Industry loves Delhi's new EV policy; calls it template for other states

Darnell Taylor
August 9, 2020

The Delhi government aims to boost the economy and reduce pollution levels in the national capital which is recognised as one of the world's most polluted cities.

"Delhi Government sends a proposal to Lieutenant Governor Anil Baijal recommending to open hotels, gyms and weekly markets, citing fall in the number of COVID-19 cases in the national capital", sources in the government stated, adding that it was the Delhi government's "right to decide" to lift restrictions in line with the MHA orders.

The Delhi government expects the new EV policy to boost the economy, create new jobs and reduce air pollution.

Announcing a "scrapping incentive" under the policy, Kejriwal further said that up to Rs 30,000 for 2-wheelers, autos, e-rickshaws and up to Rs 1.5 lakh for cars will be given as financial assistance under the electric vehicle policy.

Sohinder Gill, Director General, Society of Manufacturers of Electric Vehicles (SMEV) said - "Finally, we have the much-awaited EV policy out for Delhi".

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AAP government in Delhi has also committed to set up a "State Electric Vehicle Board" with Kejriwal adding that 200 charging stations will be established in one year. While the policy has been rolled out for the next three years, the chief minister said they will keep reviewing and updating it from time to time.

It has been created after studying similar policies across the world and after consulting with experts. "For now, this policy is for three years but we will make changes in this time span, if required". "In the country, this is the first time that scrapping incentive is being given", Kejriwal said. Interest on loans for electric commercial vehicles will also be waived.

While the central government has in place its FAME II scheme for accelerating adoption of EVs by offering various incentives to prospective customers, the Delhi EV policy too has lots in store for those sitting on the fence. The policy also mandates that new home and workplace parking should reserve 20 percent parking to EVs. The government plans on setting up 200 EV charging stations in the capital over the next year.

As a first, a scrapping incentive will also be provided for people who replace vehicles that run on fossil fuels with EVs. This subsidy is limited to Rs 6,000 for 30,000 units.

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