Exploring the Delhi Electric Vehicles Policy 2026: Key Changes
The Delhi government has officially launched the Delhi Electric Vehicles Policy 2026, aimed at promoting electric vehicle (EV) adoption and improving air quality in the capital. The policy will take effect from July 1, 2026, and will remain in force until March 31, 2030. It was approved by the Delhi Cabinet and the lieutenant governor under the provisions of the Motor Vehicles Act, 1988.
Tax Exemption for Electric Cars
Under the new policy, electric cars with an ex-showroom price of Rs 30 lakh or less registered in Delhi will benefit from a full exemption from road tax and registration fees. Additionally, the government will provide subsidies for electric two-wheelers, offering Rs 30,000 in the first year, Rs 20,000 in the second year, and Rs 10,000 in the third year. Electric three-wheeler buyers will receive incentives of up to Rs 50,000 in the first year, Rs 40,000 in the second year, and Rs 30,000 in the third year.
Registration of Petrol Two-Wheelers to End
The policy outlines a phased transition to electric mobility across various vehicle categories. From January 1, 2027, only electric auto-rickshaws will be registered in Delhi. The registration of new petrol and CNG two-wheelers will cease from April 1, 2028, making way for only electric two-wheelers to be eligible for registration. The policy does not extend incentives to hybrid vehicles, focusing solely on battery electric vehicles.
Rs 15,000 Crore Investment, 30,000 Charging Points Planned
The Delhi government plans to invest approximately Rs 15,000 crore over the next four years to enhance electric mobility and reduce vehicular pollution. To support the expanding EV fleet, more than 30,000 EV charging points will be established throughout the city. The policy will also feature an online portal for processing incentives through Direct Benefit Transfer (DBT) and includes a three-year lock-in period for beneficiaries of government subsidies, preventing them from registering their electric vehicles in another state during that time.
Scrapping Incentive for Old Vehicles
To encourage the replacement of older, polluting vehicles, the policy introduces a scrapping incentive for buyers of electric cars. Those purchasing a new electric car priced up to Rs 30 lakh can receive a scrapping incentive of Rs 1 lakh if they scrap a Delhi-registered Bharat Stage-IV or older car through an authorized facility and complete the purchase within six months of receiving the Certificate of Deposit. This benefit will be available to the first one lakh eligible applicants. The EV Policy 2026 builds on the initial electric vehicle policy introduced in August 2020.
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