Policy overview
The Punjab Cabinet approved the Electric Vehicle Policy (PEVP) 2022 on 3 February 2023; it was formally notified on 21 February 2023 with a nominal validity of three years. The policy uses a "feebate" design — fees on polluting vehicles fund rebates on efficient ones — and specifically targets Punjab's highest-emission cities.
Key parameters
| Cabinet approval | 3 Feb 2023 |
| Notified | 21 Feb 2023 |
| Nominal validity | 3 years |
| Road tax + registration fee | 100% exemption, all categories |
| Design mechanism | Feebate (fee on polluters, rebate on EVs) |
| Priority cities | Ludhiana, Jalandhar, Patiala, Amritsar, Bathinda, Mohali |
What's covered
- Purchase incentives across E2W, e-cycles, E3W, E4W and eLCV categories
- Blanket 100% road tax and registration fee exemption for all EVs registered during the policy period
- Capital subsidy for Level-1 AC and DC public charging points, plus special electricity tariffs
- Employment generation subsidy for EV manufacturers (gender-differentiated rate)
- A promised battery-scrapping policy to support EV buyers with end-of-life disposal
- Targeted rollout in the state's five highest-emission cities plus Mohali
Electric two-wheelers (E2W)
Punjab's two-wheeler incentive scales with battery size, similar to the central FAME-era structure, and runs alongside a separate line for e-cycles.
| Parameter | Value |
|---|---|
| Incentive rate | ₹3,000 per kWh |
| Max incentive per vehicle | ₹10,000 |
| Quota | First 1,00,000 registered owners |
| Road tax + registration fee | 100% exempt |
- Stacks on top of applicable central incentives (originally FAME-II, now succeeded by PM E-DRIVE)
- Separate purchase incentive available for qualifying e-cycles: max speed under 25 km/hr, unladen weight under 60 kg
Electric three-wheelers (E3W)
A flat per-vehicle incentive covering autorickshaws and e-rickshaws under a shared quota.
| Parameter | Value |
|---|---|
| Incentive | Up to ₹30,000 per vehicle |
| Quota | First 10,000 autorickshaws + e-rickshaws combined |
| Road tax + registration fee | 100% exempt |
- Rollout prioritised in Ludhiana, Jalandhar, Patiala, Amritsar and Bathinda, given their higher e-rickshaw and auto density
Electric four-wheelers (E4W)
Punjab uses a flat per-vehicle incentive for cars rather than the price-banded or percentage-based structures seen in Delhi, UP or Haryana.
| Parameter | Value |
|---|---|
| Incentive | Flat ₹30,000 per vehicle |
| Quota | First 5,000 e-cars |
| Price eligibility | No price band specified |
| Road tax + registration fee | 100% exempt |
- Unlike Haryana's price-banded structure, Punjab's flat ₹30,000 applies regardless of the car's ex-showroom price — worth flagging if comparing incentive value across states for the same vehicle
Electric light commercial vehicles (eLCV)
Covers L5N and N1 category electric goods carriers, with the incentive amount varying by vehicle sub-category and battery size.
| Parameter | Value |
|---|---|
| Incentive range | ₹30,000–₹50,000 per vehicle |
| Quota | First 5,000 units |
| Vehicle categories | L5N and N1 goods carriers |
| Road tax + registration fee | 100% exempt |
Electric buses (eBus)
Punjab's PEVP-2022 buyer scheme doesn't carry a distinct state cash incentive for buses. In practice, e-bus rollout in the state is currently driven mainly by the central PM e-Bus Sewa scheme.
| State purchase incentive | Not listed in PEVP-2022 |
| PM e-Bus Sewa buses sanctioned | 347 across 4 cities |
| Amritsar / Ludhiana | 100 each |
| Jalandhar / Patiala | 97 / 50 |
Ludhiana rollout detail
- 100 nine-metre electric buses planned, reviving city bus service discontinued in 2024
- Two depots: Ghora Road (70 buses) and Hambran Road (30 buses)
- Seven proposed e-bus routes covering roughly 152 km
- State-run PRTC/PUNBUS fleet electrification remains at an earlier, less quantified stage — a August 2025 ministerial direction called for a rollout survey, but no confirmed large-scale state EV-bus procurement figure was available as of this writing
Charging & battery-swapping infrastructure
Charging incentives are structured as a flat capital subsidy per charging point rather than a percentage of installation cost.
