Telangana has done many of the things a state is usually told to do if it wants faster EV adoption. It offers 100 percent exemption on road tax and registration fees for electric vehicles purchased and registered in the state up to December 31, 2026. It also has one of the stronger public charging networks in the country, with 1,062 public EV charging stations. Of these, 548 are fast chargers, which means fast chargers make up 52 percent of the state’s public charging network.
That is well above the national average of around 30 percent. Only Goa and Andhra Pradesh have a higher fast-charger share, while Tamil Nadu is broadly at the same level as Telangana. On paper, this should make Telangana one of India’s easier EV markets.
And yet, according to an SBI Research report, EVs account for only 4.9 percent of new vehicle registrations in Telangana. The national average is above 8 percent. Odisha is at 12.7 percent, Kerala at 12.3 percent and Karnataka at 10.9 percent. Delhi has also crossed the 10 percent mark. Telangana, despite its charging base and tax benefits, is well behind these states.
This is the important shift in the story. For years, low EV adoption was explained largely through charging anxiety. Buyers were assumed to be holding back because they feared being stranded without a charger. Telangana complicates that explanation. The state has already built a charging network that is stronger than its current EV adoption level would suggest.
The SBI Research findings point to a different problem: the state now has charging capacity, but not enough consumer conversion. In other words, infrastructure alone is not pushing buyers to switch.
That matters because Telangana’s charging mix is not just large; it is also relatively fast-charger heavy. Fast chargers are more useful for public top-ups than slow chargers, especially for commercial users, highway users and EV owners without home charging. If charging availability were the main bottleneck, Telangana should have been among the adoption leaders. It is not.
The deeper issue seems to be demand creation. Telangana’s policy is generous on tax and registration costs, but it does not offer a direct cash purchase incentive for private electric car buyers from the state’s own funds. For many buyers, a waiver that reduces the on-road cost is useful, but it is not always as visible or emotionally powerful as an upfront cash subsidy.
The central PM E-DRIVE scheme supports electric two-wheelers, three-wheelers and some commercial categories, but it does not subsidise private electric cars. That leaves a gap in the personal car market. Delhi’s new EV policy, by contrast, combines road tax and registration-fee relief with a Rs 1 lakh scrappage incentive for eligible car buyers replacing older vehicles with EVs. That direct benefit is easier for a buyer to understand.
The two-wheeler market also needs closer attention. Two-wheelers form the largest part of most Indian vehicle markets, and EV adoption in this category depends heavily on trust, dealer push, battery confidence, aftersales support and financing. A tax waiver by itself may not be enough if buyers are unsure about battery life, resale value, service support or real-world range.
Telangana’s EV policy, effective from November 2024, gives the state a clear fiscal advantage. But EV adoption now needs more than fiscal support. It needs buyer education, dealer-level activation and stronger confidence-building outside Hyderabad.
This is where the state’s next push should focus. Charging stations are visible infrastructure. Demand creation is slower and less dramatic. It requires test rides, fleet demonstrations, service assurance, battery warranty awareness, finance schemes and targeted campaigns for two-wheeler and taxi buyers.
The lesson from Telangana is straightforward. Building chargers is necessary, but it is not sufficient. A state can have a strong charging network and still underperform if consumers do not see a compelling purchase reason.
That makes Telangana a useful case study for the rest of India. The next phase of EV adoption will not be won only by states that build the most chargers. It will be won by states that can convert charging readiness into buyer confidence.
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