Sri Lanka electric car ownership almost doubles in May
COLOMBO (EconomyNext) – Sri Lanka’s electric car ownership almost doubled in May 2015, generating a surge of new registrations, in the wake of an interventionist tax policy that penalized hybrid and conventional cars, an analysis of vehicle registry data shows.
In an analysis of vehicle registry data by JB Securities, a Colombo based equities research house shows that 151 new electric cars were registered in Sri Lanka in May 2015, a little under the 169 units that were registered over the entire past 18 months.
Nissan Leaf the best-selling electric car model in Sri Lanka saw 146 units registered in May, compared to 150 units during the whole of the last 18 months.
According to JB Securities at least two Tesla units have been registered in Sri Lanka.
Sri Lanka jacked up taxes on hybrids in a January 29 budget to around 80 percent from 60 percent and also inflated the prices of older cars by not allowing depreciation allowances.
Conventional cars are taxed at over 150 percent.
Electric cars are taxed at just 5 percent.
Electric cars are zero emission in city centres though coal is the largest source of energy for electricity now. Coal plants also run capacity overnight and charging cars during off peak can flatten the load curve.