It is great to learn about the impetus the Indian government is providing to alternative fuels and technologies. One shot in the arm for this fledgling industry is the provisions proposed in the 2011 Indian budget.
This article published in Hindustan Times provides some preliminary details.
Article link on HT : http://www.hindustantimes.com/Mukherjee-unveils-green-rebates/Article1-667872.aspx
Relevant snippets from the article reproduced verbatim –
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India?s bid to be seen as an environment friendly country got a stamp from finance minister Pranab Mukerjee, who announced a slew of tax rebates to promote green technologies and a National Mission on hybrid and electric vehicles. The budget indicated the government’s intention to promote cleaner fuel, such as hydrogen and electricity, for the automobile industry, which witnessed 30% growth in 2010. The sector had been severely criticised by environment minister Jairam Ramesh, who termed diesel and Sports Utility Vehicles (SUV) as polluting India?s urban air.
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The FM announced concessional excise duty of 10% for fuel cell or hydrogen cell technology. Import of parts of hybrid vehicles has been exempted from custom duty and a concessional rate of 5% excise has been proposed to incentivise their domestic production. In addition, the excise duty on a kit installed for converting a fossil fuel vehicle into a hybrid (such as CNG) has been reduced to 5%.
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