Bhubaneswar: In view of the prevailing fuel and energy challenges arising out of West Asia crisis and the increasing burden of fuel expenditure, the Odisha government has directed all departments to procure only electric vehicles (EVs) for official use, subject to specified cost ceilings for different categories of functionaries.
The new guidelines were issued by the Finance Department through an Office Memorandum dated May 30, 2026.
According to the memorandum, all new EVs purchased by government departments must adhere to the maximum price limits prescribed for various categories of officials. The ceiling has been fixed at ₹30 lakh for the Governor, Chief Minister, Chief Justice and Judges of Orissa High Court, and Ministers; Chief Secretary, Development Commissioner, Agriculture Production Commissioner, Secretaries (including Additional Chief Secretaries, Principal Secretaries), and equivalent ranks will be entitled to vehicles costing up to ₹25 lakh, while District Judge, Collectors, Superintendents of Police and equivalent officers can use vehicles costing up to ₹20 lakh.
The memorandum further stipulates that procurement of EVs shall be carried out according to prescribed procedures and only after obtaining concurrence from the Finance Department. New EVs shall be procured only after completion of the prescribed lifespan and condemnation or scrapping of the existing vehicle. Departments have also been advised to procure vehicles from the Government e-Marketplace (GeM) platform wherever possible.
The guidelines specify that only vehicles manufactured by Tata Motors, Mahindra and Maruti may be purchased. The purchase of more than one vehicle by a principal secretary-level officer has been expressly prohibited.
Meanwhile, procurement of petrol and diesel vehicles has been restricted and will be allowed only under exceptional circumstances with the approval of the Finance Department.
The new instructions will apply not only to state government departments but also to government-supported undertakings, institutions, universities and societies under the state government.
The order has been issued with the approval of the Governor has come into effect from June 1, 2026.
