Buying an electric vehicle in Delhi could soon become much more affordable.
The Delhi Cabinet has approved the Delhi EV Policy 2026, which offers major incentives for EV buyers, including a 100% exemption on road tax and registration fees for eligible electric cars.
The new policy comes into effect on July 1, 2026, and will remain in force until March 31, 2030.
It also sets a timeline to gradually phase out the registration of new petrol and CNG vehicles in certain categories.
Big Savings for Electric Vehicle Buyers
One of the biggest highlights of the new policy is the complete exemption from road tax and registration charges on electric cars priced up to ₹30 lakh.
This could help buyers save several lakh rupees, depending on the vehicle.
The policy also provides purchase incentives for other electric vehicles.
Electric two-wheelers:
Year 1: ₹30,000 subsidy
Year 2: ₹20,000 subsidy
Year 3: ₹10,000 subsidy
Electric three-wheelers:
Year 1: ₹50,000 subsidy
Year 2: ₹40,000 subsidy
Year 3: ₹30,000 subsidy
It is important to note that hybrid vehicles are not eligible for these benefits. The incentives apply only to fully electric, zero-emission vehicles.
Scrappage Bonus for Old Vehicles
The policy also encourages people to replace older vehicles with electric ones by offering scrappage incentives.
Eligible buyers can receive:
Up to ₹1 lakh for scrapping an old four-wheeler
Up to ₹50,000 for N1 goods vehicles
Up to ₹25,000 for three-wheelers
Up to ₹10,000 for two-wheelers
The bonus is available for replacing BS-IV or older petrol and diesel vehicles.
Petrol and CNG Two-Wheelers to Be Phased Out
The policy introduces a clear timeline for shifting towards electric mobility.
From January 1, 2027, only electric auto-rickshaws and electric N1 goods carriers can be newly registered in Delhi.
This means new CNG auto-rickshaw registrations will stop.
From April 1, 2028, the registration of new petrol and CNG scooters and motorcycles will also end.
Anyone buying a new two-wheeler after this date will have to choose an electric model.
However, vehicles that are already registered will not be affected and can continue to operate normally.
More Charging Stations Across Delhi
To support the growing number of electric vehicles, the Delhi government plans to install around 32,000 public charging points across the city.
The government has also announced an investment of more than ₹7,000 crore over the next four years.
The money will be used for EV subsidies, scrappage incentives, charging infrastructure and tax benefits.
According to officials, the total financial benefit for citizens could exceed ₹15,000 crore when all incentives and tax savings are combined.
The policy also states that all new government vehicles and DTC buses will gradually be converted to electric vehicles.
What Should Buyers Do?
If you are planning to buy a new car, scooter or auto-rickshaw in Delhi over the next few years, the new policy makes electric vehicles a more attractive option.
The combination of tax exemptions, purchase subsidies and scrappage benefits can significantly reduce the cost of owning an EV.
At the same time, the planned phase-out of new petrol and CNG vehicle registrations means buyers may have fewer conventional options in the coming years.
The policy has been approved by the Delhi Cabinet and is awaiting the final approval of the Lieutenant Governor before it is officially implemented.
