Delhi EV Policy 2026 Explained: New Subsidies, Tax Waivers & Petrol Ban Dates
As of July 1, 2026, Delhi has taken a big step towards sustainable mobility as the state has launched the much awaited new EV Policy, which has been officially notified and executed, setting a big example for controlling emissions in India.
If you are planning to buy a new vehicle and are wondering what will happen to your current petrol vehicle, below we have mentioned the latest updates regarding the new Delhi EV Policy.
AdvertisementHuge Savings: Subsidies & Tax Waivers
In order to tackle transport emissions, which results in a majority of the city’s pollution, the Delhi Government has provided a big opportunity for EV buyers. The policy now provides direct financial subsidies for purchasing two-wheelers and three-wheelers.

For commercial operators, the deal is even more lucrative; a significant subsidy of Rs 1 Lakh is now available for N1 category vehicles (Also called as “Chota Hathi”).
Are Petrol Vehicles Banned?
There have been rumors of a sudden ban on petrol vehicles. Let’s clear this. As your existing petrol vehicles are completely safe. You can continue driving them without any restrictions until the standard limit time expires.
However, to implement real changes and clean the air of the city, the government has set tight guidelines for the registration of new petrol vehicles.
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Key Highlights of the New Delhi EV Policy
| Category | Policy Update |
| Commercial (N1/Chota Hathi) | Rs 1 Lakh Direct Subsidy on new Purchases. |
| 2W, 3W, 4W EVs | Special Scrapping Initiatives for exchanging old vehicles. |
| Budget EVs | 100% waiver on road tax & registration fees. |
| Petrol 3-Wheelers | New Registrations to be permanently Banned from January 2027 |
| Petrol 2-Wheelers | New Registrations permanently banned from April 2028. |
Thus Delhi is finally taking some bold steps towards cleaner air. By making EVs mandatory to buy and making them financially accessible to the wide range of people and slowly phasing out new petrol registrations, Delhi is advancing towards sustainable mobility.