- ₹3,000 per Level-1 (light EV AC) charging point, for the first 8,000 points
- ₹10,000 per DC charging point, for the first 2,000 points
- Special electricity tariffs for all charging and battery-swapping stations, regardless of use type
- Employment generation subsidy for EV/component manufacturers: ₹36,000/year per male employee and ₹48,000/year per female employee, for 3 years
- A dedicated battery-scrapping policy was promised to support EV buyers with end-of-life disposal, though it hadn't been separately detailed as of this writing
Policy timeline
Key dates across the policy's approval, notification and the fleet-electrification milestones layered on top.
Cabinet approval
Punjab Cabinet accords approval to the Electric Vehicle Policy (PEVP) 2022.
Policy notified
Nominal 3-year validity window begins; purchase incentives and road tax exemption take effect.
State e-bus survey directed
Transport Minister directs a joint survey on electric bus rollout across the state.
Nominal policy expiry
Three-year validity window closes on paper; current operational status should be confirmed directly.
Ludhiana e-bus rollout targeted
100 e-buses and two depots under the PM e-Bus Sewa scheme; separate Punjab EV Manufacturing Policy 2026 introduced for investors.
Frequently asked questions
The Punjab Cabinet approved the Electric Vehicle Policy (PEVP) 2022 on 3 February 2023, and it was formally notified on 21 February 2023 with a nominal validity of three years. A review published in April 2026 still described the incentives as functional, but the nominal three-year window has technically closed by mid-2026 — confirm current status with the Punjab Transport Department before advising a buyer.
₹3,000 per kWh of battery capacity, up to a maximum of ₹10,000 per vehicle, for the first 1,00,000 registered electric two-wheeler owners — in addition to applicable central incentives. Punjab also runs a separate incentive for qualifying e-cycles (max speed under 25 km/hr, unladen weight under 60 kg).
A flat ₹30,000 per vehicle for the first 5,000 electric cars registered in the state, regardless of the car's price — plus a 100% exemption on road tax and registration fees, which applies across all EV categories under the policy.
No distinct state cash purchase incentive for buses appears in the PEVP-2022 buyer scheme. Electric bus expansion in Punjab is currently driven mainly by the central PM e-Bus Sewa scheme, under which 347 electric buses have been sanctioned across Amritsar, Ludhiana, Jalandhar and Patiala, rather than by a state-level purchase subsidy.
Yes. The Punjab Electric Vehicle Manufacturing Policy 2026 is a separate, investment-focused policy targeting R&D, component localisation and skilling for EV manufacturers. It is distinct from the 2022 buyer-incentive policy and does not itself carry purchase subsidies for vehicle buyers.
₹3,000 per Level-1 AC charging point for the first 8,000 points, and ₹10,000 per DC charging point for the first 2,000 points, along with special electricity tariffs for public charging and battery-swapping stations.
Sources & further reading
- EVreporter — Punjab State Electric Vehicle Policy (PEVP-2022) summary
- Down To Earth — category-wise incentive breakdown and feebate design
- Road tax and registration fee exemption confirmation, Gomechanic / Cars24 / Acko / Spinny road-tax explainers, 2025–2026
- Charging infrastructure capex and employment subsidy detail, HumansOfEV — Punjab EV Policies
- PM e-Bus Sewa allocation for Amritsar, Ludhiana, Jalandhar and Patiala, Tribune India / Babushahi, Feb 2025 & Jul 2026
- Punjab Electric Vehicle Manufacturing Policy 2026 overview, Invest Punjab policy document (via public filing)
Compiled by the All India EV Research Desk. This page summarises publicly reported policy details for informational purposes and is updated as official notifications evolve — it is not a substitute for the official gazette text.