Buying an electric vehicle (EV) in Delhi is set to become significantly cheaper from July 1, with the Delhi Government announcing a complete waiver of road tax and registration charges for all electric vehicles, including four-wheelers priced up to Rs 30 lakh.
The announcement was made by Chief Minister Rekha Gupta on Monday after the Delhi Cabinet approved the Delhi Electric Vehicle (EV) Policy 2026. The policy will come into effect from July 1 after receiving the Lieutenant Governor’s approval.
The policy will remain in force until March 31, 2030, and aims to accelerate the adoption of electric vehicles while making Delhi a pollution-free city.
Addressing a press conference, Gupta said the government would invest more than Rs 7,000 crore over the next four years to accelerate the transition to electric mobility. Combined with tax exemptions and other incentives, Delhi residents are expected to receive benefits worth nearly Rs 15,000 crore.
“For the first time in the country, a state is implementing an EV policy backed by such a large investment and such wide-ranging incentives,” the Chief Minister said.
The biggest relief for consumers is the exemption from road tax and registration fee on all electric vehicles. For electric cars, the exemption will be available only for vehicles with an ex-showroom price of up to Rs 30 lakh.
For electric four-wheelers priced above Rs 30 lakh (ex-showroom), the standard Delhi road tax rate will remain 10% for individual buyers and 12.5% for corporate/company buyers.
The government has also announced direct purchase incentives, which will be credited to buyers’ bank account through Direct Benefit Transfer (DBT).
Under the new policy, people buying electric two-wheelers can get incentives of up to Rs 30,000 in the first year, Rs 20,000 in the second year and Rs 10,000 in the third year.
Similarly, buyers of electric three-wheelers will be eligible for incentives of up to Rs 50,000 in the first year, Rs 30,000 in the second year and Rs 20,000 in the third year.
People purchasing N1-category electric goods vehicles would receive incentives of up to Rs 1 lakh. However, no subsidy would be provided for hybrid vehicles, the CM said. To encourage people to scrap their old and polluting vehicles, the government has also announced scrapping incentives. People scrapping BS-IV or older vehicles will receive Rs 10,000 for two-wheelers, Rs 25,000 for three-wheelers, Rs 1 lakh for four-wheelers, Rs 50,000 for N1 trucks and Rs 15,000 for Gramin Sewa vehicles.Subsidy will be transferred directly into beneficiaries’ bank accounts within 60 days of the application through a dedicated EV portal, which will be launched after July 1.
The policy also lays down a roadmap for phasing out fossil fuel-powered commercial vehicles. From January 1, 2027, only electric passenger and goods-carrying auto-rickshaws in specified categories, along with N1-category electric goods vehicles, will be registered in Delhi. From April 1, 2028, only electric two-wheelers will be registered in the national capital. School transport will also gradually shift to electric mobility, with EVs expected to make up 10 per cent of school bus fleets by the second year of the policy, 20 per cent by the third year and 30 per cent by March 2030.
The government said more than 30,000 public charging points would be installed across Delhi during the policy period. The land had already been identified and charging infrastructure would be rolled out in phases. The policy also provides a major incentive for heavy electric trucks, with the first 1,000 N2-category electric trucks purchased within three months of the notification being exempt from Delhi’s no-entry restrictions for ten years.
The CM said the policy aims to reduce air pollution, lower fuel expenses for residents and make Delhi a cleaner, smarter and more sustainable city.
