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Chhattisgarh State Electric Vehicle Policy 2022

10% / ₹1 L
Purchase Incentive, as Reduced in 2025
2,00,000 EVs
Five-Year Adoption Target (Table 2)
₹10 L / Stn
Capital Subsidy, First 300 Fast Chargers
31 Mar 2027
End of Five-Year Operative Period
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Overview

Policy Coverage at a Glance

The Chhattisgarh State Electric Vehicle Policy 2022 is a five-year framework to make Chhattisgarh a manufacturing hub for electric vehicles and to take battery electric vehicles to 15% of all new registrations by 2027. It provides viability-gap purchase subsidies, road tax and registration fee relief, SGST reimbursement on buses, goods carriers and manufacturing, capital subsidies for the first 300 fast charging stations, and plans for an EV Park of 500–1,000 acres.

The Policy was notified vide G.R. No. 539 dated 26/08/2022, Department File No. F 3-11/2022/Aath-Pari. The Nodal Department is the Transport Department, Chhattisgarh, and the operative period runs from 01/04/2022 to 31/03/2027 (extendable to 10 years).
1. Vision & Objectives

Why the policy exists

The Policy opens from the transport-sector emissions problem: an imminent shift from internal combustion vehicles to electricity-driven vehicles is under way in order to reduce deteriorating air quality, cut India's oil import bill and advance national energy security. Chhattisgarh is emerging rapidly as an important tourism and industrial centre, with its strategic location, ease of access and cost-effective transport as major contributors to its development.

Table 1 — Vehicles Registered in the State Since Its Formation

S. No.Vehicle TypeNo. of Vehicles Registered% of Vehicles
1Goods Vehicles2,43,3273.68%
24 Wheelers (Commercial)20,0910.30%
3Buses60,2400.91%
43 Wheelers44,0840.67%
52 Wheelers53,97,45781.53%
64 Wheelers (Non Commercial)4,36,8006.60%
7Others4,18,4286.32%
TotalAll Types66,20,427
Two-wheelers exceed 81% of the State's vehicle population, four-wheelers 6.90% (the text states 6.90% but the table lists 6.60%), goods vehicles 3.68%, others 6.32% and buses only 0.91%.

Policy Objectives — Clause 2

  • Work towards ensuring a healthy environment for a sustainable future.
  • Reduce toxic gas emissions from vehicles that are worsening the Air Quality Index.
  • Drive rapid adoption of BEVs to contribute 15% of all new vehicle registrations by 2027.
  • Accelerate EV adoption across segments, particularly two-wheelers, public transport, and goods carriers.
  • Make Chhattisgarh a manufacturing hub for EVs and ancillary equipment, creating youth employment.
  • Create a talent pool of engineers, designers, technicians and researchers for sustainable development.

Table 2 — Segment-wise Adoption Targets, Five Years

S. No.EV Classification2022-232023-242024-252025-262026-27Total Stated
12-Wheeler2,0008,00020,00054,00085,0001,69,000
23-Wheeler2008002,0004,00010,00017,000
34-Wheeler (Non-Comm.)2004001,4003,00010,00012,000 (adds to 15K)
44-Wheeler (Comm.)10402003006501,100 (adds to 1.2K)
5Buses102565200600900
TotalAll Categories2,00,000
Arithmetic defect in Table 2: Two rows do not sum to their stated totals. Non-Commercial adds to 15,000 vs 12,000 stated, and Commercial adds to 1,200 vs 1,100 stated. The five-year aggregate total of 2,00,000 is the reliable figure. Table 2 is a planning target, not a first-come numerical cap on incentive eligibility.
2. Eligibility & Definitions

What qualifies, and under whose decision

Key Definitions — Clause 5

TermDefinition under the Policy
BEVBattery Electric Vehicle.
PHEVPlug-in Hybrid Electric Vehicle — a vehicle with several kinds of motive power which (i) can be plugged into an electrical outlet for charging and (ii) can travel using electric propulsion alone. Micro, mild and full hybrids do not qualify.
EV Charging StationA consumer of electricity using power with the primary object of charging EVs. More than 90% of electricity purchased must be used for charging; auxiliary consumption must be less than 10%.
Fast Charging StationAn EV charging station equipped with fast chargers, in which each individual fast charger has a capacity of at least 15 kW.
DISCOMThe electricity distribution licensee (CSEB).

