AI SummaryGujarat State Electric Vehicle Policy was launched in 2021 to push electric mobility across the state and make Gujarat a manufacturing hub for electric vehicles and related equipment. Buyers of electric two-wheelers, three-wheelers and four-wheelers could get a purchase subsidy of ₹10,000 per kilowatt hour, with the amount capped by the vehicle segment. As of 12 August 2026, this purchase subsidy has been closed, and the state government is reported to be preparing a new electric vehicle policy with fresh benefits.
Ports and Transport Department, Government of Gujarat brought this policy, while Gujarat Energy Development Agency (GEDA) and other state agencies helped with the rollout. The main aims were simple: cut air pollution, support startups in electric mobility, and build a strong public charging network across the state.
Buyers should also note that a concessional 1% motor vehicle tax for electric vehicles, which was available from April 2025, ended on 31 March 2026. No fresh state purchase subsidy or road tax concession has been notified. Reports say a new policy with zero road tax and better incentives is under preparation, but no official draft has been released yet. It is better to confirm the current position with a dealer or on the official EV Gujarat portal before buying.
Gujarat State Electric Vehicle Policy - Key Details
The table below gives the basic scheme information and the current position of the policy.
| Detail | Information |
|---|---|
| Scheme Name | Gujarat State Electric Vehicle Policy |
| Level | State |
| State | Gujarat |
| Launched By | Ports and Transport Department, Government of Gujarat |
| Launched In | 2021 |
| Purchase Subsidy (old policy) | ₹10,000 per kWh, capped by vehicle segment |
| Status in August 2026 | Purchase subsidy closed; new policy under preparation |
| Payment Mode | Direct Benefit Transfer (DBT) |
| Official Website | e-veg.gujarat.gov.in |
Benefits Under the 2021 Policy
Under the 2021 policy, the state gave a purchase subsidy based on battery capacity. The payment was transferred directly to the buyer's bank account through DBT after document verification.
| Vehicle Type | Subsidy | Maximum Ex-factory Price |
|---|---|---|
| 2-Wheeler | ₹10,000 per kWh | ₹1,50,000 |
| 3-Wheeler | ₹10,000 per kWh | ₹5,00,000 |
| 4-Wheeler | ₹10,000 per kWh | ₹15,00,000 |
The subsidy could not cross 40% of the ex-factory price of the vehicle, and one vehicle could be covered under only one government scheme at a time.
Current Status in 2026
The purchase cash incentives under this policy have been closed. The 1% motor vehicle tax window for electric vehicles, which started in April 2025, also ended on 31 March 2026. As of 12 August 2026, buyers in Gujarat do not get any notified state purchase subsidy or road tax concession.
Still, national-level benefits continue. Electric cars attract 5% GST against the much higher tax on petrol and diesel cars, electric vehicles get green number plates, and the per kilometre running cost stays far lower than petrol or diesel vehicles. The central government's PM E-DRIVE scheme also supports electric vehicle purchases, so buyers should check the latest central benefit details separately.
Charging Infrastructure Support
To speed up the charging network, the 2021 policy offered a 25% capital subsidy on equipment and machinery for commercial public charging stations, limited to ₹10,00,000 per station for the first 250 stations. A 100% exemption from electricity duty was also available during the policy term.
The policy also fixed special electricity tariffs for charging stations. For low tension (LT) connections up to 100 kW, the energy charge is ₹4.10 per unit. For high tension (HT) connections above 100 kW, the energy charge is ₹4.00 per unit.
Eligibility
To qualify for the old purchase subsidy, the electric vehicle had to be covered under the central FAME India scheme (notified on 8 March 2019), and its ex-factory price could not cross the segment limit. For charging infrastructure, the applicant had to set up a commercial public station for 2, 3 or 4-wheelers and could not have claimed other government promotional subsidies for the same setup.
These conditions are likely to guide the next policy as well. Once a new notification is released, the eligibility list will be updated on the official EV Gujarat portal.
Exclusions
Under the policy, an agriculture electricity connection cannot be used for charging an electric vehicle because of existing tariff rules. Also, one vehicle can be covered under only one government subsidy, so buyers cannot stack benefits from multiple schemes for the same purchase.
Application Process
Claims under the old policy were processed online through the Digital Gujarat portal. The same process is expected to continue if a new subsidy is announced. These steps applied earlier and will guide buyers when fresh benefits are notified.
STEP 1 - Buy an eligible electric vehicle from an authorised dealer. Make sure the model is covered under the central subsidy scheme applicable at that time and that the ex-factory price stays within the notified limit.
STEP 2 - Keep the required documents ready, including the purchase invoice, registration certificate, battery specification certificate and the owner's ID proof.
STEP 3 - Apply online on the Digital Gujarat portal within 90 days of vehicle registration, if a state subsidy is notified.
STEP 4 - After document verification, the approved subsidy is credited directly to the buyer's bank account through DBT.
Documents
For vehicle purchase, these documents were required to claim the subsidy.
- Valid vehicle registration certificate
- Purchase invoice showing the ex-factory price
- Central subsidy certificate wherever applicable
- Battery capacity specification certificate
For charging station developers, these documents were required.
- Equipment purchase invoices
- Compliance certificate for Ministry of Power guidelines dated 01.10.2019
- Fire and safety clearance
- Commercial registration documents
References
Gujarat State Electric Vehicle Policy 2021 - Official Guidelines PDF
EV Gujarat Web Portal - Official Website
Incentives under Gujarat Electric Vehicle Policy
FAQ's
Is Gujarat giving an electric vehicle purchase subsidy in 2026?
No notified state purchase subsidy is available as of 12 August 2026. The subsidy under the 2021 policy has been closed. The state government is reported to be preparing a new electric vehicle policy, but no official notification has been released yet.
What was the subsidy amount under the old Gujarat EV policy?
Buyers could get ₹10,000 per kilowatt hour, with the maximum amount capped at ₹20,000 for two-wheelers, ₹50,000 for three-wheelers and ₹1,50,000 for four-wheelers, based on battery size.
Is the 1% road tax benefit for electric vehicles still available?
No. The 1% motor vehicle tax concession for electric vehicles ended on 31 March 2026. Buyers should confirm the current tax treatment with the dealer or the local RTO.
Where can I check the latest update about the Gujarat EV policy?
The official EV Gujarat web portal at e-veg.gujarat.gov.in carries the policy details and announcements. Buyers can also check the Digital Gujarat portal for citizen services.
Can I use my farm electricity connection to charge an electric vehicle?
No. Agriculture electricity connections cannot be used for charging electric vehicles under the current tariff rules.
Will the new Gujarat EV policy apply to vehicles bought before it is notified?
There is no confirmation yet. State policies generally apply from the date of notification, and retrospective benefits are rare. Buyers should not assume that a future policy will apply to vehicles purchased now.