EV Subsidy in Gujarat 2026: Complete Guide and Benefits

Published by VIDA

Read Time: 1 min 20 sec

Date: 21th September 26

Gujarat’s electric two-wheeler sales fell 43.5% in 2024, from 88,614 to 50,010 units, after the state’s per-kWh subsidy ended. But the EV benefit landscape is changing again.
 

With the new Green Mobility Policy 2026 and the extended PM E-DRIVE scheme, electric scooter buyers across India can now access new financial benefits. Here’s what you can claim, how to apply, and what’s changed.
 

Gujarat EV Policy 2021: what electric scooter buyers
need to know in 2026
 

The Gujarat State Electric Vehicle Policy 2021 ran from 1 July 2021 for four years. It offered:
 

•  ₹10,000/kWh purchase subsidy, capped at ₹20,000 for two-wheelers priced below ₹1.5 lakh

• Registration fee exemptions

• Charging infrastructure support
   

The policy also targets 40% electric two-wheeler registrations by 2030.
 

What changed?
 

• The purchase subsidy was discontinued in 2024.Registration fee exemptions

• The 2021 policy has now expired.

• The new Green Mobility Policy 2026 proposes a 100% motor vehicle tax exemption for eligible green vehicles, including electric scooters.

• Buyers can also benefit from the central PM E-DRIVE scheme.So, while the old purchase subsidy is gone, EV buyers will still have financial benefits available in 2026.
   

Maximum subsidy on electric scooter in Gujarat: the complete breakdown

The old Gujarat EV subsidy has ended, but buyers can still combine these benefits:
 

• PM E-DRIVE: ₹2,500/kWh, capped at ₹5,000 per vehicle

• 100% MVT exemption: Full motor vehicle tax exemption, including lump-sum and recurring taxes

• Women buyer bonus: Additional incentive ₹5,000 for women buying electric two-wheelers
   

Example: On a ₹1 lakh scooter, assuming 6% MVT, a female buyer could save around ₹16,000:
₹5,000 PM E-DRIVE + ₹6,000 MVT + ₹5,000 women’s bonus.
 

The earlier ₹20,000 state purchase subsidy is no longer available, but the 100% MVT exemption offers a significant ongoing benefit
 

Gujarat state EV subsidy 2026: eligibility, amount and how it is calculated
 

The old state subsidy of ₹10,000/kWh, capped at ₹20,000, for electric two-wheelers priced up to ₹1.5 lakh is discontinued.
 

For the current benefits:
 

• Vehicles must be registered in Gujarat during the policy period

• It must qualify as a green vehicle, including EVs.

• The ₹5,000 women’s incentive applies only to women buyers.
  The Go Green Scheme may also offer benefits to eligible construction workers, industrial workers and ITI students. Check the GLWB portal for current availability before buying.
   

PM E-DRIVE scheme for electric scooters: central
government incentive details
 

PM E-DRIVE is the main direct subsidy available to Gujarat EV buyers. It has been extended to
31 March 2028, with the two-wheeler allocation increased to ₹2,767 crore.
 

• Subsidy: ₹2,500 per kWh, capped at ₹5,000 or 15% of ex-factory price, whichever is lower

• Price cap: Ex-factory price below ₹1.5 lakh

• How to claim: Instant invoice discount at the dealership through Aadhaar e-KYC; no separate application

• Deadline: 31 March 2028, or earlier if funds run out All VIDA scooters qualify for PM E-DRIVE, with prices ranging from ₹77,590 to ₹1,20,300
  (ex-showroom).
   

Motor vehicle tax and registration benefits in Gujarat
 

Gujarat’s EV tax benefits have changed over time:
 

• Until March 2026: EVs paid 1% MVT, reduced from 6%, saving buyers around ₹5,000–
  ₹10,000 depending on vehicle price.

• Under Green Mobility Policy 2026: Eligible EVs can get a 100% MVT exemption.

• How to claim: Instant invoice discount at the dealership through Aadhaar e-KYC; no separate application

• Registration fee:EVs previously received a registration fee exemption under the 2021
  policy. Buyers should confirm whether this continues under the new policy.
   

