Delhi has introduced a draft of its Electric Vehicle (EV) Policy for the period 2026–2030, signalling a significant move towards enhancing clean transportation in the capital. The policy aims to facilitate public feedback over the next 30 days, providing a wide-ranging approach to establish Delhi as an electric mobility centre with an estimated budget of Rs 3,954.25 crore.

Full Exemption on Road Tax for Electric Vehicles

A key feature of this initiative is the complete elimination of ownership costs for electric vehicles. All EVs will benefit from a 100 per cent exemption on both road tax and registration fees until March 31, 2030, which is expected to make them far more affordable than traditional vehicles. Additionally, electric cars valued up to Rs 30 lakh will qualify for the full exemption, while strong hybrid vehicles will receive a 50 per cent concession. However, cars priced above Rs 30 lakh will not be eligible for any relief.

The policy is aligned with the city’s broader objective of reducing vehicular emissions and enhancing the adoption of clean mobility technologies across Delhi.

To support two-wheelers, three-wheelers, and cargo electric vehicles, the draft also outlines substantial subsidies intended to decrease gradually over a three-year period. For electric two-wheelers costing up to Rs 2.25 lakh, buyers may claim subsidies of up to Rs 30,000 in the first year, Rs 20,000 in the second year, and Rs 10,000 in the third year. Electric three-wheelers will attract a similar subsidy structure, while small electric goods carriers in the N1 category will see higher incentives.

Incentives for Scrapping Old Vehicles

The proposed policy introduces financial incentives to encourage the scrapping of older vehicles as a means to accelerate EV adoption. The incentives include Rs 10,000 for scooters, Rs 25,000 for autos, and up to Rs 1 lakh for cars, targeted at limited beneficiaries. Goods vehicles will receive Rs 50,000 under this scheme. These benefits will only be applicable if a new electric vehicle is purchased within a specified timeframe following the scrapping.

Moreover, there is a significant emphasis on expanding EV support infrastructure. The draft highlights mandatory planning for charging facilities at EV dealerships, a widespread rollout of public charging stations throughout the city, and the promotion of battery swapping systems to enhance convenience for users. Home and workplace charging options will also be facilitated to create a comprehensive ecosystem supporting electric mobility.

Delhi Transco Limited will serve as the main agency overseeing these developments, while the Delhi Pollution Control Committee will be responsible for managing battery waste, in compliance with the Battery Waste Management Rules 2022. Additionally, there will be a system for tracking batteries and establishing dedicated collection centres to promote responsible disposal.

Firm Timelines Set for Transition to Electric Vehicles

The draft policy establishes definitive timelines to ensure a speedy transition away from fossil fuel vehicles. Key milestones include exclusive registration of electric three-wheelers from January 1, 2027, and electric two-wheelers from April 1, 2028. The initiative also mandates that by 2030, 30 per cent of school buses should be electric, while ride-hailing services like Ola and Uber are prohibited from incorporating new petrol or diesel vehicles starting in 2026. Furthermore, all government fleets must transition to electric vehicles for purchasing or leasing.

The transport department invites public input prior to the final implementation of the policy. Authorities mentioned that adjustments may be made based on both public feedback and expert advice, aiming to enhance the framework before it goes into effect. Delhi Transport Minister Pankaj Singh reiterated the goal of fostering a cleaner, more sustainable transport system that remains in place until March 31, 2030.

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