Tuesday, August 19, 2025

No More Government Subsidies On Electric Cars In Delhi

The Government of Delhi has stopped the subsidy scheme on electric cars as the national capital has got required push from the government's side, said Transport Minister Kailash Gahlot. 

subsidy on electric cars in Delhi

As per the reports, Delhi has witnessed an intense growth in EV registrations over the last few months. With this, the target of subsidizing the first 1,000 electric four-wheelers under its EV policy has been completed. And so, the govt will now majorly focus on electric two-wheelers, freight and commercial vehicles and has no plans to continue the subsidy on electric cars.  

In a conversation with Hindustan Times, Gahlot said – "The electric cars segment has received the required push in Delhi. Our focus now is to tap the two-wheeler, freight, and public transport segments of electric vehicles (EVs) as they constitute a major chunk of Delhi’s over 10 million registered vehicles. They also ply on the road more as compared to private cars, thereby causing more pollution." He further stated that: –  Actually, a subsidy is not required for e-cars as such because those who can afford to pay around Rs 15 lakh for a vehicle do not care if the cost is Rs 1-2 lakh more, sans the subsidy. Our aim is to provide the subsidy to those who need it the most, and they include auto drivers, two-wheeler owners, delivery partners, and so on.

"We are witnessing good results of our electric vehicle policy and the adoption of such vehicles is gaining pace. We are committed to realizing the dream of making Delhi the country's electric vehicle capital, according to the vision of Chief Minister Arvind Kejriwal," Gehlot added. 

According to the EV Policy of the Delhi Govt announced last year, the govt was offering a purchase incentive of Rs 10,000 per kWh battery capacity of the vehicle subjected to a maximum cover amount of Rs 1,50,000 per vehicle, for the first thousand four-wheelers sold. On the other hand, the subsidy available on electric two-wheelers is Rs 5,000 per kWh of the battery pack with a maximum incentive amount of Rs 30,000 per vehicle. Incentives available on e-rickshaws/auto/carriers are up to Rs 30,000 per vehicle 

The state also offers a waiver on registration fees and road tax on all types of electric vehicles. 

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