Core Eligibility Conditions — Clause 10

  • Applies to EVs of all classes manufactured in and/or registered in Chhattisgarh.
  • Applies to all classes of EVs that have taken subsidy under FAME II and subsequent amendments.
  • Charging station incentives apply to units meeting Ministry of Power guidelines.
  • Encourages local collaboration with multinational agencies to establish EV component manufacture and charging infrastructure.
  • To avail purchase incentives, vehicles must meet FAME II minimum performance and efficiency standards.
  • Registration is permitted for 2W, 3W, 4W using advanced battery technology certified by approved agencies (BEVs, FCEVs using lithium-ion or higher density batteries).
Eligibility narrowed by the 2025 amendment: (i) incentive ceiling reduced from ₹1.5 lakh to ₹1 lakh; (ii) incentive on vehicles priced above ₹20 lakh is withdrawn; and (iii) no subsidy is payable on any hybrid vehicle category. Confirm these limits directly with the Transport Department before advising.
3. Financial Incentives

Incentive quantum — exact figures

A. Purchase Incentive — Clause 12.1

HeadOriginally Notified (26/08/2022)Position After 2025 Amendment
Rate10% of EV value, excluding taxes10% of EV value, excluding taxes
Ceiling₹1,50,000, whichever is lower₹1,00,000, whichever is lower
Price CapNo ex-showroom price ceilingIncentive withdrawn for vehicles priced above ₹20 lakh
Fully electricEligible for full purchase incentiveEligible for full purchase incentive
HybridEligible for 50% of incentiveWithdrawn — no subsidy on any hybrid

B. Additional Incentives for 2W / 3W / 4Ws — Clause 12.1.1

  • Government hiring preference: Government offices and PSUs will give preference to hiring EVs.
  • Public parking: Municipal corporations will provide 50% subsidised parking for all private EVs.
  • Registration fee: Exemption from registration fees on the purchase of EVs during the policy period.

C. Additional Incentives for Buses — Clause 12.1.2

  • 100% SGST reimbursement on the sale of electric buses sold and registered in the State during the policy period.
  • 100% exemption from registration fees for the first five years.
  • Monetary assistance for replacement of diesel buses with electric buses under scrappage and ULB rules.

D. Additional Incentives for Goods and Other Vehicles — Clause 12.1.3

  • 100% SGST reimbursement on the sale of electric goods carriages sold and registered in the State during the policy period.
  • 100% exemption from registration fees for the policy period.
  • Local authorities to notify movement and permanent parking exemptions for electric goods carriers.

E. Road Tax Rebate — Clause 9.4(x)

Period from CommencementRoad Tax Rebate PercentageCalendar Window
First 2 years100%01/04/2022 to 31/03/2024
Next 2 years50%01/04/2024 to 31/03/2026
Following 1 year25%01/04/2026 to 31/03/2027
Almost all secondary sources misquote the road tax waiver as a flat 100%. The Policy Hindi text prescribes the above taper, so vehicles registered in the fifth policy year (2026-27) attract only a 25% rebate at the RTO counter. Confirm the rate with the RTO.

F. Manufacturing-Related Incentives — Clause 12.2

SGST reimbursement is available for State EV manufacture. All incentives under the MSMED Act, 2006 apply in line with the Industrial Policy.

MSME EV Battery Manufacturing Units — MSME Policy 2016

S. No.Category of EnterpriseQuantum of Assistance
1New MSME enterprise25% of capital investment in plant & machinery, max ₹1 crore
2SC / ST / Divyang / Woman / Technical entrepreneur owned new MSME30% of capital investment in plant & machinery, max ₹1.25 crore
3Backward district unitAdditional capital investment subsidy of 5% over and above serial 1 & 2

Capital Subsidy on Fixed Capital Investment (FCI) — Clause 12.2(ix)

CategorySubsidyCeiling
Fixed Capital Investment (FCI)25% of FCIMax ₹15 lakh
Small & Medium Enterprises FCI20% of FCIMax ₹40 lakh (small) / ₹50 lakh (medium)
First two large units in EV/battery/charging segments10% of FCIMax ₹10 crore
First two mega units in EV/battery/charging segments10% of FCIMax ₹20 crore
Mega integrated automobile / ultra-mega battery plantsCase-to-case basisSpecial incentives
The Industrial Policy cross-reference is stale. Clause 12.2 refers to Industrial Policy 2019-24, which has been succeeded by IDP 2024-30. Evaluate manufacturing proposals under the new IDP 2024-30 rates, which may offer better terms.
  • Allotment of 500–1,000 acres to develop an EV Park with common plug-and-play facilities and an incubation centre.
  • Financial assistance of 50% of FCI in building and common infrastructure up to ₹20 crore for exclusive auto-clusters and Automotive Suppliers Manufacturing Centres.

