Telangana govt offers ₹1.5 lakh assistance to switch petrol, diesel autos to electric
HYDERABAD: The Telangana government has launched a ₹200-crore scheme to help convert 18,766 petrol and diesel autorickshaws to electric vehicles.
The scheme covers autos operating in the Telangana Core Urban Region Economy (CURE) area. The Transport, Roads & Buildings department issued orders for the “Telangana Autorickshaw Electric Conversion Scheme-2026” through G.O.Rt.No. 437 on August 27, 2026.
Scheme covers 11,254 diesel and 7,512 petrol autos
The scheme covers 11,254 diesel and 7,512 petrol autorickshaws. These vehicles must be registered and operating with valid permits in the CURE area.
The Transport Commissioner’s database identified the eligible vehicles.
Beneficiaries can choose between two options. They can either convert their existing auto to electric or replace it with a new electric auto.
Under the retrofit option, owners can keep their existing vehicle chassis. They can then install an AIS-123 approved electric kit.
The government will provide up to ₹1.5 lakh for the conversion. However, the assistance cannot exceed the actual cost of the kit, installation and standard accessories.
New electric autos get flat ₹1.5 lakh subsidy
Beneficiaries can also surrender their existing petrol or diesel auto. They can then buy a new factory-made electric passenger three-wheeler in the L5M category.
Under this option, the government will provide a flat ₹1.5 lakh subsidy.
Empanelled dealers will offer the subsidy upfront. They will adjust it against the final on-road price of the selected electric auto.
Meanwhile, those choosing the retrofit option can select either a fixed battery or a removable swappable battery kit. The kits must come from empanelled vendors.
Scheme aims to cut pollution and fuel costs
The government said the scheme will speed up the shift to cleaner urban transport. It also aims to support the move towards net-zero carbon emissions.
According to the government, petrol and diesel autos add to air and noise pollution. They also increase operating costs for drivers because of rising fuel expenses.
Four welfare departments to contribute ₹50 crore each
The ₹200-crore scheme will follow a “Single Scheme, Multiple Funding Streams” model. Under this system, four welfare departments will contribute ₹50 crore each to fund the initiative.
The Scheduled Castes Development Department, Scheduled Tribes Development Department, Backward Classes Welfare Department and Minorities Welfare Department will provide the funds. The departments will release the money to the Transport Commissioner based on demand and the progress of the scheme.
The welfare departments will also assist the Transport Department in verifying the social category of eligible beneficiaries. The Transport Commissioner will oversee the implementation of the scheme, while the concerned welfare departments and their corporations will provide additional support.
The government said eligible auto owners in the CURE area will receive the same clean-air conversion assistance regardless of their social category. However, each welfare department will fund eligible beneficiaries through its own allocated budget.
