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Delhi Draft EV Policy 2026–2030 Enters Stakeholder Consultation with New Incentives and ICE Phase-Out Plans

Delhi government unveils draft EV Policy 2026–2030 with new subsidies, petrol vehicle phase-out timelines, and charging infrastructure expansion to cut urban pollution

A
Arun Sharma
· Apr 30, 2026 · 5 min read · 18
Delhi Draft EV Policy 2026–2030 Enters Stakeholder Consultation with New Incentives and ICE Phase-Out Plans Blog · Apr 30, 2026

Delhi has taken another major step toward becoming India’s electric mobility capital. The Delhi government has launched a 30-day stakeholder consultation process for the Draft Delhi Electric Vehicle (EV) Policy 2026–2030, aimed at accelerating the city’s transition to clean transportation while reducing vehicular pollution.

The new draft policy builds upon Delhi’s 2020 EV framework but moves beyond direct vehicle incentives to establish a wider electric mobility ecosystem, including charging infrastructure, battery recycling, fleet electrification, and digital subsidy disbursement.

With vehicular emissions contributing nearly 23% of Delhi’s air pollution, the government says the revised policy is designed to support faster EV adoption while strengthening the infrastructure needed for long-term sustainability.


Policy Focus Shifts from Vehicle Sales to EV Ecosystem Development

Unlike the earlier policy, which mainly incentivised individual EV purchases, the Draft Delhi EV Policy 2026–2030 adopts a broader ecosystem-driven strategy.

The policy covers:

  • Electric two-wheelers
  • Electric three-wheelers
  • Electric cars
  • Commercial fleets
  • Battery recycling
  • Public charging networks
  • Battery swapping systems

The objective is to create an end-to-end EV ecosystem that not only encourages EV ownership but also supports charging accessibility, fleet electrification, and sustainable battery management.


Higher Incentives for Electric Two-Wheelers and Commercial Vehicles

The draft policy introduces a fresh incentive structure designed to improve EV affordability across segments.

Key Purchase Incentives Under Draft Delhi EV Policy 2026–2030

Segment Incentive Details
Electric Two-Wheelers ₹10,000/kWh subsidy, capped at ₹30,000 in Year 1
Price Eligibility Cap Applicable for vehicles priced up to ₹2.25 lakh
E-Autos Incentive increased to ₹50,000
Goods Carriers (N1) ₹1,00,000 subsidy
ICE Retrofitting Grant ₹50,000
Road Tax Exemption 100%
Registration Fee Exemption 100%
Strong Hybrid Vehicles 50% road tax + registration fee exemption till 2030

The inclusion of strong hybrid vehicles with partial tax exemptions reflects a practical transition strategy while full EV adoption scales up.


Petrol Vehicle Registration Phase-Out Timeline Announced

To accelerate the shift away from fossil-fuel vehicles, the draft policy introduces clear deadlines for phasing out new registrations of petrol-powered vehicles in key segments.

Proposed Transition Timeline

Deadline Regulatory Change
1 Jan 2027 Registration of new petrol three-wheelers to stop
2028 Registration of new petrol two-wheelers to be phased out
2030 Policy period completion target

These phase-out milestones are expected to significantly boost EV adoption, especially in Delhi’s high-volume two- and three-wheeler segments.


Massive Charging Infrastructure Push Planned

One of the biggest highlights of the policy is Delhi’s aggressive charging infrastructure roadmap.

The government aims to deploy 18,000 EV charging stations by the end of 2026, with installation targets focused on:

  • Delhi Metro stations
  • RRTS stations
  • Commercial hubs
  • Residential areas
  • Public parking zones

The draft also mandates:

  • At least one public charger at every vehicle dealership
  • 20% EV-ready parking spaces in new buildings
  • Expansion of battery swapping stations

These measures are intended to address range anxiety and improve charging convenience for EV users.


Faster Digital Subsidy Transfers via Aadhaar Linkage

To improve user experience, the policy proposes a digitised subsidy disbursement mechanism linked to Aadhaar, reducing subsidy transfer time to less than one week.

This is expected to solve one of the major concerns in previous EV incentive frameworks—delays in subsidy reimbursement.


Battery Recycling and Circular Economy Included

Another major addition in the draft policy is the focus on battery lifecycle management.

The government plans to encourage:

  • Battery recycling facilities
  • Component recovery systems
  • Battery servicing ecosystems
  • Depot electrification

A dedicated allocation of ₹3.2 billion is proposed to support EV depots and circular battery infrastructure.

This signals Delhi’s intent to build not just EV adoption, but also a sustainable EV ecosystem.


Delhi Aims to Strengthen Position as India’s EV Capital

The Draft Delhi EV Policy 2026–2030 shows a clear push toward making Delhi one of India’s most advanced EV markets.

By combining:

  • direct incentives
  • charging expansion
  • vehicle phase-out mandates
  • battery recycling frameworks
  • digital subsidy mechanisms

the government aims to accelerate the city’s clean mobility transition while tackling urban pollution at scale.

The 30-day public consultation window now gives industry players, consumers, and fleet operators the chance to shape the final policy before implementation.

If adopted in its current form, the policy could become one of India’s most ambitious state-level EV roadmaps.

A
Arun Sharma
EV Journalist, eVehicle India

Expert EV journalist at eVehicle India with years of hands-on testing experience across all categories of electric vehicles.

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