TV
Odisha’s electric vehicle subsidy scheme is allegedly being misused by residents of neighbouring states Andhra Pradesh and Chhattisgarh. Reports suggest that buyers from these states are purchasing EVs in Odisha by producing fake documents, falsely showing themselves as local residents, in order to avail the subsidy benefits.
Concerns have been raised that an organized racket may be operating behind this malpractice. Following complaints received by the Transport Department, the Odisha government has expressed serious concern and has ordered a thorough probe.
According to official communication, several cases have surfaced in border districts such as Bargarh, where residents of Chhattisgarh were found purchasing EVs by presenting themselves as residents of Bhatli and availing subsidies. Consequently, Chhattisgarh roads are now witnessing EVs carrying Odisha registration numbers. The malpractice is not limited to Chhattisgarh; residents of Andhra Pradesh are also reportedly involved.
Transport Minister has admitted to the issue, confirming that subsidy misuse is taking place. He further assured that stricter verification measures will be implemented, and strong action will be taken against those involved.
"Some individuals, mainly from Andhra Pradesh, have availed the subsidy by providing temporary identification through their relatives residing in different parts of Odisha, particularly from Ganjam. From now onwards, EV subsidies will be provided on the basis of permanent identification. Investigation into the allegations has already started, and strong action will be taken," said Transport Minister Bibhuti Bhushan Jena.
Odisha’s revised Electric Vehicle (EV) policy of 2021 has sparked a surge in demand for EVs, thanks to generous subsidies being offered. As per the policy, buyers can avail subsidies of up to Rs 20,000 for two-wheelers, Rs 30,000 for three-wheelers, and as much as Rs 1.5 lakh for four-wheelers. Since neighbouring states do not provide similar benefits, Odisha has become a hotspot for EV purchases, drawing buyers from outside the state as well.
This has, however, raised concerns about fraudulent practices. Reports suggest that many non-residents are exploiting the system by using fake documents to avail subsidies, with questions being raised about whether an organized racket is at play. Even EV showrooms have admitted to instances of such malpractice.
"Customers from neighbouring Andhra Pradesh and Chhattisgarh, and other adjacent states, are coming to us. We are asking for a local address proof from them. Around 15-20 customers from the adjacent states are coming to us. Even customers from Maharashtra are approaching us," said CH Sagar, an EV showroom manager in Berhampur.
"EV subsidy policy is not there in Andhra Pradesh and Chhattisgarh. Customers from these states are purchasing EVs from Odisha. In a bid to have an Odisha registration number, they are forging documents, manipulating invoices, and tampering with the documents of the vehicles," said Kiran Mishra, a resident of Bargarh.
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According to official figures, a total of 1,55,068 EVs have been registered in Odisha between 2021 and March 2025. The state government says the policy not only boosts EV sales but also helps in reducing pollution. Compared to last year, EV sales have already increased by 39% this year.
However, experts caution that the very objective of the scheme may be undermined if subsidy leakages continue unchecked. All eyes are now on the state government to see what steps it takes to curb these scams and ensure the policy achieves its intended goals.
