With the draft Electric Vehicle policy for Delhi fueling apprehension that the CNG-run auto-rickshaws will be phased out completely or banned, the Delhi cabinet held a detailed discussion on the nuances of the policy. The cabinet then decided that the existing policy be continued for another three months.
The Delhi government also clarified that no autos will be banned.
This means that the Delhi government may further tweak the draft EV policy to include the concerns of a large population of the national capital which is dependent on the autos for travel or livelihood.
The Cabinet meeting chaired by Chief Minister Rekha Gupta also approved the continuation of the existing power subsidy for four categories: domestic consumers, farmers, lawyers with chambers, and victims of the 1984 anti-Sikh riots.
The Delhi government clarified that a lot of misinformation was being spread about the discontinuation of the power subsidy and ban on autos, none of which was happening.
However, the draft EV policy had proposed some drastic changes to shift to cleaner fuels. Under the proposed EV policy discussed in the cabinet, the aim was to transform 95% of all newly registered vehicles into electric by 2027 in the Capital. The new policy proposed bigger plans including gender-inclusive and targeted subsidies, several regulatory changes to gradually eliminate fossil fuel-powered vehicles, and rushed the transition to a cleaner transport ecosystem.
One of the biggest highlights of this policy was its focus on promoting electric mobility among women. The draft has introduced a targeted subsidy for the first 10,000 women with valid driving licenses purchasing electric two-wheelers. These women will receive ₹12,000 per kWh of battery capacity, up to a maximum of ₹36,000 per vehicle. This move is a welcome step in gender inclusivity and will boost women’s participation in Delhi’s step towards an e-mobility path.
Apart from the gender-specific subsidy, the Delhi government had also proposed to introduce a general subsidy of ₹10,000 per kWh with a ₹30,000 cap for electric two-wheelers for Delhi residents. Additionally, those who will get rid of ICE(internal combustion engine) two-wheelers under 12 years may receive an extra ₹10,000. Electric three-wheelers and auto-rickshaws will also benefit, with subsidies reaching up to ₹45,000 and scrapping incentives up to ₹20,000, but there is no subsidy for four-wheelers.
In a particularly bold move, the policy also proposed to stop new registration of petrol and CNG-powered motorcycles and scooters from August 15, 2026. It also aims to replace ICE-powered two-wheelers with electric ones.
The EV Policy 2.0 also planned to gradually phase out CNG auto rickshaws, the capital’s widely used mode of transport. As per the draft policy, no new CNG auto-rickshaws will be registered. This has led to concerns among the people dependent on autos for livelihood. This would have led to protests and billed as the newly elected BJP government punishing the auto-rickshaw drivers, many of which have been AAP supporters.
The draft policy also proposed that all petrol, diesel, and CNG-powered garbage collector vehicles will be scraped by the end of 2027 and new electric vehicles will be used for municipal operations. Public transport too will transform all buses under the Delhi Transport Corporation (DTC) and Delhi Integrated Multi-Modal Transit System (DIMTS) electric. t to electric by 2027.
Though the EV Policy 2.0 will not only promote sustainable and more eco-friendly mobility but will also create employment opportunities. Transitioning to an Electric ecosystem will require more than just regulations and will demand a robust ecosystem to support EV adoption. This includes the development of charging and battery-swapping networks, battery recycling centres, and dedicated skill development centres.
As the Delhi government gets another three months to revise the draft policy after holding wider consultations, all eyes will be on the new policy as it may bring about gradual but significant changes in urban mobility.
