Up to Rs 1.5 lakh subsidy for Delhi electric vehicle buyers under Kejriwal’s new EV policy

With the new electric vehicle policy, we aim to generate employment to give a boost to Delhi's economy and reduce pollution levels in the national capital, Arvind Kejriwal said, adding that charging stations will also be set up.

By:Updated: Aug 12, 2020 6:25 PM
electric car chargingImage for representational purpose only

Delhi Chief Minister Arvind Kejriwal during a press conference on 7 August 2020 rolled out a new electric vehicle policy to boost the economy by creating jobs and also reduce air pollution in the national capital. Under the new policy, buyers of electric two- and three-wheelers, and electric cars will be liable for financial assistance from the government, along with a ‘scrapping incentive’. Kejriwal underlines that through this policy, the government expects registration of five lakh new EVs within the next five years.

CM Kejriwal clarified that there will be an incentive of up to Rs 30,000 on electric two-wheelers, electric autos & e-rickshaws, and up to Rs 1.5 lakh on electric cars. The AAP chief stated the Delhi government will organise an EV Cell to implement and supervise the new electric vehicle policy.

The new Electric Vehicle Policy has been notified today and with this, the government aims to give a boost to Delhi’s economy by employment generation and also reduce air pollution in the national capital, Kejriwal said, adding that the government will set up a State Electric Vehicle Board to implement the policy soon.

Calling it a ‘progressive policy’, Kejriwal also confirmed that 100 electric vehicle charging stations will be set up in the city in one year.

Sohinder Gill Director General, Society of Manufacturers of Electric Vehicles (SMEV), states that Delhi EV Policy has “set an example of how a policy can run without using exchequer money. The Delhi EV policy in a way is a benchmark for other states’ policies to follow that are based mostly on attracting manufacturers rather than catalysing demand.

“The only small missing point in the policy is that it doesn’t support the lithium battery e-scooters with speeds up to 25km/hr. These e scooters are particularly popular with Delhites because of their attractive prices and extremely low running costs. With a bit of support from the Delhi government, the adoption of such e scooters would have grown multifold. We hope the government would look into it and make some amendments in the future.”

Thanking the Delhi and Telengana government for “quickly notifying robust and well-thought EV policies that will further boost the EV sales in the respective states,” Mahesh Babu, MD & CEO, Mahindra Electric, said, “Both the EV policies are aimed at faster adoption of EVs both in personal and shared mobility segments. Extending the incentives to personal buyers will further help the development of the entire ecosystem.

“In the near future, the open-permit system for electric autos in Delhi will promote zero-emission last and the first-mile green mobility in the capital. The policies are in-line with India’s aim to reduce its oil-import bill and air-pollution.”

Suhas Rajkumar, Founder, Simple Energy said:

Delhi government and the Telangana government should be thanked for such a well-thought policy that will boost the EV adoption and create many job opportunities with it. The low-interest rates on loans and incentives up to 30,000 for two and three-wheelers will surely attract more buyers and help build the ecosystem faster. The open permit for the first mile and last mile for shared mobility will help reduce the carbon emission effectively to push Delhi towards achieving the zero-emission policy and also put India on a fast track on adopting the new way of clean transportation. Now all hope with other states to adapt to this new policy soon.

Harsh Vardhan Didwania, Director & Co-Founder, OmJay EV Limited, EeVe India said:

The policy has rightfully set a new benchmark for the auto industry as a whole. It’s a very thoughtfully designed policy that will not only encourage customers to replace their existing vehicles with e-vehicles but will also help boost our economy to a large extent. Having a futuristic approach, it will undoubtedly amplify the contribution to sustainable development, and nothing better than this to promote green mobility.

Also read: After electric cargo three-wheelers, Omega Seiki to introduce electric two-wheelers & pickup trucks

Commenting on the new Delhi EV policy, Dr Deb Mukherji, Managing Director, Omega Seiki Mobility Pvt. Ltd says:

I sincerely appreciate Delhi Government’s move towards the Electric Vehicles Policy. The Government’s decision to incentivise e-vehicles will surely act as a catalyst for inclining the customers towards electric vehicles in every aspect. In my opinion, the Government’s vision to touch a 25% registration mark by 2024 is a quite practical approach and will help the city in curbing other concerning factors including generating employment opportunities, pollution levels, etc. According to the same vision, our team will be delivering the best to the people and positively contribute to the cause of making our city develop sustainably and non-toxic in nature.

Deepak MV, Co-founder & CEO, Etrio (an EV company in partnership with leading e-commerce and logistics brands):

“Delhi EV policy will give a tremendous boost to electric vehicle adoption. Its approach and coverage is a benchmark for future policies across the country. The policy addresses different segments of the EV industry and holistically covers every aspect of EV adoption. The policy fuels demand generation through scrappage & purchase incentives, tax exemptions & interest subvention and open permits, enables the entire ecosystem through a strong focus on charging infrastructure and driver training. The setting up of EV board, Cell and Fund is definitely a step towards driving the implementation of the big vision. At Etrio, we hoped that the Delhi govt would recognize the contribution of retro fitment for driving dual benefits of decarbonizing environment and decongesting roads. We are hopeful that in future this would also be factored in.”

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, 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