Stalin unveils new EV policy, eyes Rs 50,000 Cr investments

The Tamil Nadu government has announced the launch of its Electric Vehicles Policy 2023, with the goal of increasing the use of electric vehicles and transforming the state into a preferred destination for EV manufacturing. Tamil Nadu Chief Minister M K Stalin released the “Tamil Nadu Electric Vehicles Policy 2023,” and the government aims to attract Rs 50,000 crore worth of investment in EV manufacturing during the policy period.
The policy shall be valid for five years from the date of the policy notification or until a new one is announced, according to a government release.
Among many features, the policy document shows the state wants to provide reimbursement for SGST, turnover-based subsidies, capital subsidies, and a special Advanced Chemistry Cell capital subsidy. The released electric vehicle policy document also mentioned the developing EV cities in Tamil Nadu. Cities like Chennai, Coimbatore, Tiruchirappalli, Madurai, Salem, and Tirunelveli are to be pilot cities for implementing e-mobility solutions.
Tamil Nadu’s growth as an automotive manufacturing hub is reflected in the presence of large automobile manufacturers like Hyundai, Nissan, TVS, Mahindra, and Daimler, the release said. The strong manufacturing ecosystem in the state has encouraged new entrants like Ather Electric, Ola Electric, Ampere, and others to establish their electric vehicle manufacturing units.
During the COVID-19 pandemic, the state signed MoUs with an investment interest of nearly Rs 24,000 crore in the EV value chain, the new policy document said.
It had established the Tamil Nadu Green Climate Company, a Special Purpose Vehicle (SPV), to collaborate and strengthen community engagement to build a long-term commitment towards a net-zero carbon future.
The new EV policy also talked about accelerating adoption in Tamil Nadu