The Delhi government has released the draft electric vehicle (EV) policy 2026-2030, outlining a plan to accelerate the adoption of electric mobility in the capital through incentives, regulatory measures, and expanded charging infrastructure.
The draft policy, issued by the transport department’s EV cell, will be available for public feedback for 30 days before finalization and notification.
Building upon the previous policy, the new initiative aims to increase EV adoption across key sectors, enhance charging infrastructure, and enforce stricter electrification rules.
This development occurs amidst growing concerns about air pollution in Delhi, where vehicular emissions contribute nearly 23% of winter pollution, underscoring the importance of transport electrification.
Two-wheelers, constituting approximately 67% of the city’s vehicle base, are a primary focus, along with high-usage categories like three-wheelers and commercial vehicles.
The draft policy introduces a phased direct benefit transfer (DBT) framework, gradually reducing subsidies over time. Electric two-wheeler (E2W) buyers can receive subsidies up to ₹30,000 in the first year, ₹20,000 in the second, and ₹10,000 in the third. Electric auto-rickshaws may qualify for incentives up to ₹50,000 in the first year, while electric goods carriers in the N1 category can receive up to ₹1 Lakh initially.
To encourage the transition from polluting vehicles, the policy also proposes scrappage-linked incentives. Buyers who scrap BS-IV or older vehicles can receive ₹10,000 for two-wheelers, ₹25,000 for three-wheelers, up to ₹1 Lakh for electric cars priced under ₹30 Lakh, and ₹50,000 for goods carriers.
The draft policy also suggests a 100% exemption on road tax and registration fees for most EVs, excluding electric cars priced above ₹30 Lakh. Electric cars priced up to ₹30 Lakh will continue to receive full exemptions until March 31, 2030. Strong hybrid EVs will receive a 50% exemption on road tax and registration fees.
The draft policy proposes banning the registration of non-electric three-wheelers from January 1, 2027, and non-E2Ws from April 1, 2028.
Beyond incentives, the policy emphasizes strengthening the EV ecosystem by expanding charging networks, promoting battery swapping, and establishing systems for battery recycling and disposal to facilitate broader EV adoption.
While presenting the Delhi government’s Budget for 2026-27, CM Rekha Gupta allocated ₹200 Cr for EV policy 2.0 to scale EV adoption and accelerate the city’s green transition.
First launched in 2020, Delhi’s EV policy has been extended multiple times until 2026.
This announcement follows the Karnataka government’s decision to remove tax exemptions on electric cars and introduce a lifetime road tax, increasing their cost.