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Govt makes EVs default choice for staff cars, sets ₹20 lakh procurement cap

Government departments should ordinarily replace retiring staff cars with EVs under revised procurement rules. The move supports India’s climate and energy goals, though EVs made up just 0.63% of government vehicles in 2022.

Govt makes EVs default choice for staff cars, sets ₹20 lakh procurement cap

The finance ministry in India has announced that electric vehicles (EVs) will be the default choice for government staff cars, marking a shift away from traditional petrol and diesel vehicles in official fleets. This move is part of India's broader strategy to reduce oil imports and lower transportation emissions. EVs are being prioritized as a way to cut down on greenhouse gas emissions and promote cleaner energy sources.

The decision comes as part of India's efforts to build domestic capacity in electric mobility and strengthen its supply chains in key components such as batteries and rare-earth materials. The finance ministry has set a procurement cap of ₹20 lakh for EVs, ensuring that the government maintains control over its spending while transitioning to more sustainable transportation options.

Written by urgent.news from Live Mint's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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