Union Government approves green licence plates for private electric vehicles

The Union Government on May 10, 2018 approved green licence plates bearing numbers in white fonts for private electric-vehicles and yellow font for taxis. The government also announced its plan to allow youth of 16-18 years to drive electric scooters. As per the Motor Vehicles Act, 1988, those in the age group of 16-18 years can be granted with licence for below 50 CC gearless scooters.

The government is also in view of exempting e-vehicles from permits with an aim to promote their use. The government is also considering asking taxi aggregators to have a fixed share of electric vehicles from 2020 onwards, which could be 1 percent of the fleet every year. There is also a proposal to bring down the GST on batteries to 12 percent at par with the GST on electric-vehicles.

Moreover, the Ministry of Road Transport and Highways will request the Finance Ministry to allow the rate of depreciation on electric-vehicles at 50 percent as against the rate of 15 percent for conventional vehicles. Similarly, all public transport operators may also be mandated to provide 1 percent incremental fleet from 2020 onwards.

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