Sri Lanka is now importing electric vehicles for migrant workers following the government’s approval to further extend the time line issued for importation till September 15, 2023 which are violating global manufacturers’ recommendations, motor traders alleged. This was the third time the Government decided to extend the timeline of the electric vehicles import scheme for [...]

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E-V permits for migrant workers violate global norms

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Sri Lanka is now importing electric vehicles for migrant workers following the government’s approval to further extend the time line issued for importation till September 15, 2023 which are violating global manufacturers’ recommendations, motor traders alleged.

This was the third time the Government decided to extend the timeline of the electric vehicles import scheme for migrant workers to encourage their remittances with good intention but it has turned to a racket by a set of unscrupulous vehicle importers hand in glove with corrupt officials, several leading motor traders complained.

The global manufacturers and authorised representatives were consulted to formulate a sustainable roll out of electric vehicles considering the missteps of the past and failures of over 5,000 Nissan leaf vehicles which were imported against manufacturer recommendations.

This proposal was accepted and the first circular [MFE/DEV/HOB/03/ vol ii] was issued on August 31, 2022 by the Ministry of Labour and Foreign Employment Circular No; 02/2022.

However nine days later, all the global manufacturer recommendations benefiting consumers were suddenly reversed in a circular No; 02/2022 dated September 9, 2022.

In this new circular manufacturer warranty of threeyears was changed to a 3rd party warranty. Manufacturer recommendations of suitability to a country or region were completely ignored.

Today the electric vehicles are being imported by unauthorised parties totally against manufacturer recommendations, they pointed out.

The earlier wording limited the vehicle CIF value to a maximum of US$65,000 which still allowed vehicles from medium to luxury categories to be imported.

However, the altered circular has eliminated the maximum limit on the CIF which now enables ultra-luxury vehicles to be imported.

Such a change supported by the other alterations on the latest circular, clearly enables the ultra-rich living in Sri Lanka to import electric vehicles for their personal usage utilising the migrant worker scheme, motor traders charged.

They asked as to why is this scheme not being opened for petrol, diesel or hybrid vehicles as those vehicles have better market acceptance, have ample spare parts available in the country even now and the technical skills are freely available for maintenance.

The CIF of an electric vehicle is about 30-40 per cent higher than a similar petrol vehicle. Therefore, the country can import about 1300 to 1400 petrol vehicles with the quantum of forex used to import 1000 EVs.

At a time when the country is low on foreign reserves and the people are deprived of vehicle imports, wouldn’t it make better sense to allow petrol and diesel vehicles to be imported through such a scheme instead of EVs? , they asked.

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