Delhi's New EV Policy 2026-30: Big Incentives & Tax Breaks
Delhi's New EV Policy 2026-30: Big Incentives & Tax Breaks
Delhi unveils the Draft EV Policy 2026-30 with hefty incentives, road tax exemptions, and a scrapping bonus to accelerate electric mobility and charging infrastructure.
The Delhi government has released the Draft Delhi Electric Vehicle Policy 2026-2030, a plan aimed at reducing vehicular emissions and boosting the city’s shift to clean transport. Delhi’s winter air pollution is heavily influenced by vehicles, and officials say the new policy prioritizes infrastructure and affordability through a suite of incentives. A key feature is a single-window clearance for home and community charging stations, designed to simplify setup and speed up adoption. Feedback on the draft policy is open to the public until May 1, 2026, at evpolicy2026@gmail.com.
Incentives span several EV segments. Electric two-wheelers will receive ₹10,000 per kWh in the first year (capped at ₹30,000) with the price cap for eligibility at ₹2.25 lakh. In subsequent years, the per-kWh incentive declines to ₹3,300 (max ₹10,000). Electric autos (L5M) start at ₹50,000 in Year 1, ₹40,000 in Year 2, and ₹30,000 in Year 3. For electric four-wheeler goods vehicles (N1), incentives begin at ₹1,00,000 in Year 1, then ₹75,000 in Year 2 and ₹50,000 in Year 3.
Road tax and registration fees are fully exempted for most EVs, while strong hybrids priced under ₹30 lakh (ex-showroom) enjoy a 50% exemption. There is a clear price cap: electric cars priced above ₹30 lakh will not receive tax or registration exemptions. In addition, a “scrapping incentive” rewards those who scrap an old Delhi-registered BS-IV or older vehicle and purchase a new EV within six months.
The policy also emphasizes infrastructure and policy coordination, with a focus on speeding up on-ground deployment. The draft notes a broader roadmap, including possible policy-driven transitions, and invites stakeholders to participate in refining the plan as Delhi moves toward greater electrification of its transport sector. Public feedback and any policy refinements will shape the final version of the policy.
A notable provision in the draft hints at a timeline for two-wheelers: from April 1, 2028, only electric two-wheelers will be permitted for new registrations in Delhi, signaling a potential shift away from ICE two-wheelers over time.
