JSA Prism | Automotive & EV | August 2026

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Delhi notifies the Delhi Electric Vehicles Policy 2026

On April 11, 2026, the Government of National Capital Territory of Delhi (“GoNCTD”) released the Draft Delhi Electric Vehicle Policy, 2026-2030 (“Draft EV Policy”). Subsequently, on June 29, 2026, the Council of Ministers, GoNCTD, approved the Delhi Electric Vehicles Policy 2026. On June 30, 2026, in exercise of the powers conferred by Section 67(3) read with Section 2(41) of the Motor Vehicles Act, 1988, GoNCTD notified the Delhi Electric Vehicles Policy 2026 (“Notified EV Policy”) with effect from July 1, 2026.

The notified EV Policy incorporates the provisions proposed under the Draft EV Policy (subject to the key changes outlined below). For further details on the draft EV Policy, please refer to the JSA Prism of April 22, 2026.

Key changes

Definitions

Under Clause 3, the Notified EV Policy does not retain the definition of ‘Strong Hybrid Electric Vehicle’ and removes all references to it.

Purchase incentives

Under Clause 4, the following key changes were made:

under the Draft EV Policy, a vehicle was only required to be registered in Delhi. However, the Notified EV Policy now requires the vehicle to be both purchased and registered in Delhi;
under the new Clause 4.1.2, the Model Approval Committee (“MPC”) is to be constituted by the Transport Department, GoNCTD. MPC will be responsible for the following:
empanelment of Electric Vehicle (“EV”) models across eligible vehicle segments for availing incentives and subsidies; and
examination and approval of vehicle models based on the eligibility criteria, technical specifications, and other conditions prescribed under the operational guidelines. Only models approved and empanelled by MPC will be eligible for purchase incentives.
the application for purchase incentive is to be submitted within 30 (thirty) days from the date of generation of the Registration Certificate. The eligible subsidy amount will be disbursed within 60 (sixty) days from the date of submission of the application;
any vehicle availing purchase incentive under the Notified EV Policy, 2026 will not be eligible for issuance of a ‘No Objection Certificate’ for transfer or re-registration in another State/Union Territory for a period of 3 (three) years from the date of notification of the Notified EV Policy;
for two-wheelers, incentives are now based on ex-showroom price (previously ex-factory) and apply to both plug-in and battery swapping models;
in case of e-three-wheeler autorickshaws (L5M), incentives will not be given in case the battery capacity is less than 4 (four) kilowatt-hour. However, incentives are made applicable to both plug-in and battery swapping e-three-wheeler models;
in the Draft EV Policy, the incentive for e-three-wheeler auto-rickshaws applied broadly ‘to public’ for replacing old Compressed Natural Gas (“CNG”) auto-rickshaws or registering new auto-rickshaws ‘with permit of NCT of Delhi’. The Notified EV Policy now limits this incentive to the replacement of old CNG autorickshaws or purchase of new E-autorickshaws ‘within the overall limit of autorickshaws fixed for NCT of Delhi’, thereby linking availability to the pre-determined cap on Delhi’s total permissible auto-rickshaw fleet;
for e-four-wheeler goods vehicles (N1), incentives are now differentiated by weight (above or below 1.75-ton Gross Vehicle Weight (“GVW”)) with reducing amounts over 3 (three) years.

Category	Year 1 from date of notification	Year 2 from date of notification	Year 3 from date of notification
E-four-wheeler goods vehicles (N1)	INR 1,00,000 for N1 >1.75-ton GVW and INR 50,000 up to 1.75 tons GVW	INR 75,000 for N1 >1.75-ton GVW and INR 37,500 up to 1.75 tons GVW	INR 50,000 for N1 >1.75 -ton GVW and INR 25,000 up to 1.75 tons GVW

in the Draft EV Policy, eligibility of EV models for purchase incentives was aligned with PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme. In the Notified EV Policy, Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India) Scheme Phase-II has also been included;
a scrapping incentive of INR 15,000 (Indian Rupees fifteen thousand) will be provided upon scrapping of a Gramin Sewa vehicle registered in Delhi. However, a new e-Gramin Sewa vehicle (D+6/D+7) equipped with a Li-ion battery or any other advanced/progressive battery technology should be purchased within 6 (six) months from the date of issuance of the certificate of deposit by an authorised scrapping facility;
scrapping incentives extended beyond individual buyers to include proprietary firms, agencies, and companies resident in Delhi;
for electric cars (non-transport), the scrapping incentives are now on ex-showroom price (previously ex-factory);
in the Draft EV Policy, there was a 100% exemption of road tax and registration fee at the time of registration to all EVs registered in Delhi during the policy period (2026-2030). In the Notified EV Policy, 100% exemption of road tax and registration fee at the time of registration has been given to all EVs purchased and registered in the NCT of Delhi during the policy period throughout the life of the vehicle; and
first 1,000 (one thousand) private e-trucks falling under the N2 category, purchased and registered in Delhi within 3 (three) months from the date of notification of the Notified EV Policy are now exempted from prohibition of no-entry timing for 10 (ten) years from the date of registration of the vehicle.

Charging and battery swapping infrastructure development

GoNCTD will allocate sufficient funds to Department of Power to augment the public & community charging and battery swapping infrastructure.
Distribution Companies (“DISCOMs”), private entities, real estate developers, and other stakeholders are encouraged to establish public EV charging stations across Delhi.
Resident Welfare Associations (“RWAs”), housing societies, residential communities, and private entities are encouraged to deploy community/private EV charging infrastructure within residential premises and other private spaces.
DISCOMs can explore the deployment of Energy Storage Systems (“ESS”) at e-bus depots. DISCOMs have also been provided with an option of exploring suitable time-of-day tariff structures and differential electricity pricing mechanisms through the Delhi Electricity Regulatory Commission.
Adequate charging infrastructure to be developed at suitable government-owned locations.

Electrification mandates for registration

Only electric N1 goods carriers will be permitted for new registration in Delhi from January 1, 2027.
GoNCTD intends to bring out electrification mandates for four-wheelers in future and aims to make a framework for disincentivizing polluting vehicles that use inefficient fuels.
Fleet aggregators and delivery service providers are now encouraged to transition their fleets to EVs.
All hired/leased, non-transport and light passenger vehicles in GoNCTD will be electric, to the extent possible, from the date of notification of the Notified EV Policy.
The electric mandate for GoNCTD departments/autonomous bodies has been expanded from N1 trucks to include all N1/N2/N3 trucks and M2/M3 passenger vehicles.
In the Draft EV Policy, the provision for induction of cleaner fuel vehicles (e.g., hydrogen) was only applicable to government buses alone. The notified EV Policy expands it to all vehicles.

Electrification mandates for registration

A new clause provides that if a cleaner fuel or technology becomes available during the policy period, the Delhi EV Apex Committee shall make an appropriate recommendation to the Council of Ministers for decision regarding the same.

Conclusion

The Notified EV Policy represents a significant advancement over the Draft EV Policy. The removal of Strong Hybrid Electric Vehicle provisions signifies GoNCTD’s commitment to battery electric vehicles. Additionally, the policy adopts a multi-stakeholder approach to charging infrastructure, involving DISCOMs, private entities, RWAs, and real estate developers. The encouragement of time-of-day tariff structures further reflects a holistic understanding of the EV ecosystem. The Notified EV Policy, read together with the operational guidelines to be issued thereunder, is expected to accelerate EV adoption in Delhi while ensuring fiscal prudence and safeguarding the interests of existing stakeholders.

This Prism has been prepared by: