Delhi will pay you to scrap fuel cars for EVs
What's the story
The Delhi government is all set to launch a new policy aimed at promoting electric vehicles (EVs). The scheme will offer financial incentives to people who scrap their old vehicles and switch to cleaner alternatives. Under the initiative, individuals who scrap their old, Delhi-registered BS-IV or older vehicles at authorized facilities will get monetary benefits if they buy a new electric vehicle within six months of receiving a certificate of deposit.
Incentive structure
How much incentive will you get?
The incentive structure under this new policy will depend on the category of vehicle being purchased. For electric two-wheelers, an incentive of ₹10,000 will be given upon scrapping an eligible older vehicle. Buyers opting for electric three-wheelers (L5M category) will get a higher incentive of ₹25,000. The maximum benefit is reserved for private electric cars where buyers can get an incentive of up to ₹1 lakh.
Eligibility criteria
₹1 lakh incentive capped for first 1L applicants
The incentive of ₹1 lakh for private electric cars is applicable only on vehicles with an ex-factory price of up to ₹15 lakh. However, this benefit will be available only to the first one lakh eligible applicants. All incentives under this scheme will be disbursed directly to beneficiaries through direct benefit transfer (DBT). Applicants will have to submit their claims through a process that will be notified by the transport department.
Tax relief
Other benefits under new policy
Along with the monetary incentives, the Delhi government also plans to provide major tax relief by exempting road tax and registration fees. All electric vehicles registered in Delhi could get 100% exemption on these charges till March 31, 2030. The policy also introduces a graded approach for electric cars based on their price. Cars with an ex-factory price of up to ₹30 lakh will get full exemption from road tax and registration fees.
Environmental impact
Why this initiative is important?
The new policy is part of Delhi's ongoing efforts to tackle air pollution, a persistent problem in the capital. By incentivizing the scrapping of older, more polluting vehicles and promoting electric mobility, the government hopes to create a cleaner and more sustainable urban transport ecosystem. An analysis of total registered vehicles in Delhi by fuel type shows a mixed uptake for electric vehicles (EVs).