVs, PHEVs, SHEVs included.
Applies to vehicle manufacturing, charging infra, R&D.

3. Key Objectives:

Develop robust EV charging infra.
Encourage shared electric mobility and public transport EV adoption.
Promote EV R&D, battery recycling, and skilling.

4. Demand-Side Incentives (Valid till 30.12.2022):

100% road tax exemption.
Registration fee waiver.
Open permits for e-autos.
Subsidies and tariff support for charging infra.

5. Supply-Side Incentives:

SGST reimbursement up to 2030.
15% capital subsidy (until 2025).
Land, electricity, stamp duty exemptions.
Special battery manufacturing incentives.

6. Transport Regulation Changes:

Green license plates for EVs.
Open permit policy for EV autos/taxis.

7. Charging Infra and Urban Planning:

1 charging station every 25 km.
10% of parking in new buildings for EVs.

8. Skill Development & R&D:

EV curriculum updates.
Centers of Excellence and Working Groups.
Start-up incubation and funding.

9. Recycling and Circular Economy:

Battery recycling norms and incentives.
OEM responsibility for disposal.

10. Policy Duration:

Valid for 10 years or until a new policy is introduced.

Frequently Asked Questions (FAQs)

What is the main goal of this policy?
To attract ₹50,000 crore in EV investment and generate 1.5 lakh jobs.
Which vehicles are covered?
BEVs, PHEVs, SHEVs – 2W, 3W, 4W, buses, freight EVs.
How long is the policy valid?
10 years from October 2019 or until replaced.
What are the incentives for buyers?
Road tax exemption, registration waivers, open permits for e-autos.
How is charging infra supported?
Tariff subsidies, land support, planning (one per 25 km).
Is there support for EV manufacturing?
Yes, including SGST reimbursement, capital subsidy, land cost subsidy.
Are there skilling initiatives?
Yes – curriculum revamp, Centers of Excellence, startup incubation.

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