G. Charging Infrastructure Incentives — Clause 12.3

HeadIncentiveCeilingNumber Covered
Fast charging stations equipment25% capital subsidy to empanelled operatorsMax ₹10 lakh per stationFirst 300 fast chargers commissioned in State
Batteries in swapping stations100% SGST reimbursement to Energy OperatorsNot numerically capped
Electricity connection chargesRebate on fixed & demand charges recommended to CSERCUp to 31 March 2027
The 300-station cap on the fast charging capital subsidy is exhaustible. Confirm the count with the Transport Department before committing capital.
4. Charging, Innovation & Allied Measures

Beyond the tariff

A. Private Charging Points — Clause 12.3.1

  • Building owners are encouraged to set up private charging points with shared access in group housing societies.
  • DISCOM consumers will purchase private charging points with a Government grant and request DISCOM installation (recovered through bills).
  • Upcoming buildings are mandated to have a percentage of space designated as 'EV Ready'.

B. Public Charging Infrastructure — Clause 12.3.2

  • Operators invited to set up stations on highways and cities on leased land at minimum rent.
  • RTO obtains the NOC from various departments, and tenders ad space at charging stations.
  • Flyovers: Municipal corporations to provide priority parking and chargers under flyovers for 2W.
  • Energy operators are encouraged to use low-cost renewable sources; CSERC to notify promotional tariffs.
  • Entrepreneurs wishing to set up charging stations on own land can get permission from Transport Department and receive incentives.

C. Electricity Tariff for EV Charging — Clause 13

CasePosition
Case I (Residential)May charge EVs from existing connection. Load increase may change tariff but category remains residential.
Case II (Non-Residential)Industrial, commercial or other consumers may charge EVs from existing connections.
Case III (Dedicated Station)Dedicated EV charging stations can avail promotional tariffs and subsidies. Operators may recover only service charges capped by Executive Committee.
CSERC provides discounts for night use at independent charging connections. No distribution licence is required to set up and operate charging infrastructure.

D. Renewable Energy & Research — Clause 14 & 15

  • Roadmap: Targets increase of renewable energy for charging over 5 to 10 years.
  • VGI: Promotes Vehicle Grid Integration demand response, smart metering, and communication protocols.
  • Research: IIT Bhilai (nodal platform), NIT Raipur, SIAM, and ARAI to collaborate; CIRT to supervise; IIM Raipur as think tank.

E. Recycling Ecosystem & Batteries — Clause 18

  • Deterioration: EV batteries require replacement at 70–80% capacity (approx. 2 batteries per 10-year vehicle life).
  • Urban Mining: Promotes mineral extraction from used batteries in cooperation with State.
  • Reuse (Clause 18.1): Damaged batteries can be deposited at BSO or EO swapping stations for value. Disposal in landfills is prohibited.
  • Recycling (Clause 18.2): Governed by Batteries Rules.
Two defects in Clause 18: (i) Clause 18.1(ii) mentions 'GOMP' (Govt of MP) due to copy-paste error. (ii) Clause 18.2 refers to the 2001 Rules, which were superseded by the Battery Waste Management Rules, 2022. Use the 2022 Rules for legal compliance.
5. Conditions & Document Checklist

What is needed, and the strings attached

Threshold Conditions

ConditionRequirement
NexusVehicle must be manufactured and/or registered in Chhattisgarh
TechnicalCompliance with FAME II standards; certified powertrain
BatteryLithium-ion or higher density advanced chemistry battery (BEV, FCEV)
Price CapEx-showroom price must not exceed ₹20 lakh (2025 amendment)
HybridsNot eligible for any incentive (withdrawn in 2025)
TaxesSubsidy computed on base cost excluding taxes
Fast ChargerEach fast charger must be rated at least 15 kW
Budget LimitsDisbursement is gated by annual budget allocation limits (leads to arrears)

Document Checklist — Vehicle Purchase Incentive

#DocumentPurpose / Linked ClauseBasis
1Dealer tax invoice showing vehicle base costComputed on value excluding taxes (Clause 12.1)Confirmed
2Registration Certificate from CG RTORTO registration nexus in the StateConfirmed
3FAME II standards compliance evidenceEligibility condition in Clause 12.1Confirmed
4Powertrain / motor certificate (ARAI)Registration requirement (Clause 9.4(vi))Confirmed
5Manufacturer BEV declarationChecks out hybrid vehiclesConfirmed
6Ex-showroom price under ₹20 lakh checkPrice ceiling under 2025 amendmentConfirmed
7Lithium-ion battery specification certificateChemistry validation under Clause 9.4(i)Confirmed
8Aadhaar, PAN, CG domicile proof of ownerDBT credit verificationConfirmed
9Cancelled cheque of registered ownerDBT disbursement to owner's accountConfirmed
10Road tax assessment order copyCaptures taper rebate (25% in year 5)Confirmed

