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UP becomes first State to offer subsidy for Upstream Infrastructure in EV Charging Stations

Lucknow, June 30 (UNI) In a landmark move to strengthen electric vehicle (EV) infrastructure and empower service providers, the Uttar Pradesh government has approved the inclusion of upstream installation costs under its EV subsidy framework.
This crucial decision was taken during the meeting of the High-Level Empowered Electric Vehicle Committee (HLEEVC), chaired by state Chief Secretary, Manoj Kumar Singh.
For the first time in India, eligible fixed capital investment—required to avail of a capital subsidy of up to ₹10 lakh per unit —will now also cover upstream infrastructure costs during the policy period. This marks a significant step toward enhancing the viability and scalability of Public Charging Stations (PCS). Notably, Invest UP is the nodal agency for implementing this policy across the state.
This policy amendment under the Uttar Pradesh Electric Vehicle Manufacturing and Mobility Policy–2022 is expected to address a key challenge faced by charge point operators: the inability to meet the minimum fixed capital investment threshold of ₹25 lakh due to the exclusion of upstream infrastructure costs from eligible investments.
Officials here on Monday said the policy offers attractive incentives for charge point operators setting up charging stations in the state. Charging stations are eligible for a one-time capital subsidy on fixed capital investment—covering expenses on building, civil works, chargers, upstream infrastructure (up to-the-meter and behind-the-meter), battery equipment, utilities, tools, and other related assets (excluding land costs)—at a rate of 20%, subject to a maximum of ₹10 lakh per unit.
This decision aligns with the state’s broader objective of positioning Uttar Pradesh as India’s leading EV manufacturing and mobility hub. The policy currently provides a 20% capital subsidy to each eligible unit for investments of ₹25 lakh or more.
With this progressive inclusion, Uttar Pradesh has become the first state in the country to offer subsidies for upstream infrastructure in EV charging stations, making the ecosystem more investment-friendly and accelerating EV adoption across the state.
Uttar Pradesh, the third-largest automobile market in India, has recorded over 12,72,206 registered electric vehicles. To sustain this growth, more than 450 charging stations are being integrated into a GIS dashboard, 740+ electric buses have been deployed on key routes, and 116 green routes across 15 cities have been identified for the upcoming phase of EV rollouts.
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