Only 'Made In UP' Electric Vehicles To Get Subsidy Benefits From October 14: All You Need To Know

The Uttar Pradesh government is set to revise its electric vehicle (EV) subsidy policy by restricting incentives to only those EVs that are manufactured within the state. This change will take effect from October 14 and is part of the state's broader effort to promote local manufacturing and attract EV companies to set up production units in Uttar Pradesh. The decision is expected to impact buyers who were previously eligible for subsidies on EVs made outside the state, including popular models from other regions or countries.

Changes starting October 14

According to the revised policy, only EVs manufactured or assembled in Uttar Pradesh will qualify for financial benefits such as purchase subsidies, road tax exemptions, and registration fee waivers. From October 14, 2025, to October 13, 2027, a 100 per cent rebate will be given on EVs manufactured, sold and registered in the state.

The move aligns with the state's goal of becoming an EV manufacturing hub under the 'Make in India' and 'Atmanirbhar Bharat' initiatives. Officials believe this will generate local employment, encourage investments, and build a more self-reliant EV ecosystem in the state.

Local manufacturing requirement: The full registration fee and road tax exemption will now only apply to EVs that are manufactured in Uttar Pradesh. 

Application process: Buyers must apply for the subsidy through the official EV Subsidy Portal, and details will be verified by the relevant RTO office.

However, the change could also have short-term consequences for EV buyers, who may now face reduced options or higher upfront costs if they choose vehicles not eligible under the new policy. This move comes amid a growing focus on sustainable transport solutions, with Uttar Pradesh emerging as a significant market for electric vehicles in India.

 Uttar Pradesh's EV Policy

The state's EV policy was launched on October 14, 2022, to promote green mobility and reduce the upfront cost of ownership. It provided buyers with complete exemption from road tax and registration fees for three years, with refunds issued to those who had already paid these charges.

The current incentive structure offered buyers up to Rs 20 lakh depending on the vehicle category, broken down into Rs 5,000 for a two-wheeler, Rs 1,00,000 for a four-wheeler, Rs 20,00,000 for an electric bus, and Rs 1,00,000 for an e-goods carrier. To date, 17,665 vehicle owners have received subsidies, while 38,285 applications are still pending.

EV refers to all automobiles using electric motors that are powered by batteries, ultracapacitors, or fuel cells. These include all two-wheelers, three-wheelers, and four-wheelers, Strong Hybrid Electric Vehicle (HEV), Plug-in Hybrid Electric Vehicle (PHEV), Battery Electric Vehicle (BEV), and Fuel Cell Electric Vehicle (FCEV).