The Delhi government has launched Electric Vehicle Policy 2.0 to provide tax relief and subsidies for electric vehicle owners starting July 1 [5, 6].
This initiative aims to curb severe air pollution in the national capital by accelerating the transition from internal-combustion engines to electric mobility [1, 2].
The new policy, which remains effective until March 31, 2030 [6], is backed by a budget of ₹15,000 crore [7]. Key incentives include zero road tax for EVs [1] and direct subsidies of up to ₹1 lakh per vehicle [1]. To support this growth, the city plans to install 30,000 new charging points [1].
Government officials said they have set an ambitious target for EV adoption to reach 95% by 2027 [4]. The phase-out of traditional engines will be gradual but firm; the city intends to end registrations for internal-combustion two-wheelers by 2028 [5].
While the policy emphasizes financial aid, there are restrictions to prevent market manipulation. Owners of subsidized EVs may be restricted from reselling their vehicles for a period of five years [8].
There are varying reports regarding the structure of the financial incentives. Some sources said the policy offers direct subsidies [1], while others said there is a shift toward scrappage incentives for those retiring older, polluting vehicles [2].
“Target EV adoption: 95% by 2027”
Delhi is moving from encouraging electric vehicle adoption to mandating it through a hard deadline for two-wheelers. By combining massive infrastructure investment with a 2028 registration cutoff, the city is attempting to create a critical mass of EVs to permanently lower urban emissions.
