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Delhi's Bold Leap: New EV Policy Targets Phased Elimination of Petrol Two-Wheelers by 2028

TL;DR

Delhi's new EV Policy 2.0 mandates only electric three-wheelers from January 2027 and electric two-wheelers from April 2028, offering significant tax exemptions and incentives to combat pollution.

The Delhi government has unveiled its comprehensive Electric Vehicle (EV) Policy 2.0, setting ambitious deadlines for phasing out petrol-powered two and three-wheelers. Under the new policy, only electric three-wheelers will be allowed for new registrations starting January 1, 2027. This will be followed by a complete transition for two-wheelers, with new registrations limited exclusively to electric models from April 1, 2028.

The policy aims to drastically reduce vehicular emissions in the capital, a significant contributor to air pollution. To encourage adoption, the government has proposed substantial financial incentives, including a 100% exemption on road tax and registration fees for electric cars priced up to ₹30 lakh, valid until March 31, 2030. Additionally, purchase subsidies for electric two-wheelers can reach up to ₹30,000 in the first year, with a total budget of ₹3,954.25 crore allocated until March 2030 for direct purchase incentives, scrappage benefits, and charging infrastructure expansion.

The Delhi EV Policy 2.0 also includes a scrappage-linked incentive, offering up to ₹1 lakh for eligible buyers replacing older BS-IV or earlier vehicles with new electric cars, specifically for models under ₹30 lakh. Strong hybrid vehicles will receive a 50% reduction in road tax and registration fees, signifying the government's clear preference for pure electrification. The phased approach and incentives aim to accelerate Delhi's shift towards a cleaner, more sustainable transportation system.

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