Delhi EV policy: ₹1 lakh incentive for four-wheeler owners who switch to EVs, scrappage incentives explained

The Delhi state government on Wednesday (1 July) notified its Delhi Electric Vehicle (EV) Policy, 2026, effective immediately and set to remain in operation till 31 March 2030. Aimed at promoting a clean, modern, and pollution-free transport system in the national capital, it seeks to accelerate EV adoption in the city, comprehensively expand battery charging and battery-swapping infrastructure, and develop a robust EV ecosystem.

The new policy provides a mix of financial incentives, institutional monitoring, digital transparency and environmental responsibility to help reduce dependence on conventional fuels and improve air quality.

Today, we explain how the incentives work and steps to apply:

Up to ₹1 lakh incentive for scrapping old vehicles

The policy includes purchase incentives, scrapping incentives, development of charging infrastructure and exemptions from road tax and registration fees, providing substantial financial benefits to eligible EV buyers. Gupta told reporters that the policy is designed in a way to provide relief to buyers of two-wheelers, three-wheelers and cars.

• The new policy provides a scrapping incentive of ₹1 lakh for owners of BS-IV or older four-wheelers who scrap their vehicles and switch to EVs.
• For electric two-wheelers it introduces an additional ₹10,000 incentive for scrapping old vehicles.
• For the three-wheeler segment there is provision for additional ₹25,000 scrappage incentive.

Other incentives offered under the policy include:

• Purchasers of electric two-wheelers will get a subsidy of ₹30,000 in the first year, ₹20,000 in the second year and ₹10,000 in the third year.
• Buyers of electric three-wheelers, including electric autorickshaws, will be eligible for incentives of ₹50,000, ₹40,000 and ₹30,000 in the first, second and third years, respectively.
• Buyers of N1 category electric trucks will receive a purchase incentive of up to ₹1 lakh, an official told PTI.
• Under the policy, a 100% exemption of road tax and registration fees will be provided to all EV four-wheelers with an ex-showroom price of ₹30 lakh or less registered with the national capital.

How to claim subsidies under Delhi EV policy?

• The Delhi EV Subsidy Portal was launched on Friday (3 July) to allow subsidy claims under the new Delhi EV Policy 2026. Check it here — https://evsubsidy.delhi.gov.in
• Citizens seeking to apply for incentives under the policy will have to register using documents such as Aadhaar, the vehicle Registration Certificate (RC) and Voter ID and complete the process with One-Time Password (OTP) sent on the mobile number for verification.
• “Eligible beneficiaries will be able to apply through the EV Subsidy Portal within 30 days of purchasing their vehicle and receiving the Registration Certificate (RC),” according to Gupta.

• She added that the government will transfer the subsidy directly into beneficiaries' bank accounts through Direct Benefit Transfer (DBT) within 60 days.
• Citizens and institutions can apply for electric vehicle purchase incentives and other benefits online and track real time status of their applications.

How will the new policy, incentives be implemented?

According to Delhi Chief Minister Rekha Gupta, the Transport Department will serve as the nodal department, under which a dedicated EV Cell will be established. This cell will be responsible for the operation, clarification, issuance of guidelines, and coordination related to the policy. A dedicated Project Management Consultant (PMC) will also be appointed.

Further, a Model Approval Committee will also be formed to certify EV models eligible for incentives and subsidies; evaluate and approve various EV models in accordance with prescribed technical standards, eligibility criteria, and operational guidelines. Only models approved by the committee will qualify for government incentives.

Delhi EV policy: What changes for you?

• As part of the policy, only e-autos will be registered in Delhi from January 1, 2027.
• Registration of new petrol and CNG two-wheelers will be phased out, with only electric two-wheelers to be registered from April 1, 2028.
• The policy introduces a three-year lock-in period for buyers availing government subsidies.
• Vehicles purchased with government incentives cannot be registered in another state during the first three years, preventing beneficiaries from immediately selling subsidised vehicles outside Delhi.

(With inputs from Agencies)