Delhi government’s electric vehicle policy is curated and derived after a study of global electric vehicle policies in consultation with experts in the country
Pollution and Delhi are usually mentioned together. Delhi government has now introduced measures to reduce pollution in NCR, and boost economy. Delhi EV policy introduces subsidies, and waives road tax as well as registration fee for electric vehicles. The progressive policy has two objectives – Boost Delhi’s economy; and reduce pollution level and contribute to sustainable development.
It goes without saying, the policy would help generate jobs on various fronts. Financial incentives for electric two-wheelers, auto-rickshaws, e-rickshaws and freight vehicles will be up to Rs 30,000. For electric cars, this benefit will be up to Rs 150,000. The incentives will be applied over and above existing e-vehicle incentives already applicable under central government.
The unicorn that is the scrapping policy, a notion with no clarity is now being undertaken by Delhi government. A scrapping incentive will be provided when replacing a fuel run vehicle for an e-vehicle. Loan interest for purchase of e-vehicles for commercial activities is waived. e-Vehicles are exempted from registration fees and road tax.
Today’s announcement will be valid for three years and will be reviewed regularly. To facilitate the proposals, a state electric vehicle (EV) fund is being set up to bear expenses related to the policy. An EV board chaired by the state transport minister is being set-up. The board will pave the way for policy implementation. The government is hopeful for 5 lakh new EV registrations in the next 5 years.
Delhi cabinet approved Delhi Electric Vehicle (EV) Policy, 2019 last year to get to this stage. Delhi already sees a notable number of e-three-wheelers plying on its street but the adaption to electric cars and electric two-wheelers isn’t quite so enthused.
To promote the use of EVs, the Delhi government is keen on infrastructure development and is keen to set-up 200 charging stations in a year, and and install an electric charging station every 3 kms. The policy blueprint will facilitate timely education of eBuses into the transport system. Within 1 year, Delhi Govt aims to induct 35,000 e-vehicles and paving the way for 25 percent electric vehicles by 2024.
Delhi EV policy addresses forward moving measures to give the EV industry a fillip in the right direction. Being a time bound and target-oriented policy would mean infra development at the same pace for policy goals to come to fruition, and offers over and above FAME II scheme.
Customers who haven’t benefitted from central government’s subsidy scheme can avail subsidy under Delhi EV policy. The independent policy doesn’t run on exchequer money, and could set precedence for other states to follow suit. For now, Delhi EV policy doesn’t benefit lithium battery e-scooters with speeds upto 25km/hr.