Revving Up for a Greener Future: Reducing GST to Drive EV Adoption

Sulajja Firodia Motwani, chair of FICCI's Electric Vehicle Committee, urges reducing GST on EV batteries and charging services to enhance affordability and competitiveness of electric vehicles. She emphasizes expanding the PM E-Drive scheme and making EVs part of priority sector lending. Mahindra Group CEO highlights current EV market penetration and consumer appeal.

Sulajja Firodia Motwani, chair of the FICCI Electric Vehicle Committee, has called for a reduction in GST on electric vehicle (EV) batteries and charging services. Speaking at FICCI's National Conference on EVs, she stressed that reducing GST would make EVs more affordable and competitive.

Motwani recommended that the GST on charging services, currently at 18%, should be lowered to 5% to benefit consumers. Furthermore, she proposed reducing the GST on batteries from 18% to 5%, aligning it with the existing GST rate for EVs themselves.

Expressing support for the PM E-Drive scheme, Motwani advocated for a review of incentive amounts to boost EV sales. FICCI President and Mahindra Group CEO, Anish Shah, noted the need for appealing EV products as Mahindra gears up to launch a new electric range.

(With inputs from agencies.)