Telangana's EV Policy 2024 introduces tax exemptions for all EVs until 2026, enhancing adoption and sustainability efforts.
Telangana transport minister Ponnam Prabhakar announced the new policy on Sunday
Photo Credit: MG India
Telangana has introduced a new electric vehicle (EV) policy to promote cleaner air, environmental sustainability, and energy efficiency. Announced on Sunday, November 17, by Telangana Transport Minister Ponnam Prabhakar, the policy aims to tackle air pollution, particularly in Hyderabad. At the time of the announcement, Hyderabad's air quality index (AQI) was 123 (moderate), significantly better than New Delhi's severe AQI of 494, as per the Central Pollution Control Board (CPCB).
The policy, effective from Monday, provides a 100 per cent exemption from road tax and registration fees for EVs for two years, until December 31, 2026. The new policy has removed the previous cap of 5,000 EVs limit, encouraging wider adoption.
The tax exemptions cover a range of vehicles, including two-wheelers, four-wheelers, commercial passenger vehicles (taxis and tourist cabs), three-seater auto-rickshaws, electric tractors, and electric buses. Under the scheme, two-wheelers can save up to Rs. 15,000, while four-wheelers can save up to Rs. 3 lakh in taxes and fees. Electric buses operated by private companies for employee transport will also benefit from these exemptions.
Minister Prabhakar confirmed that the government will collaborate with EV manufacturers to expand charging infrastructure in urban areas, towns, and along state and national highways. A vehicle scrappage policy targeting vehicles older than 15 years is under development.
The policy includes plans to replace nearly 3,000 diesel buses in the Greater Hyderabad Municipal Corporation area with electric buses in phases.
The Congress-led state government under Chief Minister A Revanth Reddy has prioritised reducing pollution in Hyderabad and surrounding regions. Prabhakar urged citizens considering new vehicle purchases to opt for EVs to support this initiative for cleaner air and environmental preservation.
Catch the latest from the Consumer Electronics Show on Gadgets 360, at our CES 2026 hub.