Union Budget 2025: Key Measures to Accelerate EV Adoption and Industry Growth

Union Budget 2025: Neuron Energy

The Union Budget 2025 presents a pivotal moment for the EV industry, which is poised to reach a valuation of Rs 20 lakh crore and create nearly five crore jobs by 2030. While the 5% GST on EVs has fostered adoption, achieving GST parity for EV batteries could further reduce production costs and make EVs more accessible. Enhancing the FAME II scheme with extended timelines and increased incentives will catalyze widespread adoption across various vehicle categories. To support infrastructure development, prioritizing charge point operators under priority sector lending could lower financing costs and accelerate the deployment of charging networks. Additionally, bridging the gap in local EV battery manufacturing through budget-backed initiatives and fostering international collaborations will be instrumental in establishing India as a global leader in the EV ecosystem.”