
Chhattisgarh State Electric Vehicle Policy 2022
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.
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 Type | No. of Vehicles Registered | % of Vehicles |
|---|---|---|---|
| 1 | Goods Vehicles | 2,43,327 | 3.68% |
| 2 | 4 Wheelers (Commercial) | 20,091 | 0.30% |
| 3 | Buses | 60,240 | 0.91% |
| 4 | 3 Wheelers | 44,084 | 0.67% |
| 5 | 2 Wheelers | 53,97,457 | 81.53% |
| 6 | 4 Wheelers (Non Commercial) | 4,36,800 | 6.60% |
| 7 | Others | 4,18,428 | 6.32% |
| Total | All Types | 66,20,427 | — |
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 Classification | 2022-23 | 2023-24 | 2024-25 | 2025-26 | 2026-27 | Total Stated |
|---|---|---|---|---|---|---|---|
| 1 | 2-Wheeler | 2,000 | 8,000 | 20,000 | 54,000 | 85,000 | 1,69,000 |
| 2 | 3-Wheeler | 200 | 800 | 2,000 | 4,000 | 10,000 | 17,000 |
| 3 | 4-Wheeler (Non-Comm.) | 200 | 400 | 1,400 | 3,000 | 10,000 | 12,000 (adds to 15K) |
| 4 | 4-Wheeler (Comm.) | 10 | 40 | 200 | 300 | 650 | 1,100 (adds to 1.2K) |
| 5 | Buses | 10 | 25 | 65 | 200 | 600 | 900 |
| Total | All Categories | — | — | — | — | — | 2,00,000 |
What qualifies, and under whose decision
Key Definitions — Clause 5
| Term | Definition under the Policy |
|---|---|
| BEV | Battery Electric Vehicle. |
| PHEV | Plug-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 Station | A 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 Station | An EV charging station equipped with fast chargers, in which each individual fast charger has a capacity of at least 15 kW. |
| DISCOM | The 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).
Incentive quantum — exact figures
A. Purchase Incentive — Clause 12.1
| Head | Originally Notified (26/08/2022) | Position After 2025 Amendment |
|---|---|---|
| Rate | 10% of EV value, excluding taxes | 10% of EV value, excluding taxes |
| Ceiling | ₹1,50,000, whichever is lower | ₹1,00,000, whichever is lower |
| Price Cap | No ex-showroom price ceiling | Incentive withdrawn for vehicles priced above ₹20 lakh |
| Fully electric | Eligible for full purchase incentive | Eligible for full purchase incentive |
| Hybrid | Eligible for 50% of incentive | Withdrawn — 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 Commencement | Road Tax Rebate Percentage | Calendar Window |
|---|---|---|
| First 2 years | 100% | 01/04/2022 to 31/03/2024 |
| Next 2 years | 50% | 01/04/2024 to 31/03/2026 |
| Following 1 year | 25% | 01/04/2026 to 31/03/2027 |
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 Enterprise | Quantum of Assistance |
|---|---|---|
| 1 | New MSME enterprise | 25% of capital investment in plant & machinery, max ₹1 crore |
| 2 | SC / ST / Divyang / Woman / Technical entrepreneur owned new MSME | 30% of capital investment in plant & machinery, max ₹1.25 crore |
| 3 | Backward district unit | Additional capital investment subsidy of 5% over and above serial 1 & 2 |
Capital Subsidy on Fixed Capital Investment (FCI) — Clause 12.2(ix)
| Category | Subsidy | Ceiling |
|---|---|---|
| Fixed Capital Investment (FCI) | 25% of FCI | Max ₹15 lakh |
| Small & Medium Enterprises FCI | 20% of FCI | Max ₹40 lakh (small) / ₹50 lakh (medium) |
| First two large units in EV/battery/charging segments | 10% of FCI | Max ₹10 crore |
| First two mega units in EV/battery/charging segments | 10% of FCI | Max ₹20 crore |
| Mega integrated automobile / ultra-mega battery plants | Case-to-case basis | Special incentives |
- •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
| Head | Incentive | Ceiling | Number Covered |
|---|---|---|---|
| Fast charging stations equipment | 25% capital subsidy to empanelled operators | Max ₹10 lakh per station | First 300 fast chargers commissioned in State |
| Batteries in swapping stations | 100% SGST reimbursement to Energy Operators | — | Not numerically capped |
| Electricity connection charges | Rebate on fixed & demand charges recommended to CSERC | — | Up to 31 March 2027 |
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
| Case | Position |
|---|---|
| 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. |
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.
