Electric vehicle sales rise sharply in Telangana, cross 2 lakh-mark

HYDERABAD: Telangana has seen a sharp rise in the sales of electric vehicles thanks to the state govt offering a 100% exemption on road tax and registration fees.

Over 50,000 electric vehicles have been sold in the past seven months in the state since the introduction of the EV policy in November 2024. Of these, two-wheelers alone accounted for over 37,000. This is followed by 10,000 electric cars, including 1,153 taxis. The registration figures demonstrate remarkable growth, with EV numbers nearly doubling within a year. The total registered EVs in Telangana increased from around 1.25 lakh in 2023-24 to over 2 lakh in 2024-25.

In 2024, the govt implemented a 100% tax relief on EVs to encourage the adoption of eco-friendly vehicles, offering complete exemption from road tax and registration charges. This benefit extends across various categories, including electric two-wheelers, four-wheelers, taxis, three-seater autorickshaws, and electric light goods carriers, along with tractors and buses. The scheme will remain effective until December 31, 2026, with no limitations on the number of vehicles that can be registered under this exemption.

EV experts say that the rapid increase in EV adoption across Hyderabad is a testament to the impact of Telangana’s forward-looking EV policy. Zero life tax on EVs makes ownership significantly more affordable, they say.

“Notably, the issuance of 20,000 new permits for electric three-wheelers (e3Ws) has added a strong boost to volumes in the commercial EV segment. To further accelerate adoption—especially among underserved communities—there’s a compelling case for special schemes through SC, ST, and minority corporations. Targeted funding and subsidy programs from these bodies would increase the financial viability and social acceptance of electric three-wheelers in rural and semi-urban Telangana,” said Venugopal Rao Nellutla, electric mobility industry expert.