Delhi Government To Resume EV Subsidy: New Portal To Clear Rs 49 Crore Pending Dues

In a significant relief for electric vehicle (EV) buyers in the capital, the Delhi government is set to launch a new portal to facilitate the disbursement of pending subsidies. While the central government’s subsidy remains active, the specific state-level incentives designated by the Delhi government have been paused, making EVs less affordable than initially projected.

Status Of Subsidies And Pending Dues

The disbursement of state subsidies was halted in January 2024, leaving a significant backlog of claims.

Pending Amount: It is estimated that approximately Rs 49 crore in subsidies from the previous administration's tenure remains unpaid.

Legal Action: The delay in payments has led to litigation, with the matter reaching the courts, though a resolution had previously remained elusive.

Current Impact: Due to the non-payment of these incentives, the administration's efforts to promote electric mobility were not realizing their full potential, as vehicles remained costlier than announced.

Policy Background

To encourage the adoption of green mobility, the previous administration launched the Electric Vehicle Policy in August 2020. The incentive structure included:

Electric Cars: A subsidy of up to Rs 1.5 lakh was provided for the first 1,000 cars registered.

Two-Wheelers And Rickshaws: A subsidy of Rs 30,000 was applicable for two-wheelers, auto-rickshaws, and battery-operated rickshaws.

The Path Forward: Portal Relaunch

According to government sources, preparations to resume the subsidy are nearly complete. The Transport Department will soon launch the portal, which has been inactive since the previous government's tenure.

System Upgrades: Changes have been made to the portal to streamline the process and make it easier for applicants to claim their subsidies.

Official Launch: Detailed information regarding the new system will be provided by the Chief Minister at the official launch event.

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Strategic Goals And Pollution Control

The resumption of subsidies aligns with the administration's renewed focus on reducing vehicular pollution.

EV Capital Vision: The Delhi government has revised its target, now aiming to make the city the "Electric Vehicle Capital" by 2026. This follows the previous administration's inability to meet the earlier target of 2025.

Central Push: Recently, the Central Government held a meeting urging all states, with a specific emphasis on Delhi, to accelerate the promotion of electric vehicles to combat pollution.

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