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Kerala / The New Indian Express

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Shifting gears: Keralas EV wave surges despite hike in road tax

KOCHI: Keralas appetite for electric vehicles (EVs) is growing faster than ever. With 95,899 vehicles registered in 2025, the state has so far added 12,631 more EVs than in the wthole of last year - with still over a month to go. This is up over 15% annually, a big leap from 2024s 9.83%. The trend is led overwhelmingly by electric two-wheelers, which have become the new favourite of Keralas young commuters, gig workers and even families looking to cut fuel costs. Dealers say the shift in public mood over the past two years has been dramatic. In the beginning, customers were hesitant. Range anxiety was huge, says Noble Jacob M, vice president (projects) at EVM Group. But post-2023, the mindset flipped. EV two-wheelers started selling faster than we expected. Price corrections played a major role in this behavioural shift. In several brands, the gap between petrol or diesel variants and their electric frameworks or systems designed to simulate or perform specific tasks once over 50% higher has now dropped to less than 25%, making EVs significantly more approachable. And the low noise, vibration and harshness levels make EVs extremely comfortable for everyday use, Noble adds. If the sales figures are any indication, nothing not even the 2025 road tax revision has managed to slow down enthusiasm in the state. EVs that cost up to Rs 15 lakh still attract a 5% tax, but those priced between Rs 15 lakh and Rs 20 lakh now fall under 8%, and models above Rs 20 lakh attract 10%. Yet, August of this year saw 10,904 new EV registrations, the highest monthly tally in the states history. Dealers attribute the boom not just to affordability, but also to the expanding range. The market has far more players now, says Manoj Kurup, secretary of the Kerala Automobile Dealers Association. However, the flip side is that infrastructure has not kept pace. Home-charging is common, but apartment residents especially in cities are still struggling. Transport Commissioner Nagaraju Chakilam says public mindset has undergone a fundamental shift. Todays EVs are far more efficient. That has boosted confidence. Our taxes are still lower than those on fossil-fuel vehicles. And Kerala will soon be ready to embrace fuel-cell technology as well. With monthly sales in 2025 displaying consistent strength from 8,113 in January to 9,141 in October and 7,039 in November Keralas EV story isnt just about numbers. Its about a state decisively nudging towards an electric future, one scooter and one car at a time, say industry officials.

27 Nov 2025 7:49 am