The Kerala Student EV Loan scheme has officially launched in 2025, giving college students across the state access to subsidized loans for purchasing electric two-wheelers. Spearheaded by the Kerala Transport Department in collaboration with leading public sector banks, this initiative is part of the state’s broader green mobility vision. The goal is to ease daily student commutes while promoting environmentally responsible travel across campuses and cities.
This new student EV loan program is particularly significant for students from low- and middle-income families. With the rising cost of fuel and transport, the government aims to bridge the affordability gap and bring electric vehicles within the reach of every student in Kerala.
Table of Contents
Key Features of the Kerala Student EV Loan Scheme
The Kerala Student EV Loan plan offers flexible and student-friendly financing options for purchasing electric scooters and motorcycles. Below are the main highlights of the scheme:
-
Loan amount up to ₹80,000 or 100% on-road price, whichever is lower
-
Subsidized interest rate of 4% per annum
-
Repayment period of 3 to 5 years with moratorium up to 6 months
-
Direct purchase tie-ups with approved EV dealerships
-
Co-applicant allowed (usually a parent or guardian)
-
Eligible for both undergraduate and postgraduate students
The student EV loan is being disbursed through Kerala Gramin Bank, SBI, Canara Bank, and cooperative banks that are part of the green mobility financing partnership.
Eligibility Criteria for Kerala Students
To qualify for the Kerala Student EV Loan, applicants must fulfill the following conditions:
Eligibility Requirement |
Description |
|---|---|
Academic Status |
Enrolled in a college or university in Kerala |
Age Limit |
18 years and above |
Academic Year |
Must have completed at least 1 semester |
Income Status of Family |
Annual income should not exceed ₹4.5 lakh |
Valid Driving License |
Learner’s or permanent for two-wheelers (mandatory) |
The Kerala transport department has ensured that the documentation process is fully digitized to minimize delays and make it easy for students to apply online.
How to Apply for the Student EV Loan in Kerala
The government has made the Kerala Student EV Loan application process simple and paperless. Here’s a step-by-step guide for students:
-
Visit the official Kerala e-Mobility portal or participating bank website
-
Fill out the loan application form and upload ID proof, college ID, DL, and address proof
-
Choose your preferred electric vehicle model from the approved list
-
Submit co-applicant details (if required)
-
Wait for bank approval and disbursal (usually 7–10 days)
-
Collect the vehicle from the dealership directly using bank authorization
Under this student EV loan program, delivery and loan sanction are now linked for quicker implementation.
Benefits for Students and the State’s Green Vision
The Kerala Student EV Loan program isn’t just about financial support—it’s a well-designed step toward transforming youth transport in the state. Benefits include:
-
Zero fuel costs and low maintenance vehicles for students
-
Reduction in carbon emissions and traffic congestion
-
Boost to local EV manufacturers and dealerships
-
Promotion of the Kerala transport sector’s green targets for 2030
-
Encouragement for college youth to adopt sustainable travel habits
This is one of the first state-level efforts in India targeting student mobility through direct financial aid for EVs.
FAQs
What is the Kerala Student EV Loan scheme?
The Kerala Student EV Loan is a 2025 initiative providing subsidized loans to college students for purchasing electric two-wheelers in Kerala.
Who is eligible for the student EV loan?
Any student enrolled in a college in Kerala, aged 18 or above, with a valid driving license and parental income below ₹4.5 lakh can apply for the student EV loan.
How much loan amount is sanctioned under the Kerala transport scheme?
Students can get up to ₹80,000 or full on-road cost of the EV, whichever is lower, under the Kerala transport department’s loan policy.
Is the loan available for all types of EVs?
No, only models listed under the approved electric vehicle dealership list are eligible for financing through the Kerala Student EV Loan program.
Can students from other states studying in Kerala apply?
Yes, as long as they are enrolled in a recognized college in Kerala and meet the criteria, they are eligible for the student EV loan scheme.
Click here to know more.