How much subsidy you get on VIDA electric scooters:
model-wise breakdown
 

Here is how the current incentives apply to each VIDAmodel for Gujarat buyers:
 

MVT exemption is subject to confirmation under Gujarat Green Mobility Policy 2026. Prices are ex-showroom; verify current prices at VIDA.
 

VIDA scooters cost around ₹0.17/km to run, with 700+ outlets across India, including
Ahmedabad, Surat and Vadodara.
 

How to apply for electric scooter subsidy in Gujarat: step-
by-step process
 

The process depends on the benefit you’re claiming.
 

For PM E-DRIVE (₹5,000 subsidy):
 

1. Visit an authorised VIDA Hub or Hero MotoCorp dealership.
2. Complete Aadhaar-based e-KYC.
3. Get the subsidy as an instant invoice discount.
    

For Gujarat MVT exemption:
 

• Register your scooter at Gujarat RTO through the Vahan 4.0 portal .
• The tax exemption is applied during registration.
• Check e-veg.gujarat.gov.in or contact your RTO for updates.
   

Documents Required
 

Keep these ready:
 

• Aadhaar linked to your mobile number
• Gujarat address proof
• Vehicle registration certificate
• Purchase invoice with battery capacity
• Bank details for DBT-based claims
   

Common Issues and How to Avoid Subsidy Application
Rejection
 

Avoid common delays by checking these before purchase:
 

1. Link Aadhaar to your mobile number for PM E-DRIVE e-KYC.
2. Register in Gujarat to claim MVT exemption.
3. Check PM E-DRIVE funds; claims won’t be processed after 31 March 2028 .
4. Match details across Aadhaar, RC and bank records.
    

Key Takeaways
 

1. Gujarat EV subsidy 2026: The original ₹10,000/kWh state subsidy is no longer active.
2. Electric scooter subsidy Gujarat: PM E-DRIVE offers up to ₹5,000 per vehicle until 31 March 2028.
3. Gujarat EV policy: Green Mobility Policy 2026 proposes 100% MVT exemption for eligible EVs.
4. How to claim: PM E-DRIVE is an instant dealer discount, while MVT exemption is applied during RTO registration.
5. VIDA models: All models are eligible for PM E-DRIVE.
6. Running cost: Factor in VIDA’s ₹0.17/km running cost when comparing total savings.
    

The ev subsidy Gujarat landscape is evolving, but the available incentives still make 2026 a
practical time to buy. Explore VIDA scooters to see which model fits your commute and budget.
 

FAQs
 

1. Is EV subsidy available in Gujarat in 2026?
 

Yes. PM E-DRIVE offers ₹5,000 per electric two-wheeler until31 March 2028, while Gujarat’s
2026 policy proposes 100% MVT exemption.
 

2.What is the maximum EV subsidy in Gujarat for electric scooters?
 

The direct benefit is ₹5,000, plus the proposed 6% MVT saving; a ₹1 lakh scooter could save about ₹11,000.
 

3. How do I apply for EV subsidy in Gujarat?
 

Complete Aadhaar e-KYC at an authorised dealer; PM E-DRIVE is applied to the invoice, while MVT benefits are processed through the Vahan 4.0 portal.
 

4. Does the EV subsidy Gujarat scheme apply to VIDA electric scooters?
 

Yes. VIDA scooters priced ₹77,590–₹1,20,300 fall within the PM E-DRIVE price limit and eligible models can receive ₹5,000.
 

5. What is the Gujarat EV policy 2026?
 

It targets 30% green vehicle registrations by 2031 and proposes 100% MVT exemption for electric, hydrogen, and biofuel vehicles.
 

6. How is the Gujarat EV subsidy calculated for electric scooters?
 

PM E-DRIVE provides ₹2,500 per kWh, capped at ₹5,000; a 3.4 kWh scooter therefore receives ₹5,000.
 

7. Can I check my Gujarat EV subsidy status online?
 

PM E-DRIVE is applied instantly at the dealership; use e-veg.gujarat.gov.in or Vahan 4.0 for registration-related status.
 

8. How does Gujarat's EV subsidy compare to Delhi?
 

Both offer ₹5,000 under PM E-DRIVE, while Gujarat proposes 100% MVT exemption and Delhi follows its own state incentives.