If you are thinking about buying electric vehicles, then you can get good news in the union budget. The government is going to make big announcements in Union Budget 2025 to increase people’s interest in electric vehicles. Right now people want to buy electric scooters and cars, but they are unable to buy for these reasons. Sources associated with the EV industry say that the government has identified the major obstacles of EV’s path. Finance Minister Nirmala Sitharaman can make big announcements to remove them in the budget.
EV charging stations will have to increase
Right now EV (Electric Vehicles) The biggest problem in buying is its expensive battery. EV’s battery has to be changed every three to four years. It costs a lot of money. Second, India’s dependence is currently on imported battery cells. India mainly imports battery sales from China. The third barrier is a weak network of EV charging stations. Experts say that if the government wants to increase the interest of people in the use of EV, then it will have to create a strong network of the charging station soon.
GST will have to be reduced on EV components
Dinkar Aggarwal, CTO and COO of Oben Electric, said that if the prices of electric vehicles are to be reduced, then EVs, components and charging stations will have to implement an uniform GST of 5 %. Currently, GST rates on EV components and charging service are very high. Experts say that the government will also have to increase the focus on local manufacturing. This will reduce production costs. This will also have a direct impact on the price of EV. Currently, electric vehicles are charged 5 % GST. However, parts used in EVs are charged 18 to 28 percent GST.
Loan on low interest to buy EV
The government may also instruct banks to give loans on low interest for EV. With this, the government can compensate the damage to banks and NBFCs. On getting cheap loans, people will increase interest in buying electric vehicles. People associated with the EV industry say that if people are given the facility of deduction on the interest on electric scooters and auto loans of the car, then people will also increase interest in buying EV.
Tata Motors leads in EV manufacturing
The government wants EV’s 30 per cent stake in the total auto’s total sales by 2030. For this, the government will have to make big announcements. If the government makes a big announcement for EV on 1 February, then it can show a boom in the shares of auto companies. Especially the shares of companies whose products have more EV in the product portfolio. In this sense, Tata Motors can benefit the most. Tata Motors are at the forefront of EV’s manufacturing. The company’s shares have fallen more than 18 per cent in the last three months.
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Mixed performance of auto stock
Maruti Suzuki’s shares have performed relatively better in the last three months. The company’s stock has climbed about 5 percent in the last three months. The stock of Mahindra & Mahindra has jumped 4 percent during this period. However, the stock of Hyundai Motor has fallen by about 7 percent. The shares of Ole Electric have fallen nearly 12 percent during this period.