BENGALURU: Taking the electric vehicle (EV) policy a step ahead towards attaining net zero emissions and strengthening the manufacturing sector, the state government on Friday announced the Clean Mobility Policy (CMP) 2025- 30.
The policy document, which comes into effect from February 11, 2025, was released on Friday -- the last day of the three-day Global Investors’ Meet. It will be ratified by the cabinet at its next meeting.
Releasing the policy, Large and Medium Industries Minister MB Patil said the policy targets investments of Rs 50,000 crore across the clean mobility value chain, with a vision to generate one lakh new jobs in the sector. The policy lists out multiple incentive packages including offering subsidies of up to 25% on total invested capex. It states that three world-class mobility clusters will be set up in Gauribidanur, Dharwad, and Harohalli, bringing together Original Equipment Manufacturers (OEMs), suppliers, R&D centres and testing facilities to drive innovation and manufacturing, said industry department officials.
S Selvakumar, principal secretary, Commerce and Industries Department, said CMP incorporates the EV policy which is ending in 2027. The EV policy covered only electric vehicles, but the new document includes all green energy industries, covering EV, green hydrogen, ammonia and others. This will help not just the EV manufacturing sector, but also all industries working in the green energy sector.
Explaining the road tax on EV vehicles, Selvakumar said the slabs introduced under the EV policy will continue. Further, under the CMP, when capital and performance incentives are being given to industries and manufacturers, the subsidy should be passed on to consumers.
Gunjan Krishna, Commissioner, Industries Department, said the CMP extends to all components and cuts across all sectors. This covers the entire product manufacturing and supply chain. It also includes charging and hydrogen infrastructure, battery-swapping network, fuelling stations and creation of a clean energy network.
Karnataka boasts of 2.5 lakh registered EVs and 5,403 EV charging stations, ranking third in India for EV adoption. The CMP targets the installation of additional 2,600 charging stations under public-private partnership.
The state government announced Karnataka EV and Energy Storage Policy on September 25, 2017 and amended it on June 1, 2021.