Mapping India’s Energy Subsidies 2020: Fossil fuels, renewables, and electric vehicles 2020 Annex Update

The annex updates data on electric vehicle GST concessions, power transmission infrastructure in Ladakh, LPG and kerosene subsidies, and a comprehensive list of coal producer and consumer taxes in India between FY 2014 and FY 2019.

• To increase the uptake of electric vehicles, the central government provides a GST rate of 12% for electric two- and three-wheelers, compared to 28% for fossil fuel vehicles. This measure conferred a subsidy of 1,481.8 INR crore (222.3 USD million) in FY 2019.
• The central government funded the construction of a 220 kV transmission line from Srinagar to Leh via Kargil to improve power supply in Ladakh, with the project completed in February 2019. Total funding for this project in FY 2019 was 500 INR crore (74 USD million).
• The Pradhan Mantri Ujjawala Yojana (PMUY) includes a provision of 2% for project management expenditure (PME) and information, education and communication (IEC) to support the goal of providing clean cooking fuel (LPG) to women and children.
• The PDS Kerosene and Domestic LPG subsidy scheme, 2002, which aimed to make these fuels affordable, officially ended on March 31, 2014, though it was extended by one year. A payment of 3,293 INR crore (491 USD million) was made in FY 2017 regarding earlier dues.
• Coal royalties are set by individual states and are not subject to GST; in FY 2019, these royalties collected 9,110 INR crore (1,355 USD million). While most states use a flat rate of 14% on coal prices, West Bengal uses rates based on coal grade ranging from INR 4.30 to 6.50 per MT.
• The Clean Energy Cess, levied on coal from 2010 to 2017, saw rates increase from INR 50 per tonne in 2010 to INR 400 per tonne by March 2016. It was abolished in 2017 and replaced by the GST Compensation Cess, which also charges INR 400 per tonne of coal and lignite.
• Basic Customs Duty on imported coal, briquettes, and similar solid fuels is currently set at 10% and was not subsumed under the GST. In FY 2019, this duty collected 9,887 INR crore (1,471 USD million).

APA

International Institute for Sustainable Development (2020). Mapping India’s Energy Subsidies 2020: Fossil fuels, renewables, and electric vehicles 2020 Annex Update. https://www.iisd.org/system/files/publications/india-energy-transition-2020-annex.pdf

Chicago

International Institute for Sustainable Development. Mapping India’s Energy Subsidies 2020: Fossil fuels, renewables, and electric vehicles 2020 Annex Update. 2020. https://www.iisd.org/system/files/publications/india-energy-transition-2020-annex.pdf.

Wikipedia

{{cite report |author=International Institute for Sustainable Development |title=Mapping India’s Energy Subsidies 2020: Fossil fuels, renewables, and electric vehicles 2020 Annex Update |date=2020 |url=https://www.iisd.org/system/files/publications/india-energy-transition-2020-annex.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{internationalinstituteforsustainabledevelopment2020mapping, author = {{International Institute for Sustainable Development}}, title = {{Mapping India’s Energy Subsidies 2020: Fossil fuels, renewables, and electric vehicles 2020 Annex Update}}, institution = {International Institute for Sustainable Development}, year = {2020}, url = {https://www.iisd.org/system/files/publications/india-energy-transition-2020-annex.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }