Guwahati: The state budget on Friday proposed a package of tax incentives to promote cleaner energy and electric mobility, proposing a sharp cut in VAT on piped natural gas (PNG), extending incentives for renewable energy and offering tax relief to electric vehicle buyers. Finance minister Jayanta Mallabaruah proposed reducing VAT on piped natural gas from 14.5% to 5%, a move aimed at making the cleaner fuel more affordable for households while accelerating the expansion of city gas distribution networks across the state. The budget also announced a 3% motor vehicle tax subvention for citizens purchasing electric vehicles during the current financial year.
