Telangana has been one of the early states to understand EV adoption and has put in place many enablers for EV adoption. The government has been proactive in implementing central government schemes while also taking help from private sector to ensure creation of charging infrastructure. Electricity tariffs have been rationalized to incentivize users and charging station operators. The state is also aware that adoption of EV will create huge opportunity in manufacturing of vehicles, batteries and other components. The state has already received many investments offers from global companies to set up their units in Telangana.
| Incentive Type | Amount/ Cap |
|---|---|
| Capital Investment Subsidy | 20%; Capped at INR 30 Cr for Mega Enterprises and INR 2 Crores for others; |
| SGST Reimbursement | 100 % net SGST for 7 years; Capped at INR 5 Cr / year with a cumulative cap of INR 25 Cr for Mega Enterprises; Cumulative Cap of INR 5 Cr for others; |
| Power Tariff Discount | 25% for 5 years; Capped at INR 5 Cr for Mega Enterprises; INR 0.3 Cr for others; |
| Electricity Duty Exemption | 100% for 5 years; Capped at INR 0.5 Cr |
| Interest Subvention | 5.25% for 5 years; Capped at INR 5 Cr. |
| Transportation Subsidy | 60% with 10% reduction YoY - for 5 years; Capped at INR 5 Cr. |
| Stamp Duty/ Registration Fees Reimbursements | 100% on first, 50% on second transaction |
| Lease Rental Assistance | 25% subsidy on lease rentals for a period of 10 years |
| Assistance in Patent Filing | 50% of the cost of filing patents; Capped at INR 5 Lakh for Mega Enterprises and INR 2 Lakh for others |
| Reimbursement Quality Certification costs | 50% of the cost uncured for certification; Capped at INR 2 Lakh (Conformity European (CE), China Compulsory Certificate (CCC), UL Certification, ISO, CMM Certification, SA, RU etc.) |
| Cleaner Production Practices | 25% of the cost incurred; Capped at INR 5 Lakh |
| Exhibition Cost Reimbursements | 50% of the cost of filing patents; Capped at INR 5 Lakh |
| Skill Development Assistance | Skill Development Assistance will by provided by Telangana Academy for Skills & Knowledge |
Furthermore, Tailor Made Incentives are available for Mega Projects with investment of over USD 28.5M (INR 200 Cr) or those that provide employment for a minimum of 1000 personnel
Telangana is one of the first states in India to launch a Start-up policy and create a supportive ecosystem around it. Within two years of the formation of Telangana, IT Minister had launched “The Innovation Policy” of the state which defines a holistic approach to bridge the gaps between Start-ups and government and to build the Start-up ecosystem.
