No more subsidy on electric cars in Delhi: Tata Nexon EV, MG ZS EV & more get expensive

Since over 1,000 electric cars have been sold in the country capital from the date of announcement of the EV policy, no more subsidy is being granted on the purchase of an electric car in Delhi.

By:November 3, 2021 2:47 PM
2021 Tata Tigor EV


The government is pushing the adoption of electric vehicles by offering subsidies and other benefits to EV buyers. Delhi government, however, has stopped offering incentives to the buyers opting for an electric car. “Delhi has no plans to extend subsidies on the purchase of electric cars as the AAP govt’s push for electric four-wheelers has gained the required momentum”, said transport minister Kailash Gahlot.

The EV policy launched in Delhi last year for the early adopters of electric vehicles was designed to offer subsidies to the buyers of the first 1000 electric cars only. Interestingly, the first thousand electric cars have already been sold in the capital city of the country, and therefore, no subsidy will be provided to the new buyers.

Talking of the amount, Rs. 10,000 per kWh (battery capacity) was being offered by the government with a higher limit of Rs. 1.15 lakh. In addition, road tax and registration charges were also not applicable for these vehicles. As a result, models like the Tata Nexon EV, Tata Tigor EV, MG ZS EV and more boasted reduced costs.

Nevertheless, the Delhi government will continue offering subsidies to two-wheeler, three-wheeler and freight vehicle buyers. These vehicles will be available with a subsidy of Rs. 5,000 per kWh of battery capacity with a higher limit of Rs. 30,000 per vehicle. Unlike electric cars, there is no cap on the number of vehicles that will attract this subsidy.

Currently, there are a total of 12 electric cars that are on sale in the country. If the government did not have the limit for 1,000 vehicles, buyers would have gained benefits on models like the Tata Nexon EV, Tata Tigor EV, MG ZS EV, Hyundai Kona Electric, BYD E6, Mahindra E Verito, Mercedes-Benz EQC, Jaguar I-Pace, Audi E-Tron, Audi E-Tron Sportback, Audi RS etron GT, and Audi etron GT.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Latest Auto News