The Bihar government recently endorsed the Bihar Electric Vehicle (EV) Policy-2023 during a cabinet meeting led by Chief Minister Nitish Kumar. As part of this initiative, the government intends to boost the adoption of electric vehicles (EVs) for personal use. A feature of the policy is the provision of financial incentives for the purchase of the first 1,000 electric four-wheelers, with a subsidy of up to Rs 1.25 lakh. Additionally, there is a substantial 75% relief on Motor Vehicle Tax for these initial purchases.
The policy sets an ambitious target of achieving 15% EV registrations in all vehicle categories by 2028. To further incentivize EV adoption, the government is extending benefits to the first 10,000 personal two-wheeler EVs. These incentives include a significant reduction of up to 75% on motor vehicle tax and purchase incentives amounting to Rs 10,000.
The primary objectives of the Bihar Electric Vehicle Policy-2023 are to expedite the transition to electric and hybrid vehicles, establish essential charging infrastructure, and address environmental pollution and fuel security concerns. S Siddharth, the additional Chief Secretary of the Bihar government, emphasized that the policy aims to improve environmental quality by curbing air pollution while encouraging startup ventures and investments in the electric mobility sector and its associated support industries.
Furthermore, the policy introduces provisions for incentives related to scrapping EVs and their components. In a move to modernize public transportation, the state cabinet also approved the acquisition of 400 electric buses under the “PM-e Bus Sewa” program. These buses are slated to operate in six districts—Patna, Muzaffarpur, Gaya, Bhagalpur, Darbhanga, and Purnea—with the goal of reducing dependence on traditional petrol and diesel-powered public transport.