The Delhi government released a draft of its Electric Vehicle (EV) Policy 2026 on Saturday that revised the purchase incentives for some categories of vehicles.
How much will you benefit while buying your next EV? Here’s a breakdown.
Two-wheelers
The government has proposed a tapering incentive, including for electric two-wheelers. This means that if you buy a vehicle in the first year after the introduction of the policy, you will get a higher incentive compared to the second year, and so on.
The policy offers a subsidy of Rs 10,000 per kWh of battery capacity (up to a maximum of Rs 30,000) in the first year. It gets cut in the second year by one-third to reach Rs 6,600 per kWh of battery capacity (up to a maximum of Rs 20,000), and is halved to Rs 3,300 per kWh of battery capacity (up to a maximum of Rs 10,000) in the third year. Only electric two-wheelers with ex-factory prices of less than Rs 2.25 lakh are eligible.
For instance, TVS iQube, the most sold electric two-wheeler in India, costs around Rs 1.15 lakh in Delhi. The certified capacity is 2kWh, which means it will cost roughly Rs 95,000 in the first year, Rs 1.02 lakh in the second and Rs 1.08 lakh in the third year of the policy.
If you get your old Delhi-registered petrol or diesel two-wheeler of BS-IV standard or below scrapped and buy a new electric two-wheeler within six months, the government also offers a Rs 10,000 scrapping incentive. So the new electric two-wheeler will cost Rs 85,000 in the first year, Rs 92,000 in the second year and Rs 98,000 in the third year of the policy.
Four-wheelers
While the government has not offered a direct purchase incentive on buying electric cars, it has sought to incentivise petrol or diesel car users through a scrapping incentive. Those who have Delhi-registered cars of BS-IV standards or below will be eligible for an incentive of Rs 1 lakh if they get their vehicles scrapped and purchase an EV within six months.
Story continues below this ad
An exemption from road tax and registration fees for EVs also remains valid as in the previous policy.
For instance, if you get your petrol car scrapped and within six months, buy a Tata Nexon EV which costs around Rs 14 lakh in the Capital, the price reduces to roughly Rs 13 lakh. This benefit, however, can be availed by only the first one lakh buyers.
This time, the government is also offering a 50% road tax and registration fee exemption to strong hybrid EVs. For instance, the Maruti Suzuki VXI Strong Hybrid costs around Rs 19 lakh currently. With a 50% exemption from road tax, which is roughly Rs 1.6 lakh, it will be Rs 80,000 cheaper.
Devansh Mittal is a Correspondent at The Indian Express, based in the New Delhi City bureau. He reports on urban policy, civic governance, and infrastructure in the National Capital Region, with a growing focus on housing, land policy, transport, and the disruption economy and its social implications.
Professional Background
Education: He studied Political Science at Ashoka University.
Core Beats: His reporting focuses on policy and governance in the National Capital Region, one of the largest urban agglomerations in the world. He covers housing and land policy, municipal governance, urban transport, and the interface between infrastructure, regulation, and everyday life in the city.
Recent Notable Work
His recent reporting includes in-depth examinations of urban policy and its on-ground consequences:
An investigation into subvention-linked home loans that documented how homebuyers were drawn into under-construction projects through a “builder–bank” nexus, often leaving them financially exposed when delivery stalled.
A detailed report on why Delhi’s land-pooling policy has remained stalled since 2007, tracing how fragmented land ownership, policy design flaws, and mistrust among stakeholders have kept one of the capital’s flagship urban reforms in limbo.
A reported piece examining the collapse of an electric mobility startup and what it meant for women drivers dependent on the platform for livelihoods.
Reporting Approach
Devansh’s work combines on-ground reporting with analysis of government data, court records, and academic research. He regularly reports from neighbourhoods, government offices, and courtrooms to explain how decisions on housing, transport, and the disruption economy shape everyday life in the city.
Contact
X (Twitter): @devanshmittal_
Email: devansh.mittal@expressindia.com ... Read More