Electric Vehicles

EV buyers need not pay for registration charges

Written by Nizam Shaikh

Ministry of Road Transport and Highways (MoRTH) has announced that electric vehicles need not pay registration fees in India. By exempting the electric vehicles from the registration fees. The Government of India is planning to accelerate the switch to e-mobility as more individuals will prefer to buy electric vehicles in India.

Amendment in CMVR

The draft notification for the exemption of the registration fees was drafted back in May 2021. But recently, MoRTH issued the amendment in the Central Motor Vehicle Rules to exempt battery-operated vehicles. Many states have already waived off registration charges on electric vehicles to encourage the adoption of EVs.


The government has been pushing hard to promote the adoption of electric vehicles in India. The central government has already employed the FAME II scheme, which heavily subsidises electric vehicle manufacturers for local manufacture and domestic sales. Manufacturers can pass on the benefits to customers through offers and discounts. The government is also offering tax rebates and various other schemes which have lowered the prices of electric vehicles in India. The schemes will help electric vehicles to come to a lower price point. It will also help EVs compete with the internal combustion engine counterpart. 

Electric Vehicle Sales in India

According to the Society of Manufacturers of Electric Vehicle (SMEV), the electric two-wheeler segment has recorded a total sales of 143,837 units in FY2021. Also, in the three-wheeler segment, SMEV recorded 88,378 units of sale in Fy 2021. The electric four-wheeler segment registered 4,588 units. SMEV also recommended that the government take further steps instead of just subsidising electric vehicles.

According to SMEV, only a handful of banking institutions provide loans on select electric vehicle models. SMEV suggests that the government ask more banks to provide easy loans on electric vehicles. In addition to this, the government should also promote green mobility and create awareness about the benefits of using electric vehicles. The government should also take steps to improve the electric charging infrastructure in the country. 

Also Read: FAME II Revision Results in Cheaper EVs, more Subsidies