Centre Introduces New Rules for Vehicle Purchases

The Union Finance Ministry has introduced significant changes to the guidelines governing vehicle purchases for Central Government offices. Under the revised rules, electric vehicles (EVs) will be given the highest priority when government departments purchase vehicles for official use. The price ceiling for electric vehicle purchases has been increased to Rs. 20 lakh, while the limit for petrol and diesel vehicles remains at Rs. 10 lakh. The revised guidelines are expected to influence vehicle procurement decisions across government departments.

The ministry has also emphasised prioritising electric vehicles when government offices hire vehicles for official purposes. The move aims to promote environmental protection, reduce fossil fuel consumption and lower India's dependence on imported crude oil. By encouraging EV adoption across government departments, the Centre intends to support cleaner transportation and accelerate the transition towards sustainable mobility.