The Delhi EV Policy 2.0 Blueprint: The ₹1 Lakh Scrap-and-Switch Rule and the Hidden Deadlines You Haven’t Read Yet

September 2, 2026 Tanusha Narula

The Delhi government has officially published its Draft Delhi Electric Vehicle Policy 2026–2030. This updated framework introduces a drastic shift in how vehicle incentives are structured, introducing a strict ₹1 Lakh Scrap-and-Switch Incentive stacked on top of existing tax waivers.

If you are looking to replace an aging vehicle or purchase an electric vehicle (EV) in the National Capital Region (NCR), the landscape has completely changed. This guide breaks down the hyper-specific, unpublicized rules, operational loops, and hard phase-out deadlines extracted directly from the official draft.

EV Policy 1.0 vs. EV Policy 2.0 (Draft Breakdown)

Feature	Old Policy (1.0)	New Policy (2.0: 2026–2030)
Personal Four-Wheeler Benefit	100% Road Tax & Registration waivers only.	Stacked ₹1 Lakh cash bonus added via mandatory scrappage route.
Strong Hybrid EVs	Partial tax benefits applied.	50% Road Tax Exemption for models $\le$ ₹30 Lakh (ex-showroom).
Two-Wheeler Subsidies	Flat ₹5,000 per kWh rate.	Tapering Rate: ₹10k/kWh (Yr 1) $\rightarrow$ ₹6.6k (Yr 2) $\rightarrow$ ₹3.3k (Yr 3).
E-Truck (N1) Direct Subsidies	Basic incentives.	Up to ₹1,50,000 (₹1 Lakh purchase subsidy + ₹50,000 scrappage).
Price Ceiling for Tax Waivers	No strict ceiling.	Strictly capped at EVs priced under ₹30 Lakh (ex-factory).

1. The “Scrap-to-Claim” Mandate for Four-Wheelers

Under EV Policy 2.0, state-level direct cash incentives for personal four-wheelers are unlocked exclusively through a clean scrappage route, forming a critical pillar in tackling the national air quality crisis in Delhi-NCR.

The ₹1 Lakh Cap (Clause 4.6.3): Owners of Delhi-registered, BS-IV or older petrol or diesel four-wheelers receive a ₹1,00,000 cash incentive when junking their car to buy an electric replacement.
100,000 Quota Limit: The ₹1 lakh four-wheeler scrappage benefit is strictly limited to the first 100,000 eligible applicants.
The ₹30 Lakh Price Ceiling: The ₹1 lakh scrappage benefit and 100% road tax/registration fee waivers apply strictly to electric cars with an ex-factory price under ₹30 Lakh.
The 6-Month Redemption Window: You must purchase your new electric vehicle within exactly six months of receiving your official Certificate of Deposit (CoD) from an authorized facility.

2. Strong Hybrids Get a 50% Tax Break

Contrary to rumors that hybrids were completely excluded, Clause 4.7.2 of the draft policy grants a 50% exemption on road tax and registration fees for Strong Hybrid EVs with an ex-showroom price under or equal to ₹30 Lakh until March 31, 2030.

3. Two-Wheelers: Tapering Subsidies Urge Early Buying

Direct purchase subsidies for electric two-wheelers (ex-factory price $\le$ ₹2.25 Lakh) drop each year under Clause 4.2:

Year 1: ₹10,000 per kWh (Capped at ₹30,000)
Year 2: ₹6,600 per kWh (Capped at ₹20,000)
Year 3: ₹3,300 per kWh (Capped at ₹10,000)
Scrappage Bonus: An additional ₹10,000 is granted when scrapping an old BS-IV two-wheeler within 6 months.

4. The 30-Day Operational Rule (The Trick to Getting Paid)

The 30-Day Countdown: You must submit your incentive claim through the official Delhi EV Portal within exactly 30 days of your new EV’s Registration Certificate (RC) generation.
60-Day DBT Disbursement: Approved claims are deposited directly into bank accounts via Direct Benefit Transfer (DBT) within 60 days.
Automated Tax Waivers: Road tax exemptions are applied automatically by the dealer at the time of RTO registration.
RVSF Mandate: Old vehicles must be scrapped exclusively through a government-approved Registered Vehicle Scrapping Facility verified on the Parivahan Sewa Portal.

5. Hard Phase-Out Bans & Aggregator Mandates

The Delhi Transport Department has codified strict electrification deadlines into law:

Three-Wheelers (Jan 1, 2027): Zero petrol or CNG three-wheelers (L5) will be permitted for new registration.
Two-Wheelers (April 1, 2028): Total ban on new petrol-powered two-wheeler registrations across the capital.
Delivery & Aggregator Fleets (Clause 8.4.1): Delivery service providers (Zomato, Swiggy, Amazon, Blinkit) and ride aggregators are barred from adding new petrol/diesel LCVs or 2-wheelers.
School Bus Fleets (Clause 8.3 & 10.6.1): All school buses must hit 10% electric share in Year 2, 20% in Year 3, and 30% by 2030. Compliance is explicitly tied to annual school recognition and affiliation renewals.
Government Fleets (Clause 8.5): All new vehicles hired or bought by GNCTD, MCD, NDMC, and Delhi Cantonment Board must be 100% electric. Public transport will shift strictly to electric and hydrogen buses, aligning with Delhi’s Master Plan 2047 urban vision and the expansion of DTC electric bus routes.

6. Infrastructure & “Polluters Pay” Funding

EV-Ready Civil Projects (Clause 10.5.2): All new civil infrastructure built by PWD, MCD, DDA, or NDMC must be constructed EV-charging-ready with pre-allocated electrical capacity.
How Subsidies Are Funded (Clause 11.2): The state EV Fund is financed by the Environment Compensation Charge (ECC) collected from diesel commercial trucks entering Delhi, alongside the Air Ambience Fund.

Step-by-Step: How to Execute the Switch Safely

Verify Your Fleet: Ensure your current vehicle is a Delhi-registered BS-IV or older variant. (NCR-registered cars in Gurugram or Noida do not qualify, even if driving on key bypass corridors like Urban Extension Road-II (UER-II)).
Use an RVSF Only: Take your vehicle exclusively to an authorized scrapping facility to obtain your Certificate of Deposit (CoD).
Shop Under the Cap: Choose an EV with an ex-factory price under ₹30 Lakh to secure automated tax waivers.
Clock the Portal: Ensure your dealer uploads your documentation to the Delhi Transport portal immediately to trigger your 30-day filing window.