Delhi Government Plans To Restore EV Subsidies To Tackle Rising Pollution

Complementing central support, the proposed incentives will boost subsidies for electric buses, trucks, and two and three wheelers.

Delhi is set to reintroduce subsidies for electric vehicles EVs from the next financial year as part of a broader push to curb rising air pollution, according to government sources. The draft EV policy, expected to be released for public consultation within the next fortnight, will provide financial incentives for both two- and four-wheelers.

The move is aimed at narrowing the price gap between internal combustion engine ICE vehicles and EVs, particularly targeting middle-class buyers. Subsidies of Rs 35,000 to Rs 40,000 are expected for two-wheelers shifting to electric power, while commercial three-wheelers and electric cars may also receive substantial incentives. Owners of petrol and diesel vehicles priced up to Rs 20,00,000 switching to EVs could benefit under the new scheme.

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The Delhi government is also taking a stricter approach to enforcement of pollution norms. Vehicles without a valid Pollution Under Control PUC certificate will face a ₹10,000 challan, with authorities emphasising a zero tolerance policy and no waivers, even through legal channels.

In addition, shared mobility initiatives are being explored, including allowing Ola and Uber to operate pooled buses across Delhi NCR to reduce congestion and emissions. Rationalisation of Delhi Transport Corporation DTC bus routes and new e-rickshaw guidelines are also planned to improve coverage, last-mile connectivity and encourage use of public transport.

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Chief Minister Rekha Gupta described the strategy as multi-dimensional, combining financial incentives with stricter enforcement to make Delhi cleaner, greener and more sustainable while expanding EV adoption across the city.

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Vidushi Saxena
Vidushi Saxena
Vidushi Saxena is a Journalist at EFY, with a strong interest in news reporting, in-depth research, and developments shaping the business and technology landscape.

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