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Delhi draft EV policy: 100% road tax waiver for electric cars up to ₹30 lakh till 2030

Delhi draft EV policy: 100% road tax waiver for electric cars up to ₹30 lakh till 2030

Bavana Guntha
April 12, 2026

New Delhi is preparing a major push toward clean mobility with its new draft EV policy proposing a 100% exemption on road tax and registration fees for electric cars priced up to ₹30 lakh, valid until March 31, 2030.

According to the Delhi Electric Vehicle Policy 2026-2030 , all eligible electric cars registered in the capital will benefit from full tax exemption, making EV ownership significantly more affordable. However, vehicles priced above ₹30 lakh will not receive any such benefit, keeping incentives focused on the mid-segment market.

The draft also proposes a 50% exemption for strong hybrid electric vehicles , expanding support beyond fully electric cars. In a major structural shift, it further states that from January 1, 2027, only electric three-wheelers will be allowed for new registrations in Delhi , signalling a rapid transition in the city’s last-mile transport system.

The government has described the policy as part of its long-term plan to reduce vehicular pollution, improve air quality, and build a strong EV ecosystem in the national capital. The policy builds on the earlier EV framework launched in 2020, which has been extended over the years after its initial term ended in 2023.

Meanwhile, when compared to Telangana’s EV policy , both states share a similar goal of accelerating electric mobility through full road tax and registration fee exemptions for EVs . However, Telangana’s approach has been relatively broader and less restrictive on pricing caps, while Delhi’s draft introduces a clearer ₹30 lakh ceiling and a more aggressive transition timeline , especially for commercial three-wheelers.

The draft policy has been placed in the public domain, and citizens can submit feedback and suggestions over the next 30 days before it is finalised.