Electric Vehicle Policy 2019 Has Been Released By Delhi Government

Under the Delhi Electric Vehicle Policy 2019, the city government is providing a subsidy of Rs 5,000 per kWh of battery capacity on the purchase of two-wheelers. Incentive of up to Rs 5,000 will be offered for scrapping of a non-electric two-wheeler vehicle and switching to an electric vehicle, the chief minister said

December 24, 2019. By Hemant Arora

The Delhi government has declared the draft for the Electric Vehicle Policy 2019 which targets at the frequent use of electric vehicles in Delhi. The main aim is to improve Delhi's air quality by bringing down emissions from the transport sector, as per the policy draft. The policy will try to find the rapid adoption of Battery Electric Vehicles in a way that they contribute 25 per cent to the overall new vehicle registrations in coming 4 years. During the period of this policy, the road tax and registration will be waived off for all battery electric vehicles. The EV Policy will be valid for three years from the date of implementation.

As per the government, the Delhi EV Policy will target at electric two-wheelers and shared transport vehicles as well as the likes e-three-wheelers, buses and freight vehicles, since they contribute to the majority of the vehicular pollution. Electric two-wheelers constitute only 0.2 per cent of annual two-wheeler sales, electric cars contribute 0.1 per cent to car sales, while electric three-wheeler sales at almost nil at present, according to the draft of the policy.

The Delhi government is focusing the induction of 35,000 within a year that will be inclusive of two/three and four-wheelers. This will include 1000 EVs for last-mile deliveries and 250 public charging or swapping stations around the city. The government is aiming to register about five lakh EVs by 2025 to help save about Rs. 6000 crore in oil and liquid natural gas imports, as well as 4.8 million tonnes of CO2 emissions. This is equivalent to avoiding nearly one lakh CO2 emissions from petrol cars over their lifetime, as per the government. The EVs will help avoid 159 tonnes of 2.5 ppm tailpipe emissions. The policy has plans to make the city, the EV capital of India.



The EV Policy has rolled out various provisions for electric two-wheeler buyers inclusive of a purchase incentive of Rs. 5000 per kWh of battery capacity. A two-wheeler with a battery capacity of 2 kWh will get a subsidy of Rs. 10,000 as compared to Rs. 5500 presently offered by DPCC as subsidy. There will be a scrapping incentive of Rs. 5000 on offer, subject to evidence of matching contribution from the dealer or OEM, as per the draft.

The policy will allow ride-hailing service providers to operate electric two-wheeler taxis in a big step-up for last-mile connectivity. Delivery services that employ two-wheelers will also be expected to transition 50 per cent of their fleet to electric vehicles by March 2023 and completely to March 2025.


The policy will give an incentive of Rs. 10,000 per kWh of battery capacity for the first 1000 cars with a limit of Rs. 1.5 lakh per vehicle. All the leased and hired cars for commuter of GNTCD officers will transition to electric within a year from the date of notification of the policy.


The Policy gives a purchase incentive of Rs. 30,000 on three-wheelers, up from zero at the moment. There will be an interest subvention of five per cent on loans or hire purchase scheme for electric autos. That will bring the interest rate from a bank down to seven per cent from the average interest of 12 per cent, which will be the lowest for EVs in the country.


The Policy will fall in line with the GNTCD to convert 50 per cent of its fleet to electric buses as well as smaller buses. All other vehicles will get financial incentives for both fixed battery and swappable battery models.


The government will be building the charging infrastructure during the policy period. All new home and workplace parking will have to be EV ready with 20 per cent of the vehicle parking holding to be EV compliant. The Delhi government will provide 100 per cent subsidy on the purchase of charging equipment up to Rs. 6000 per charging point for the first 30,000 charging points.

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