Tamil Nadu EV Policy 2023: incentives & charging tariff

Policy guide · updated October 2026

Tamil Nadu EV Policy 2023: incentives & charging tariff

What Tamil Nadu offers EV buyers and charging-station investors — road tax, capital subsidy, electricity tariff and the 2026 updates — with sources.

At a glance

Road tax: 100% exempt till 31 Dec 2027

Motor vehicle tax exemption for transport and non-transport EVs, extended in December 2025 from the earlier 31 Dec 2025 deadline.

Charging subsidy: 25% of equipment

Up to ₹10 lakh per public fast-charging station (first 200), ₹1 lakh per public slow-charging station (500), ₹2 lakh per battery-swap station (first 200).

20,000 public chargers by 2031

State target announced in July 2026 under a PPP model, with EV sub-metering allowed inside existing HT premises.

Incentives for charging-station investors

Station typeSubsidyCap per stationEligible stations
Public fast charging25% of equipment & machinery₹10 lakhFirst 200
Public slow charging25% of equipment & machinery₹1 lakh500
Private fast charging (e-aggregators)25% of equipment & machinery₹10 lakhFirst 50
Public battery swapping25% of equipment & machinery₹2 lakhFirst 200

Stations must follow Ministry of Power charging guidelines. Caps are reported per station; confirm current availability with the state nodal agency before investing.

EV charging electricity tariff in Tamil Nadu

Dedicated EV charging category with time-of-day energy charges, as reported from 1 July 2025.

Time of dayEnergy charge
Solar hours, 9 AM – 4 PM₹6.50 / kWh
Peak, 6–9 AM and 6–10 PM₹9.75 / kWh
Night, 10 PM – 6 AM₹8.10 / kWh
Fixed charge (HT connection)₹304 / kVA per month

Home charging from an existing socket is billed at the domestic tariff. Check the latest TNERC order for your connection.

Central rules that also apply

No licence needed

Setting up and running a public charging station is de-licensed under the Ministry of Power's 2024 guidelines.

Tariff and service charge caps

Supply tariff for charging stations is capped at the average cost of supply until March 2028 (0.7× in solar hours, 1.3× otherwise), and DC service charges are capped per unit.

PM E-DRIVE

Central support for public chargers at government sites, transit hubs, municipal parking and toll plazas — up to 100% at government offices with free public access.

Frequently asked questions

Is there road tax on electric vehicles in Tamil Nadu?

No — Tamil Nadu exempts electric vehicles from motor vehicle tax. The 100% exemption that ran to 31 December 2025 was extended by a December 2025 order to 31 December 2027, for both transport and non-transport EVs.

What subsidy does Tamil Nadu give for EV charging stations?

The Tamil Nadu EV Policy 2023 offers a 25% capital subsidy on charging equipment and machinery: up to ₹10 lakh per station for the first 200 public fast-charging stations, up to ₹1 lakh for 500 public slow-charging stations, and up to ₹2 lakh for the first 200 public battery-swapping stations, for stations that meet Ministry of Power guidelines.

What is the electricity tariff for EV charging stations in Tamil Nadu?

EV charging stations are billed under a dedicated EV tariff with time-of-day rates. From 1 July 2025 the energy charge was reported as ₹6.50/kWh in solar hours (9 AM–4 PM), ₹9.75/kWh at peak (6–9 AM and 6–10 PM) and ₹8.10/kWh at night, plus a fixed charge (₹304/kVA per month for HT connections).

Do I need a licence to start an EV charging station in Tamil Nadu?

No. Under the Ministry of Power's 2024 guidelines, setting up and operating a public EV charging station is a de-licensed activity; you need an electricity connection with adequate sanctioned load from the DISCOM.

How many EV charging stations does Tamil Nadu plan?

In July 2026 the state set a target of 20,000 public EV charging stations by 2031 under a public–private partnership model, and allowed EV sub-metering inside existing HT premises billed on energy charges only.

What tariff applies if I charge my EV at home in Tamil Nadu?

Charging from an existing home socket is billed under your domestic tariff. A separate EV connection is billed under the EV charging category.

Start a charging station in Tamil Nadu

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