New Delhi: The Delhi government is weighing a new incentive scheme to encourage owners of ageing petrol and diesel cars to convert them into electric vehicles rather than scrapping them or selling them outside the city. Under the proposal, a subsidy of up to Rs 50,000 may be offered for the first 1,000 vehicles that are converted, with the aim of cutting vehicle pollution and promoting cleaner transport, reports millenniumpost.
Officials said the proposal is part of the Transport Department’s draft Electric Vehicle Policy 2.0, which is currently under review. The policy seeks to increase the use of electric vehicles across different categories and strengthen the capital’s long-term efforts to tackle air pollution. A final decision on the incentive will be taken only after the draft policy is approved by the Delhi Cabinet.
Vehicle retrofitting involves removing the petrol or diesel engine from an existing car and replacing it with an electric motor and battery system. While the concept has been discussed earlier, it has seen limited adoption because of the high cost of conversion kits and the overall expense of the process. The government believes financial support could make retrofitting a more practical option for car owners.
Officials said the scheme could be particularly useful for owners of premium vehicles. Many people who own high-end cars such as luxury sedans are unwilling to scrap them once they cross the end-of-life limit, as scrapping often brings very little return compared to the original cost of the vehicle. Incentives for conversion would allow such cars to be reused in a cleaner and more environment-friendly way.
The draft EV Policy 2.0 also outlines other proposals, including incentives for people who buy electric vehicles after scrapping old ones, a sharp increase in funding for research and development related to electric mobility from Rs 5 crore to Rs 100 crore, and plans to raise the number of electric two-wheelers in Delhi from five lakh to 12 lakh in the coming years. The policy also suggests introducing safety ratings for e-rickshaws and electric carts.
The proposal comes soon after restrictions under Stage III of the Graded Response Action Plan were lifted following an improvement in air quality. While BS4 and higher vehicles with valid pollution certificates are now allowed to operate, BS3 petrol vehicles continue to face restrictions in the region.













