Boosting EV Affordability: Call for GST Reduction

FICCI Electric Vehicle Committee Chair, Sulajja Firodia Motwani, emphasized the need for reduced GST on batteries and charging services to enhance electric vehicle adoption. She proposed lowering the GST from 18% to 5%, ensuring affordability. The PM E-Drive scheme also needs review for increased incentives amid growing demand.

Electric vehicles could become more affordable in India if the Goods and Services Tax (GST) on batteries and charging services is reduced, according to FICCI Electric Vehicle Committee Chair, Sulajja Firodia Motwani.

At a FICCI conference, Motwani recommended to the GST Council that the tax rates on these essential electric vehicle components be cut from 18% to 5%.

She believes this initiative, alongside reviewing the PM E-Drive scheme's incentives, is crucial to boosting electric vehicle adoption among consumers.

(With inputs from agencies.)