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Delhi EV Policy 2026: No Road Tax, Bigger Subsidies, Petrol Bikes Out By 2028

6 hours ago

The Delhi government has officially launched the Delhi EV Policy 2026, outlining an ambitious roadmap to accelerate vehicle electrification in the national capital.

The policy will remain in force until March 31, 2030, and is backed by an outlay of Rs 7,000 crore aimed at gradually phasing out internal combustion engine (ICE) vehicles.

Road Tax And Registration Fee Waiver

To encourage electric vehicle adoption, the government has announced a 100 per cent waiver on road tax and registration fees for eligible EVs.

For passenger cars, the exemption applies only to electric vehicles priced up to Rs 30 lakh (ex-showroom). Electric cars priced above that threshold will continue to attract standard taxes.

Purchase Subsidies Through Direct Benefit Transfer

The policy also provides direct purchase incentives, which will be transferred to buyers through the Direct Benefit Transfer (DBT) mechanism.

The subsidies include:

  • Electric two-wheelers: Up to Rs 30,000
  • Electric three-wheelers: Up to Rs 50,000
  • N-1 electric trucks (under 3.5 tonnes): Up to Rs 1,00,000

Timeline For Phasing Out New ICE Vehicle Registrations

The policy sets clear deadlines for ending registrations of new petrol, diesel and CNG vehicles in select categories.

ALSO READ: Delhi EV Policy: Best Electric Cars Below Rs 30 Lakh

From January 1, 2027, registrations of petrol, diesel and CNG-powered L-5 category auto-rickshaws (passenger and cargo) and N-1 commercial goods carriers will no longer be permitted.

From April 1, 2028, all newly registered two-wheelers in Delhi must be electric.

Scrappage Incentives For Older Vehicles

The government has earmarked more than Rs 1,500 crore for vehicle scrappage incentives to encourage owners to replace older internal combustion engine vehicles with electric alternatives.

The incentives are:

  • Four-wheelers: Rs 1,00,000
  • Two-wheelers: Rs 10,000
  • Three-wheelers: Rs 25,000
  • N-1 commercial trucks: Rs 50,000

Commercial Fleets And School Transport

To reduce emissions from commercial transport, the policy provides a special incentive for heavy-duty electric trucks.

The first 1,000 N-2 electric trucks (3.5 to 12 tonnes) purchased within three months of the policy notification will receive a 10-year exemption from Delhi's 'No Entry' restrictions.

The policy also mandates a phased transition for school transport fleets. Operators must convert:

  • 10 per cent of their fleet to EVs within two years
  • 20 per cent by the third year
  • 30 per cent by March 2030

Charging Infrastructure Expansion

To support the transition, the Delhi government aims to install more than 30,000 active EV charging points across the city during the policy period.

ALSO READ: Delhi EV Policy 2026: New Rules Come Into Effect From July 1. Here's What We Know

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