A committee formed by the Ministry of Road Transport and Highways (MoRTH) has said that expenses incurred by manufacturers of electric vehicle (EV) charging stations should be considered under corporate social responsibility (CSR), reports Mint. The proposal follows recent news where the state-run Energy Efficiency Services Limited (EESL) could not procure enough EVs due to a major shortage of charging points.
The committee – set up to promote electric public transport, last-mile connectivity and overall electric mobility through other methods apart from financial incentives – submitted its report the NITI Aayog. Recommendations from the ministries of Finance, Information Technology, Earth Sciences, Environment, and Heavy Industry will also be submitted to the think tank.
The committee has recommended accelerated depreciation of EVs at a rate of 50 per cent against 15 per cent for other vehicles under the Income Tax Act.
The government should consider allowing expenditure incurred for charging infrastructure as CSR expenditure. India’s CSR spending is estimated to be around Rs 10,000 crore annually and is expected to be around Rs 2 trillion by 2020. Part of this can be used to create charging infrastructure if companies are allowed to invest in charging infra and ecosystem development as part of their CSR activities.A recommendation made by the panel
Other measures suggested were discounts for EVs and more stringent emission norms, along with income tax exemption for purchases.
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