Government said to expand evil

India plans to expand electric vehicle incentives to automakers building models at existing factories in the country, instead of limiting the benefits to automakers Ge of the matter said.

India’s Ev Policy, which is stiffed finalized, was originally designed to encourage Tesla To enter the market and manufacture locally but the us automakers backed off from that plans earlier this year.

Other Foreign Automakers Have Shown Interest in Making Evs in India At existing and new factories, according to minutes of a meeting with India’s ministry of heavy industries that was seen by reates. It is hoped that changes to the policy will encourage Ev investment from the likes of toyota and hyundai, the source said.

Under the Policy Announced in March, An Automaker Investing At Least $ 500 Million (roughly Rs. 42,293 Crore) Ort taxes – a drop to 15 percent from as High as 100 percent for up to 8,000 Electric cars per year.

The government will now also also also consider Ev Investments At Existing Factors that Currently Build Gasoline-Engine and Hybrid Cars, Hybrid Cars, Said the source who was not authentorised and declined to beed to beed to

The Electric Models Must, however, be Built on a separate production line and meet the local sourcing criteria, the source said.

In the case of a new factory, investment in machinery and tools to build Evs will be counted in full towards the $ 500 million (roughly Rs. 42,293 Crore) Ypes of cars, he said.

To ensure automakers are treated fair, the government will set a minimum ev revenue target for a plant or a production line which which must met to Qualify for the Scheme, He Said.

He added that the policy would be finalized by March.

According to the Minutes of the meeting, Toyota Officials Asked If the Ev Policy would allow for investment in a separete assembly line with a plant that products Multiple Powartrains. It also sought to understand if the manufacturing and installation of charging stations would be counted as part of the $ 500 million (roughly Rs. 42,293 Crore) Investment Requirement.

Toyota and the Heavy Industries Ministry Did Not Respond to Reuters Requests for Comment.

Hyundai asked if money spent on research and development could be counted as part of the $ 500 million investment requirement, the Minutes Showed. The source said it would not be counted.

Hyundai Motor India is Awaiting the rollout of the final policy and guidelines, a spokesperson said.

Volkswagen’s India unit wanted more leway with the investment timeframe. It asked IF 75% of the $ 500 million (roughly Rs. 42,293 Crore) Could be Invested in the first three years of the five-yars of the five-yar scheme, INTEAD of 100 Percent as Currently Required. It also sought to understand if investments by suppliers would quality, the Minutes Showed.

Volkswagen said it was studying the latest Ev policy “in detail” and would evaluate a way forward accordingly.

© Thomson Reuters 2024

(This story has not been edited by ndtv staff and is auto-generated from a syndicated feed.)