Delhi government clears EV policy: Electric cars under Rs 30 lakh exempt from road tax, registration fees

The Delhi government approved a new electric vehicle (EV) policy on Monday, granting 100% exemption on road tax and registration fees for all electric cars with an ex-showroom price of Rs 30 lakh or less registered in the national capital. This move is seen as a significant step towards combating air pollution and promoting clean transportation in one of India's most polluted cities.

The new policy also covers electric two-wheelers, providing similar incentives to encourage their adoption. The Delhi government aims to accelerate the transition to electric mobility and reduce carbon emissions. Experts believe that the tax exemption will make EVs more attractive to middle-income consumers, potentially boosting sales.

Delhi has long struggled with severe air pollution, especially during winter months when air quality often reaches hazardous levels. The EV policy is part of a broader strategy to address this issue, which also includes investments in charging infrastructure and incentives for EV manufacturing.

While EV sales in India have been growing, they still represent a small fraction of total vehicle sales. Delhi's initiative could serve as a model for other states. Transport department officials have stated that the policy details will be finalized in the coming days, with implementation expected to begin soon.

Environmental groups and civil society organizations have welcomed the decision, but also emphasize the need for complementary measures such as electrification of public transport and expansion of cycling infrastructure. The Delhi government is optimistic that this policy will play a crucial role in improving the city's air quality and reducing its carbon footprint.