Plan to restrict EV sales to Odisha residents only

As per transport department data, a total of 1,55,068 EVs were registered in the state between 2021 and March 2025.

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Worried that people from states such as Andhra Pradesh and Chhattisgarh are taking advantage of Odisha’s generous incentives for buyers of electric vehicles (EV)s, the transport department is planning to introduce restrictions on EV purchases so that residents of the state can benefit from the subsidies and tax waivers on offer.

“We have received complaints about the misuse of our state’s subsidies and tax benefits by EV buyers from neighbouring states. To address this, we have proposed to the govt that only permanent residents of Odisha be allowed to purchase EVs. We are seeking the govt’s guidance on this matter to ensure that the subsidies and tax waiver benefit our state’s residents only,” state transport commissioner Amitabh Thakur told TOI.

Currently, the Odisha govt offers up to Rs 20,000 subsidy for two-wheelers, Rs 30,000 for three-wheelers, and Rs 1.5 lakh for four-wheelers, along with total waiver on registration fee and road tax under the amended EV policy 2021. These incentives have made Odisha an attractive destination for EV buyers from outside the state.

Thakur acknowledged the challenge in defining a “genuine buyer from Odisha” and mentioned that a robust identification and address proof verification process will be established. “If people from outside Odisha use EVs permanently in their states, it undermines the purpose of our policy, which is to promote clean and pollution-free transport by encouraging EV adoption,” said Thakur.

In response to the complaints, the transport department plans to investigate whether the majority of recent EV buyers are from Odisha or other states. “We will also scrutinise the use of potentially forged documents, manipulated invoices, and tampered vehicle documents to obtain Odisha registration numbers,” another official said.

As per transport department data, a total of 1,55,068 EVs were registered in the state between 2021 and March 2025. Vehicle registration data from regional transport offices revealed that two-wheeler EV sales saw a 39% growth in the first half of this year compared to the corresponding period last year, while four-wheeler sales saw an over 50% rise.

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