The Delhi Cabinet on Monday approved the Delhi EV Policy 2026, with Chief Minister Rekha Gupta announcing that the policy has received the Centre's support. It will now be sent to the Lieutenant Governor for final approval before its proposed rollout from July 1, 2026. The policy remains in force until March 31, 2030.
Focus on Scrappage Incentives and Purchase Subsidies
The policy places a strong emphasis on scrappage incentives alongside purchase subsidies to accelerate the replacement of older, polluting vehicles with zero-emission alternatives. It aims to transform the national capital into a clean, pollution-free transport hub by promoting Zero Emission Vehicles (ZEVs). The government estimates that more than Rs 7,000 crore will be invested directly over the next four years, while the overall benefit to citizens, including tax exemptions and EV infrastructure, is expected to exceed Rs 15,000 crore.
Scrappage Incentive Framework
A key highlight of the policy is its scrappage incentive framework. Owners replacing BS-IV or older two-wheelers with electric vehicles will receive an additional Rs 10,000 scrappage incentive, while three-wheeler owners will get Rs 25,000 and N1 commercial truck owners up to Rs 50,000. Owners of BS-IV or older four-wheelers shifting to electric cars will be eligible for a scrappage incentive of Rs 1 lakh. These benefits are available over and above the purchase incentives announced under the policy.
Tax Exemptions and Registration Fee Waiver
The government has also announced 100% exemption from road tax and registration fees for all pure electric vehicles. For four-wheelers, the exemption applies to vehicles with an ex-showroom price of up to Rs 30 lakh.
Chief Minister's Remarks
Addressing the media after the Cabinet meeting, Rekha Gupta said the policy was prepared after extensive consultations with stakeholders and multiple rounds of discussions. "After discussions at every level, we were able to prepare this draft, and today it has been approved by the Cabinet. Once implemented from July 1, every person purchasing a vehicle in Delhi will be able to benefit from this policy," she said.
Highlighting the Centre's role, Rekha Gupta thanked Prime Minister Narendra Modi and the Union government for extending support to the initiative. She said pollution in Delhi is a challenge that requires coordinated action across the National Capital Region. "No state in the country has provided this level of support for EV adoption. Delhi EV Policy 2026 will be a transformative and revolutionary policy that will make Delhi eco-sustainable, affordable and future-ready," she said.
Implementation Targets
The policy also sets ambitious implementation targets, including the creation of 32,000 public EV charging points and phased mandates for electric commercial vehicles, two-wheelers and institutional fleets, reinforcing the government's strategy to reduce vehicular emissions and improve air quality in the capital.
