Delhi EV policy gets Cabinet nod, govt to invest Rs 15,000 crore to boost green mobility; here's all you should know

The Delhi Cabinet on Monday approved the electric vehicle (EV) policy with an outlay of Rs 15,000 crore to be invested over the next four years to promote electric mobility and reduce vehicular pollution in the national capital, Chief Minister Rekha Gupta announced, adding that the plan is likely to be implemented from July 1.

The EV Policy 2.0 forms a key part of Delhi's strategy to strengthen its leadership in electric mobility adoption. The BJP government in the national capital has set a target of ensuring that 95 per cent of all new vehicle registrations in the national capital are electric by 2027.

The chief minister affirmed that the new policy lays special emphasis on the transport sector and provides a roadmap for the phased transition from conventional fuel-powered vehicles to electric vehicles.


Officials quoted by PTI said that only electric autos will be registered in Delhi from January 1 next year, and e-two wheelers from April 1, 2028 under new EV Policy. Owners of BS IV four wheelers will now get Rs 1 lakh scrapping incentive.

In a boost to EV affordability, the government will provide Rs 30,000 subsidy to all electric two wheeler purchasers and Rs 50,000 subsidy to all three wheeler buyers in first year of Delhi EV Policy.

Delhi EV policy: What's in it?

• All electric cars with an ex-showroom price of Rs 30 lakh or less registered in the national capital will be granted 100 per cent exemption on road tax and registration fees
• People buying e-two-wheelers will get a subsidy of Rs 30,000 in the first year, Rs 20,000 in the second year and Rs 10,000 in the third year
• Only electric autorickshaws will be registered in Delhi from January 1, 2027
• Registration of new petrol and CNG two-wheelers will be phased out, with only electric two-wheelers to be registered from April 1, 2028
• CM Rekha Gupta announced that around Rs 15,000 crore will be invested under the new policy over the next four years
• The policy will come into effect from July 1, the CM said, describing it as a major step towards making Delhi a pollution-free city by March 31, 2030
• Buyers of electric three-wheelers will be eligible for incentives of Rs 50,000, Rs 40,000 and Rs 30,000 in the first, second and third years, respectively.
• Buyers of N1 category electric trucks will receive a purchase incentive of up to Rs 1 lakh
• Owners of BS-IV four-wheelers or below standard who scrap their vehicles and switch to electric vehicles will get a scrapping incentive of Rs 1 lakh
• A dedicated online portal will be developed to enable applicants to apply for EV-related incentives

The Delhi government said the latest EV policy also envisages expansion of charging infrastructure, vehicle scrapping facilities and other measures to accelerate the transition to electric mobility across the city.

Under the draft EV policy, the government had proposed that hybrid vehicles priced up to 30 lakh to receive a 50 per cent waiver on road tax. Hybrid vehicles include an internal combustion engine with one or more electric motors and use regenerative braking and engine-generated power to recharge their batteries.

However, an official told the news agency that the EV policy does not include any subsidy for hybrid vehicles.

A senior government official earlier told PTI that the administration is considering extending incentives to hybrid vehicles, although the proposal has faced resistance from some quarters.

"The government wants to cover hybrid vehicles under the subsidy scheme, but there are differing views on the matter. At the same time, evidence suggests that incentivising hybrid vehicles has supported faster adoption of electric mobility in several markets," the official said.

Delhi’s former EV policy, launched in August 2020, had been extended several times. The government was earlier expected to unveil EV Policy 2.0 during the budget session of the Delhi Assembly in March.