Bengal lodges electric car shift protest
Bengal finance minister Amit Mitra has written to Union finance minister Nirmala Sitharaman registering the state’s protest against the Centre’s decision to reduce GST on electricity-powered vehicles from 12 per cent to 5 per cent.
The Union finance ministry has convened an urgent meeting of the GST Council — to be held through video conferencing on Thursday — to get the rate cut approved.
“An ill-planned effort to push electrical vehicles would hurt the automobile sector, which is a Rs 1.7 lakh crore industry and employs nearly 3.7 crore people. As the country does not have the required infrastructure to replace the existing vehicles with electrical vehicles in the near future, a rush to make electrical vehicles mandatory soon would lead to a disaster,” Mitra said at Nabanna on Wednesday.
“…It is clear that the Centre is determined to replace existing vehicles with electrical ones in about five years. This will be a disaster,” Mitra said. He said shifting to electricity-powered vehicles in five years was practically not possible.