Electric Bike Subsidy in Gujarat: Benefits & How to Claim

Gujarat is steadily moving toward electric mobility, with more riders in cities like Ahmedabad, Surat, Vadodara, and Rajkot choosing electric bikes for daily commuting. Rising petrol prices, lower running costs, and supportive government policies are accelerating this shift.

While Gujarat no longer offers a direct cash subsidy for electric two-wheelers, buyers can still benefit from significant cost savings through tax exemptions and the central government’s PM E-DRIVE scheme. This guide explains the current electric bike subsidy structure in Gujarat and how you can claim these benefits.

Does Gujarat Offer an Electric Bike Subsidy?

As of 2025, Gujarat does not provide a direct state-level purchase subsidy for electric bikes. However, EV buyers in the state continue to receive meaningful incentives in the form of:

• Reduced road tax of 1% (valid until March 2026)

• Full waiver of registration fees

• Eligibility for the central PM E-DRIVE subsidy

These benefits together help reduce the overall on-road cost of owning an electric bike in Gujarat.

PM E-DRIVE: Central Government Subsidy

PM E-DRIVE is the Government of India’s central incentive scheme aimed at lowering the upfront cost of electric vehicles. Launched in October 2024, the scheme offers:

• Subsidy of up to ₹10,000 for eligible electric two-wheelers

• Incentives linked to battery capacity and technical compliance

• Upfront discount applied at the dealership, not post-purchase

To qualify, buyers must:

• Complete Aadhaar-based e-KYC

• Purchase from an authorised dealer

• Choose a model approved under the PM E-DRIVE guidelines

How Much Can You Save in Gujarat?

Here’s how the benefits add up for electric bike buyers in Gujarat:

• PM E-DRIVE subsidy: Up to ₹10,000

• Road tax: Reduced to 1%

• Registration charges: Fully waived

Example:
For an electric bike priced at ₹1.89 lakh, a PM E-DRIVE subsidy of ₹10,000 reduces the effective cost to ₹1.79 lakh. Additional savings come from lower road tax and zero registration fees.

Eligibility Criteria

To claim electric bike incentives in Gujarat, you must:

• Be a resident of Gujarat

• Purchase the vehicle from an authorised dealer within the state

• Ensure the electric bike meets CMVR safety norms

• Choose a model with approved advanced battery technology

• Have valid Aadhaar and bank account details

Documents Required

You’ll typically need:

• Aadhaar card (for e-KYC)

• Gujarat address proof

• Purchase invoice

• Registration Certificate (RC)

• Bank account details

• Battery and model approval documents (handled by the dealer)

How to Claim the EV Subsidy in Gujarat

The subsidy process is dealer-assisted and largely paperless:

1. Buy an eligible electric bike from an authorised showroom

2. Vehicle is registered via the Vahan 4.0 portal

3. Complete Aadhaar-based face-authenticated e-KYC

4. Sign the digital e-voucher shared by the dealer

5. Dealer uploads the signed voucher on the PM E-DRIVE portal

6. Subsidy is applied directly to your invoice

Note: Government policies and incentives may change. Always verify the latest guidelines on official portals before purchasing.

Conclusion

Although Gujarat no longer offers direct cash subsidies for electric bikes, buyers still benefit from a strong combination of road tax reduction, registration fee waiver, and the central PM E-DRIVE incentive. These benefits, combined with low running and maintenance costs, make electric bikes a practical choice for daily commuting in the state.

For riders exploring electric bikes that align with current subsidy guidelines, Oben Electric models are engineered to meet regulatory standards while delivering reliability and everyday usability for Gujarat’s road conditions.