tech2 News StaffAug 21, 2019 21:12:06 IST
The Union Minister for Road Transport and Highways, Nitin Gadkari has said that the centre has not given any specific timeline for the implementation of a switch to electric vehicles completely.
“There is no deadline as of now. The shift towards electric vehicle will happen in a natural progression," Gadkari said as per a report by Livemint. The government will still continue the promotion of clean and sustainable fuel.
The government had earlier instructed the GST council to reduce Goods and Service Tax (GST) on electric cars from 12 percent to 5 percent. However, the GST rate on raw material for EVs which includes the likes of lithium-ion batteries and electric motors though still stands at 18 percent.
Earlier this year, the government had announced a Rs 10,000 crore budget for EV adoption under the phase II of FAME scheme for three years.
To further push people into buying electric vehicles in the country, EV buyers availing loans for their cars will now be eligible to save up to Rs 1.50 lakh in terms of income tax, depending on their tax bracket.
The government is in fact also looking to put in place a framework for a mega battery manufacturing and charging infrastructure which including the use of petrol pumps as electric charging points to further push the move to EVs in the country.