The Delhi government has released the draft Electric Vehicle Policy 2026, which proposes significant incentives and regulatory shifts to accelerate the transition to cleaner transport. The public has until May 10, 2026, to submit suggestions and comments.
Below is a structured overview of the proposed draft policy, which is open for public comment until May 10, 2026.
1. Tax Exemptions & Financial Incentives
The draft policy focuses on making eco-friendly vehicles more affordable through road tax waivers and direct subsidies.
| Vehicle Category | Price Cap (Ex-Showroom) | Road Tax & Registration Fee Exemption | Purchase Incentive (Year 1) |
| Electric Cars | Up to ₹30 Lakh | 100% Exemption | N/A (Focus on tax waiver) |
| Strong Hybrids | Up to ₹30 Lakh | 50% Exemption | N/A |
| E-Two-Wheelers | Up to ₹2.25 Lakh | 100% Exemption | ₹10,000 per kWh (Max ₹30,000) |
| E-Autorickshaws | N/A | 100% Exemption | ₹50,000 |
2. Phased Purchase Incentives (3-Year Outlook)
To encourage immediate adoption, the Delhi government has proposed a “front-loaded” incentive structure where subsidies decrease annually.
| Incentive Year | E-Two-Wheelers (per kWh) | Max Cap (Two-Wheelers) | E-Autorickshaws |
| Year 1 | ₹10,000 | ₹30,000 | ₹50,000 |
| Year 2 | ₹6,600 | ₹20,000 | ₹40,000 |
| Year 3 | ₹3,300 | ₹10,000 | ₹30,000 |
3. Scrappage Benefits
Owners who scrap their old, polluting vehicles in favor of a new EV are eligible for additional financial support, provided the purchase is made within six months of scrapping.
| Vehicle Purchased | Scrappage Incentive Amount | Specific Conditions |
| Electric Car | ₹1,00,000 | Limited to first 1 lakh applicants |
| E-Goods Carrier (N1) | ₹50,000 | For commercial transition |
| E-Three-Wheeler | ₹25,000 | Focus on L5M category |
| E-Two-Wheeler | ₹10,000 | Scrapping BS IV or older models |
4. Regulatory Deadlines & Bans
The policy sets clear timelines for phasing out new registrations of fossil-fuel-based smaller vehicles to meet long-term sustainability goals.
| Implementation Date | Regulatory Action |
| January 2027 | Ban on registration of new CNG Autorickshaws |
| April 2028 | Ban on registration of new ICE Petrol Two-Wheelers |
| March 2030 | Expiry of current proposed EV Policy 2026 incentives |
5. Fund Allocation & Infrastructure
A dedicated “EV Fund” will be established to manage the ₹3,954.25 crore budget, distributed as follows:
- ₹1,718 Crore: Scrapping incentives.
- ₹1,236.25 Crore: Direct purchase incentives.
- ₹1,000 Crore: Expansion of charging and battery-swapping infrastructure.
The policy also outlines the development of a digital portal for streamlined approvals and monitoring of charging stations, ensuring that the transition to electric mobility is supported by a robust and accessible network.
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