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The Gujarat government might have created a climate change department and chief minister Narendra Modi might have scripted a book on climate change, but when it comes to sale of environment-friendly e-vehicles, the government has done little.
The whopping 14.5 % VAT on electric vehicles has applied brakes on promotion of these vehicles in the state.
All India, Gujarat’s VAT percentage on electric vehicles is highest. While Rajasthan, Punjab and Haryana do not levy any tax on e-bikes and e-cars, Delhi even offers subsidy on such non-polluting vehicles.
Just because of high taxes, electric car, Mahindra Reva, is not sold in Gujarat. “The electric car which is sold in Delhi for around Rs3.5 lakh, is priced at around Rs5 lakh in Ahmedabad. Because of high taxes, this e-car is expensive by almost Rs1.5 lakh in Gujarat.
So we are not interested in selling the non-polluting car at this high price,” said Pavan Sachdeva, GM (marketing), Mahindra Reva.
