How Government Incentives Can Help You Save on Electric Vehicles for Your Delivery Service

Akshay Sharma

CEO's Office @ZEVO

Electric vehicles (EVs) are increasingly becoming the preferred option for businesses, especially food delivery companies in India. With the government providing various incentives for electric vehicles, businesses can reduce costs, improve efficiency, and contribute to environmental sustainability.

Moreover, innovative solutions like ZEVO India’s EV as a Service are making it even easier for businesses to adopt electric fleets without the burden of ownership. Here’s how government subsidies, tax benefits, and services like ZEVO can make a difference for your business.

1. FAME II Scheme: Accelerating EV Adoption

The FAME II (Faster Adoption and Manufacturing of Hybrid and Electric Vehicles) scheme provides significant subsidies for electric two-wheelers and three-wheelers—the types of vehicles typically used for deliveries.

Subsidy Details: You can receive ₹15,000 per kWh of battery capacity for electric two-wheelers, capped at 40% of the vehicle’s cost. For electric three-wheelers, incentives can go up to ₹50,000.
How it Benefits Food Delivery Companies: This drastically reduces the cost of acquiring EVs, enabling businesses to easily switch to an electric vehicle fleet. ZEVO India’s EV as a Service takes this a step further by allowing businesses to lease electric vehicles, making the transition cost-effective and hassle-free.

2. State-Level Incentives for Electric Vehicles

In addition to FAME II, various states provide additional state-level incentives for EVs in the form of road tax exemptions, registration fee waivers, and direct purchase subsidies.

Delhi: ₹30,000 subsidy for electric two-wheelers and ₹1.5 lakh for electric cars.
Maharashtra: Subsidies between ₹10,000 and ₹20,000 for electric two-wheelers.
Gujarat: Up to ₹1.5 lakh for electric cars and ₹20,000 for two-wheelers.

How it Benefits Food Delivery Companies: These state-specific subsidies, when combined with ZEVO’s EV leasing services, make it easier to adopt electric vehicles without large upfront capital investments.

3. Tax Benefits for EV Purchases (Section 80EEB)

Under Section 80EEB, businesses can claim up to ₹1.5 lakh in tax benefits on the interest paid for loans taken to purchase electric vehicles.

How it Benefits Food Delivery Companies: Companies financing EV purchases benefit from tax savings, but with ZEVO India’s EV as a Service, businesses can avoid the need for large loans and benefit from lower operational costs right from the start.

4. Reduced GST on Electric Vehicles

The GST on electric vehicles has been reduced from 12% to 5%, lowering the overall cost of EVs.

How it Benefits Food Delivery Companies: This reduction, combined with subsidies, reduces the cost of acquiring EVs. ZEVO’s EV as a Service allows businesses to leverage these benefits without worrying about vehicle ownership costs, providing flexible leasing options instead.

5. Government Support for EV Charging Infrastructure

The Indian government supports the setup of EV charging infrastructure through the FAME II scheme, covering up to 70% of installation costs for charging stations.

How it Benefits Food Delivery Companies: Food delivery companies can set up private charging stations to further reduce fuel costs. Additionally, ZEVO provides access to its growing charging network, ensuring seamless operations without the need for major infrastructure investment.

6. Running Costs of Electric Vehicles vs. Petrol Vehicles

Electric vehicles are far more economical to operate compared to petrol vehicles. The cost per kilometer for an electric two-wheeler is often less than ₹1, while it’s ₹2.5-3 for petrol vehicles.

How it Benefits Food Delivery Companies: Lower running costs of electric vehicles lead to significant savings over time. With ZEVO India’s EV as a Service, businesses can further streamline expenses by paying only for the usage of EVs, without the burden of maintenance or ownership costs.

Why ZEVO India’s EV as a Service is the Best Solution for Your Business

While government incentives make switching to electric vehicles more affordable, ZEVO India’s EV as a Service takes it one step further by offering a flexible, scalable solution for businesses looking to adopt an electric fleet without the hassle of ownership. ZEVO’s service provides:

Hassle-Free Leasing: No need for large upfront investments—lease your electric vehicles for as long as you need.
Comprehensive Maintenance: ZEVO covers all maintenance, so you don’t have to worry about upkeep costs.
Flexible Fleet Solutions: Whether you need electric two-wheelers, three-wheelers, or larger vehicles for your delivery operations, ZEVO has a solution tailored to your needs.
Access to Charging Networks: ZEVO’s EVs come with access to a nationwide charging network, ensuring that your fleet stays powered and ready for deliveries at all times.

How Government Incentives and ZEVO India’s EV as a Service Benefit Food Delivery Companies

By utilizing government subsidies for electric vehicles and opting for ZEVO India’s EV as a Service, food delivery companies can:

Reduce Acquisition Costs: ZEVO’s flexible leasing model eliminates the need for heavy upfront investments, and government incentives further lower costs.
Minimize Operational Expenses: With lower running costs, comprehensive maintenance coverage, and access to charging infrastructure, businesses can save significantly.
Enhance Environmental Reputation: Adopting an electric fleet not only reduces carbon emissions but also appeals to eco-conscious customers.
Maximize Tax Savings: Government incentives like Section 80EEB, combined with the cost-effective leasing solutions from ZEVO, ensure your business saves on taxes while transitioning to EVs.

Why Wait? Partner with ZEVO India Today!

If you’re ready to lower your costs, improve efficiency, and do your part for the environment, there’s no better time to switch to electric vehicles for your food delivery service. With the combination of government incentives and ZEVO India’s EV as a Service, adopting an electric fleet has never been easier or more affordable.

Visit ZEVO India today to learn more about how EV as a Service can transform your delivery operations!

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