Delhi govt to clear Rs 140 cr pending EV subsidies

The Delhi government is finally moving to clear long-pending electric vehicle (EV) subsidy dues worth around Rs 140 crore, officials confirmed on Monday.

Transport Minister Pankaj Singh said that his department will verify all applications and begin releasing payments soon. Thousands of EV buyers have been waiting for their subsidies for nearly two years, and the new move is expected to give them relief. A special online portal is also being prepared to speed up the process.

This comes after the Delhi High Court, earlier this month, pulled up the government for delaying payments. The court made it clear that procedural hurdles cannot be used as an excuse and directed the government to release subsidies without further delay. The judges also noted that even though the Delhi EV Policy of 2020 did not set a timeline for payouts, the government still has a duty to deliver on its promises.

Officials admitted that part of the delay was linked to political developments, including the arrest of former Chief Minister Arvind Kejriwal last year. With no cabinet meetings taking place at that time, the EV policy could not be extended on schedule.

Since the launch of the EV Policy in 2020, Delhi has seen over 2.19 lakh vehicles benefit from tax exemptions and subsidies. This includes more than a lakh two-wheelers and over 83,000 three-wheelers. By 2023, the government had already disbursed Rs 177 crore in incentives, making Delhi one of the leading states in promoting EV adoption.

The policy, which had lapsed in August 2023, has now been extended until March 2026 while work begins on a new “EV Policy 2.0.” A committee headed by Minister Ashish Sood is drafting the new policy, with public consultation planned in the coming months.