New Delhi: The Delhi government is planning to introduce a revised electric vehicle policy that offers cash incentives for scrapping older vehicles, aiming to boost EV adoption and reduce pollution in the capital, Electronics for your Business reported.
Under the proposed policy, owners of BS4 or older vehicles registered in Delhi will be eligible for financial benefits if they scrap their vehicles at authorised centres and purchase a new electric vehicle within six months.
The incentives will vary depending on the type of vehicle. Buyers of electric two-wheelers may receive ₹10,000, while those purchasing electric three-wheelers could get ₹25,000. The highest benefit—up to ₹1 lakh—will be offered to buyers of electric cars priced up to ₹15 lakh, with the scheme limited to the first 100,000 applicants.
Officials said the payments will be made directly to beneficiaries through a direct benefit transfer system, with detailed guidelines to be issued by the transport department.
The move comes as the city continues to battle air pollution. Delhi recorded an Air Quality Index of 94 on March 21, marking the first satisfactory reading in several months.
In addition to scrappage incentives, the government plans to continue tax exemptions for electric vehicles priced up to ₹30 lakh. These vehicles will remain exempt from road tax and registration fees until March 31, 2030.
Officials said the combined measures are expected to encourage people to shift to cleaner vehicles while reducing the number of older, polluting vehicles on the roads.
The policy is likely to be rolled out later this year as part of the government’s efforts to improve air quality and promote clean mobility.