Document Checklist — Charging Infrastructure

#DocumentPurposeBasis
1Energy Operator empanelment proofRequired to receive fast-charging capital subsidyConfirmed
2Charging equipment invoicesBasis for 25% subsidy, max ₹10 lakhConfirmed
3Fast charger technical rating (≥15 kW)Definitional check for fast chargersConfirmed
4Ministry of Power guidelines compliance fileClause 10(iii) eligibility rulesConfirmed
5Transport Department own-land setup permissionClause 12.3.2(xv) approvalConfirmed
6DISCOM connection letter (Case III)Enables EV promotional tariff & demand rebateConfirmed
7Energy metering records (≥90% EV usage)Maintains charging station statusConfirmed
8SGST invoices for battery swapping units100% SGST reimbursement to Energy OperatorsConfirmed

Document Checklist — Manufacturing & Industrial Parks

#DocumentPurposeBasis
1Industries Department manufacturing applicationRoute under Clause 17(ii)Confirmed
2Detailed Project Report with FCI break-upSubsidy computations for MSME / large segmentsConfirmed
3Category certificates for SC/ST/Women entrepreneursUnlocks higher 30% capital assistance rateConfirmed
4IDP 2024-30 eligibility certificateReplaces the consolidated 2019-24 industrial policy routeConfirmed
5EPR registration under Battery Waste Management Rules 2022Supercedes the stale 2001 rules for recyclingConfirmed

Strings Attached & Scrappage Note

Scrappage gaps: Scrappage incentives for private vehicles are mentioned but not quantified in Clause 12. Do not include private scrappage numbers in project projections. Stacking: Section 80EEB income tax benefits are closed for new loans post 31/03/2023. Plan accordingly.

6. Procedure

Step-by-step application process

  1. 1Step 1 — Eligibility checks: Verify FAME II compliance, ex-showroom price under ₹20 lakh, and fully electric BEV type.
  2. 2Step 2 — Proforma pricing: Calculate 10% on base vehicle cost excluding all taxes against the ₹1 lakh ceiling.
  3. 3Step 3 — Purchase and RTO registration: Register in CG, secure green plates, and apply road tax rebate (25% in year 5) and registration fee exemption.
  4. 4Step 4 — Claim generation: Submit DBT bank details via dealer RTO portal to secure a claim reference number.
  5. 5Step 5 — Arrears tracking: Diarise follow-ups with the RTO as payment depends on annual budget tranches.
  6. 6Step 6 — Charging station NOCs: Empanel as Energy Operator, request RTO for multi-department NOCs, and apply for CSERC tariff rebate.
  7. 7Step 7 — Manufacturing filings: Prepare the DPR and route the application through the Director of Industries under IDP 2024-30 rules.
7. Institutional Mechanism

Bodies governing the policy

BodyRole
Steering CommitteeTransport Secretary chaired. Modifies modalities, determines purchase incentives, monitors EV Fund, and coordinates departments.
Executive CommitteeTransport Commissioner chaired. Ensures incentive delivery, recommends VGF, and caps charging service charges.
State EV Development Corporation Limited100% State-owned SPV. Designs EV routes, aggregates land for chargers, and manages concessionaires.
IIT BhilaiNodal research and training institution.
IIM RaipurThink tank for revenue, parking, and advertising policies.

Composition — Steering Committee (Clause 7.1)

MemberPosition
Secretary-in-charge, TransportChairman
Transport CommissionerMember-Convener
Secretaries of Industry, Finance, Housing, Revenue, EnergyMembers

Composition — Executive Committee (Clause 7.3)

MemberPosition
Transport CommissionerChairman and Member-Convener
MD, CSIDC; MD, CSPDCL; CEO, SUDA CG; Member Secretary, PCBMembers
Joint Secretary, Finance; Director, Land Records; Director, PRDMembers
8. Validity & Key Timelines

Key dates and durations

  • 01/04/2022: Operative period commences retrospectively.
  • 26/08/2022: Solar Policy consolidated and EV Policy 2022 issued under Resolution No. 539.
  • 31/03/2024: End of the 100% road tax waiver period (switches to 50% rebate).
  • 31/10/2024: Operative window for the Industrial Policy 2019-24 closes.
  • 27/02/2025: IDP 2024-30 comes into force.
  • 31/05/2025: 2025 amendment notified: ceiling cut to ₹1 lakh, ex-showroom cap ₹20 lakh, hybrids excluded.
  • 31/03/2026: End of 50% road tax waiver period (switches to 25% rebate).
  • 19/05/2026: Bhumi Vikas Niyam, 1984 amended: mandates charging points and EV space allocations.
  • 20/07/2026: FY 2026-27 purchase subsidy budget exhausted.
  • 31/03/2027: End of the five-year operative policy window (extendable to 2032).
Discrepancy: Clause 18.1(ii) incorrectly references 'GOMP' (Govt of MP) for battery monitoring. Reconcile this with the CG Transport Department.