{"id":38455,"date":"2018-12-10T18:37:39","date_gmt":"2018-12-10T13:07:39","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=38455"},"modified":"2018-12-10T18:37:39","modified_gmt":"2018-12-10T13:07:39","slug":"niti-aayog-ministry-differ-over-levy-on-2-wheelers-to-subsidise-evs","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/niti-aayog-ministry-differ-over-levy-on-2-wheelers-to-subsidise-evs\/","title":{"rendered":"Niti Aayog, Ministry differ over levy on 2-wheelers to subsidise EVs"},"content":{"rendered":"

Niti Aayog, Ministry differ over levy on 2-wheelers to subsidise EVs<\/strong><\/a><\/p>\n

News:<\/strong><\/p>\n

Differences have arisen between the Heavy Industry Ministry and the NITI Aayog over a latter\u2019s proposal to levy a “Feebate” on two-wheelers to subsidise electric vehicles for promoting green mobility.<\/p>\n

Important Facts:<\/u><\/strong><\/p>\n

What is a Feebate?<\/em><\/strong><\/p>\n

    \n
  1. A feebate is a market-based policy combining fees with rebates <\/strong>to reward energy-efficient or environmentally friendly investments or practices and penalize inefficient and environmentally harmful ones.<\/li>\n
  2. In the case of vehicles, a feebate works by levying fees on relatively high-emitting new vehicles while remitting rebates to relatively low-emitting ones. This simultaneously incentivizes clean vehicles and disincentives polluting ones.<\/li>\n<\/ol>\n

    Benefits of Feebate Policy:<\/em><\/strong><\/p>\n

      \n
    1. Feebates are market-based: They provide a clear price signal to consumers to buy more efficient vehicles<\/li>\n
    2. A feebate can be revenue neutral. Unlike a subsidy program, a feebate need not require the use of public funds. Its adoption thus does not risk disturbing government budgeting<\/li>\n
    3. An optimized feebate drives continuous improvement by creating continuous incentives.<\/li>\n
    4. By addressing consumers\u2019 high discount rates, Feebates reduce the upfront purchase price of an efficient vehicle thus incentivizing widespread adoption.<\/li>\n
    5. \u00a0A\u00a0report titled “Goods On the Move” highlights that applying a feebate concept to urban access would charge trucks to enter the city during congested periods while incentivising them enter during night-time hours. This would help reduce congestion in cities and reduce the cost of goods delivery made off hours.<\/li>\n<\/ol>\n

      Challenges of Feebate Policy:<\/em><\/strong><\/p>\n

        \n
      1. The policy will adversely affect the auto industry by increasing administrative burden and requiring manufacturers to make huge capital investments.<\/li>\n
      2. Feebates can be misinterpreted or criticized as a new tax<\/li>\n
      3. There is an issue of who will collect the Feebates as all cesses have been subsumed under the GST<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"

        Niti Aayog, Ministry differ over levy on 2-wheelers to subsidise EVs News: Differences have arisen between the Heavy Industry Ministry and the NITI Aayog over a latter\u2019s proposal to levy a “Feebate” on two-wheelers to subsidise electric vehicles for promoting green mobility. Important Facts: What is a Feebate? A feebate is a market-based policy combining… Continue reading Niti Aayog, Ministry differ over levy on 2-wheelers to subsidise EVs<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[555],"tags":[],"class_list":["post-38455","post","type-post","status-publish","format-standard","hentry","category-test-1","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704878195},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/38455","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=38455"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/38455\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=38455"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=38455"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=38455"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}