Delhi has rolled out a new electric vehicle (EV) policy with a four-year budget of 150 billion rupees (approximately USD 1.59 billion), set to take effect on July 1 and focus solely on battery electric vehicles while excluding hybrids. The policy introduces a suite of incentives: car owners who scrap pre-April 1, 2020 petrol vehicles for EVs can receive a cash rebate of around USD 1,060, battery electric cars priced under 3 million rupees are exempt from road tax and registration fees, and cash subsidies for electric two-wheelers will gradually taper down over three years. It also plans to build 32,000 EV charging stations citywide to improve supporting infrastructure. A strict regulatory deadline mandates that only electric two-wheelers can be registered in Delhi starting April 1, 2028, phasing out gasoline-powered two-wheelers to cut transport emissions and ease severe winter air pollution. This policy benefits automakers including Tata Motors and Mahindra & Mahindra as well as multiple electric two-wheeler brands, and unlocks investment opportunities in charging hardware, grid services and fleet electrification, prompting delivery and ride-hailing firms to plan vehicle replacement cycles in advance. Such city-level low-carbon governance sets a benchmark for dense, heavily polluted emerging market cities, yet the policy’s ultimate success hinges on practical implementation factors such as streamlined subsidy access, demand-oriented charger deployment and sufficient grid capacity.
Sources: https://esgnews.com/delhi-offers-ev-cash-incentives-to-scrap-old-cars/