EV buyers in Delhi have remained in the shadows for six months now as the policy for electric vehicles has not been renewed, says report.
The electric vehicle owners have not been receiving subsidies since the lapse of the EV policy in Delhi in December 2023, as the Times of India reported.
The policy, announced on August 7, 2020, offered financial incentives to individuals purchasing electric vehicles. It was scheduled for renewal in January of this year, following its expiration on December 31.
Under the EV policy, electric two-wheelers receive a subsidy of Rs. 5,000 per kWh battery capacity (up to Rs. 30,000 maximum). At the same time, three-wheelers are eligible for a fixed subsidy of Rs. 30,000 per vehicle. The four-wheeler subsidy is no longer available as it was limited to the first 1,000 EVs registered in Delhi under the initial scheme.
Industry experts have cautioned that the long-term absence of subsidies and financial assistance will hamper the EV market in India and slow down the adoption of eco-friendly mobility in the city.
The Government had notified about the renewal of the policy till June this year. It had also consulted stakeholders for remodelling the rule in October 2023, but the process was stalled leading to multiple speculations.
According to the transport minister Kailash Gahlot, delays in bureaucratic procedures are responsible for the non-renewale. He has also highlighted the importance of the matter so that Delhi can retain its foremost position in EV adoption in India.
The delay in extending the policy was also connected to issues involving the bank that manages the EV subsidy portal. According to an official, there were discrepancies because the portal did not use the vehicle number as a unique ID. The delay, therefore, was attributed to the bank. However, the official mentioned that the portal has now been corrected.
Sources in the transport department have also cited the Lok Sabha elections as a reason behind the delay. They told the Times of India that the policy extension was approved by the state cabinet but had to be held up for the elections. Now that the proposal has been sent again, the policy is expected to be renewed in a week.
