Telangana’s Tax-Free EV Drive Powers EV Registrations Past 2 Lakh

Telangana’s electric vehicle sales have surged, thanks to a bold state policy that offers 100% exemption from road tax and registration fees on EVs registered in the state until December 31, 2026.

This incentive covers all EV types – two-wheelers, cars, three-wheeler autos, goods carriers, tractors, and buses with no cap on the number of vehicles.

For electric buses run by the state transport corporation (TSRTC), the exemption lasts their full lifetime.

Since launching the policy in November 2024, Telangana has seen huge uptake. Within just seven months, over 50,000 EVs were sold including around 37,000 two-wheelers, 10,000 cars, and more than a thousand EV taxis. In total, EV registrations in the state zoomed from about 1.25 lakh in 2023–24 to over 2 lakh by mid-2025.

These numbers show how effectively the exemption has lowered the cost of owning an EV. Industry experts say that by making life‑long tax-free ownership possible, the policy has removed a major financial barrier and created real momentum for EV adoption in Telangana’s towns and cities.