POWER

India revamps incentives for autos to boost EVs, hydrogen fuel cells

India has revised its proposed $8 billion scheme for the auto sector which will now focus on incentivising companies to build electric and hydrogen fuel-powered vehicles, two sources familiar with the plan told Reuters.

This is a significant shift from the government’s original plan to incentivise auto and auto part maker to build mainly gasoline vehicles and their components for domestic sale and export, with some added benefit for electric vehicles (EVs).

The move to clean technologies comes as Tesla Inc is gearing up to enter India and is lobbying for lower import duties https://reut.rs/3hWd2Ok on electric cars. While the government is considering the request, it wants some economic benefit in return which could include a commitment from Tesla to produce cars locally.

Under the new proposal, India will give incentives to automakers for building EVs and hydrogen fuel cell cars only, the sources said.

“The government does not want to spend money on promoting old technologies,” one of the sources said.

Source
ET Energy World
Show More

Related Articles

Back to top button
Close
Close