Govt plans to make petrol, diesel vehicles costlier. Here’s how
The government is planning to increase the registration fee for new petrol and diesel vehicles of all types in order to give an impetus to the EV industry
July 27, 2019
The government is considering raising the registration fees for new petrol and diesel vehicles of all types as it seeks to give a fillip to the electric vehicle industry. If the hike comes along, vehicle owners would have to shell around 90 percent more than what they spend presently to get their vehicles registered.
How much exactly will it cost?
According to a CNBC-TV18 report, two-wheeler owners, who have been paying Rs 50 so far, will now have to shell out Rs 1,000 for registering their new motorcycles. This means that they will have to pay 95 percent more than what they are paying.
Owners of heavy goods vehicle will have to spend Rs 20,000 instead of the current Rs 1,500, a jump of 93 percent.
Owners of light motor vehicles would pay 90 percent more — Rs 10,000 — to register their vehicle, instead of Rs 1,000. And owners of three-wheelers will attract Rs 5,000 as registration fees from an earlier charge of Rs 300, marking a jump of 94 percent.
The news comes on a day when the GST Council slashed tax rate on electric vehicles from 12 percent to 5 percent. The auto industry has already been registering declining sales since June 2019 as it grappled with regulatory and policy uncertainties, growing levels of pollution and a slowdown in the economy.
The proposed plan and the tax concessions announced by the government are in line with ist intent to promote electric vehicles.