New EV Policy will make Haryana a global hub of manufacturing, will create 25,000 jobs: Deputy CM

Haryana has joined the league of states that have come up with Electric Vehicle (EV) Policy. The state launched the policy earlier this year and is hoping to get investment worth thousands of crores, which in turn will create thousands of jobs. In an exclusive conversation with Business Today, Haryana Deputy CM Dushyant Chautala talked about the nuances and features of the new policy. “Haryana is coming up with a special policy for electric vehicles and major auto corporates have already planned their manufacturing units for electric vehicles and various components used in such vehicles in the state,” he said.

This policy, he said, will augment revenue streams for the state and will also help in curbing the pollution. "We hope to accrue around Rs 1,110 crore every year as an outcome of EV industry growth in Haryana. The receipts expected include SGST of Rs 250 crore from charging stations, multiplier effect of Rs 167 crore and land sale of Rs 260 crore beside other duties and collections,” he said.

Chautala said that he was optimistic that this policy would make EVs affordable and the government's coordinated efforts "will make Haryana a global hub of manufacturing of EVs, major components of EVs and batteries".

The Deputy CM also about talked about other transformative policies that according to him are going to attract more investment in the state - they are logistic warehousing and retail policy.

"Earlier Haryana had propagated a special policy for logistics, warehousing, and retail. We have seen huge warehouses of companies such as Flipkart coming up in Haryana. We have also planned dedicated sectors for aero defense manufacturing units. There has been significant growth in GST, excise and revenue collection in last 3 years and we have been pushing various transparency measures also to stop all sorts of leakages and pendency,” the Deputy CM said.

Through new EV policy, the target of the state government is to convert 100 per cent of bus fleet owned by state transport undertakings into electric buses by 2029, phasing out all fossil fuel based commercial fleets and logistics, vehicles in Gurugram and Faridabad by 2024 and all cities by 2030.

The policy has set target of converting all forms of government vehicles - including those under corporations, boards and government ambulances etc - into electric vehicles by 2024.

Under the new policy, the government has enumerated many incentives for investors, capital subsidy of Fixed Capital Investment (FCI), 5-25 per cent of fixed capital investment up to a maximum of Rs 15 lakhs for micro industries, 20 per cent of fixed capital investment up to a maximum of Rs 40 lakhs for small and 50 lakhs for medium industries.

The Logitics, Warehouse and Retail policy was implemented with an objective of creating at least 5 Logistics Parks across Haryana with private sector participation by 2023. “The scheme will attract investments to the tune of Rs 10,000 cr in logistics, warehousing and retail sectors and will generate employment to the tune of 25,000 new jobs,” Chautala said.

Talking about driving growth and investment in the state, the Deputy CM said that the state has enhanced support system for the investors as per industry needs and emerging practices.

"In Gurgaon, we are developing a state-of-the-art Global City where we plan to bring the best of multinational companies. This Global City will be first of its kind in country and will spearhead new era of Haryana’s pioneer investment plans. New Enterprises and Employment Promotion policy of state has support system for all kind of investors. Attractive incentives and reliefs are being offered for setting up units in economically and industrially backward blocks of the state. New highways crossing interior of Haryana are becoming new hubs of growth and investment,” Chautala said.

Chautala also spoke on the state of economy of Haryana and said that in the last three year, his state was affected by Covid and faced challenge due to a year-long farmer agitation. "In fact, we were most affected in last 2-3 years in the country but Haryana is first to bounce back and Haryana’s economic parameters are quite satisfactory now,” he said.