What is needed, and the strings attached
Threshold Conditions
| Condition | Requirement |
|---|---|
| Nexus | Vehicle must be manufactured and/or registered in Chhattisgarh |
| Technical | Compliance with FAME II standards; certified powertrain |
| Battery | Lithium-ion or higher density advanced chemistry battery (BEV, FCEV) |
| Price Cap | Ex-showroom price must not exceed ₹20 lakh (2025 amendment) |
| Hybrids | Not eligible for any incentive (withdrawn in 2025) |
| Taxes | Subsidy computed on base cost excluding taxes |
| Fast Charger | Each fast charger must be rated at least 15 kW |
| Budget Limits | Disbursement is gated by annual budget allocation limits (leads to arrears) |
Document Checklist — Vehicle Purchase Incentive
| # | Document | Purpose / Linked Clause | Basis |
|---|---|---|---|
| 1 | Dealer tax invoice showing vehicle base cost | Computed on value excluding taxes (Clause 12.1) | Confirmed |
| 2 | Registration Certificate from CG RTO | RTO registration nexus in the State | Confirmed |
| 3 | FAME II standards compliance evidence | Eligibility condition in Clause 12.1 | Confirmed |
| 4 | Powertrain / motor certificate (ARAI) | Registration requirement (Clause 9.4(vi)) | Confirmed |
| 5 | Manufacturer BEV declaration | Checks out hybrid vehicles | Confirmed |
| 6 | Ex-showroom price under ₹20 lakh check | Price ceiling under 2025 amendment | Confirmed |
| 7 | Lithium-ion battery specification certificate | Chemistry validation under Clause 9.4(i) | Confirmed |
| 8 | Aadhaar, PAN, CG domicile proof of owner | DBT credit verification | Confirmed |
| 9 | Cancelled cheque of registered owner | DBT disbursement to owner's account | Confirmed |
| 10 | Road tax assessment order copy | Captures taper rebate (25% in year 5) | Confirmed |
Document Checklist — Charging Infrastructure
| # | Document | Purpose | Basis |
|---|---|---|---|
| 1 | Energy Operator empanelment proof | Required to receive fast-charging capital subsidy | Confirmed |
| 2 | Charging equipment invoices | Basis for 25% subsidy, max ₹10 lakh | Confirmed |
| 3 | Fast charger technical rating (≥15 kW) | Definitional check for fast chargers | Confirmed |
| 4 | Ministry of Power guidelines compliance file | Clause 10(iii) eligibility rules | Confirmed |
| 5 | Transport Department own-land setup permission | Clause 12.3.2(xv) approval | Confirmed |
| 6 | DISCOM connection letter (Case III) | Enables EV promotional tariff & demand rebate | Confirmed |
| 7 | Energy metering records (≥90% EV usage) | Maintains charging station status | Confirmed |
| 8 | SGST invoices for battery swapping units | 100% SGST reimbursement to Energy Operators | Confirmed |
Document Checklist — Manufacturing & Industrial Parks
| # | Document | Purpose | Basis |
|---|---|---|---|
| 1 | Industries Department manufacturing application | Route under Clause 17(ii) | Confirmed |
| 2 | Detailed Project Report with FCI break-up | Subsidy computations for MSME / large segments | Confirmed |
| 3 | Category certificates for SC/ST/Women entrepreneurs | Unlocks higher 30% capital assistance rate | Confirmed |
| 4 | IDP 2024-30 eligibility certificate | Replaces the consolidated 2019-24 industrial policy route | Confirmed |
| 5 | EPR registration under Battery Waste Management Rules 2022 | Supercedes the stale 2001 rules for recycling | Confirmed |
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.
Step-by-step application process
- 1Step 1 — Eligibility checks: Verify FAME II compliance, ex-showroom price under ₹20 lakh, and fully electric BEV type.
- 2Step 2 — Proforma pricing: Calculate 10% on base vehicle cost excluding all taxes against the ₹1 lakh ceiling.
- 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.
- 4Step 4 — Claim generation: Submit DBT bank details via dealer RTO portal to secure a claim reference number.
- 5Step 5 — Arrears tracking: Diarise follow-ups with the RTO as payment depends on annual budget tranches.
- 6Step 6 — Charging station NOCs: Empanel as Energy Operator, request RTO for multi-department NOCs, and apply for CSERC tariff rebate.
- 7Step 7 — Manufacturing filings: Prepare the DPR and route the application through the Director of Industries under IDP 2024-30 rules.
Bodies governing the policy
| Body | Role |
|---|---|
| Steering Committee | Transport Secretary chaired. Modifies modalities, determines purchase incentives, monitors EV Fund, and coordinates departments. |
| Executive Committee | Transport Commissioner chaired. Ensures incentive delivery, recommends VGF, and caps charging service charges. |
| State EV Development Corporation Limited | 100% State-owned SPV. Designs EV routes, aggregates land for chargers, and manages concessionaires. |
| IIT Bhilai | Nodal research and training institution. |
| IIM Raipur | Think tank for revenue, parking, and advertising policies. |
Composition — Steering Committee (Clause 7.1)
| Member | Position |
|---|---|
| Secretary-in-charge, Transport | Chairman |
| Transport Commissioner | Member-Convener |
| Secretaries of Industry, Finance, Housing, Revenue, Energy | Members |
Composition — Executive Committee (Clause 7.3)
| Member | Position |
|---|---|
| Transport Commissioner | Chairman and Member-Convener |
| MD, CSIDC; MD, CSPDCL; CEO, SUDA CG; Member Secretary, PCB | Members |
| Joint Secretary, Finance; Director, Land Records; Director, PRD | Members |
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).