Delhi Govt, India announces 15% subsidy on electric vehicles


With a goal to promote EV vehicles in city, Delhi Government is offering a 15 percent discount on the MRP of each electric vehicle sold, reports

The rebate will be credited to customer’s bank account within 2 months of purchase of the vehicle, which is valid for both electric cars and two wheelers.

Mahindra Reva, a reputed and only manufacturer of EV vehicle, E2O in India will be the biggest beneficiary of this scheme.

Besides, Hero Electric, Yo, Avon and Lohia are the electric two wheeler makers who will benefit from the extra demand provided by this scheme. The government is also offering VAT and a 50 percent rebate in registration taxes.

The subsidy will be a proportion of the difference between the price of a car running on fossil fuel and that of electric car. The Heavy Industry Ministry has sent the proposal to the Finance Ministry. The scheme is expected to cost the exchequer Rs 14,000 crore.


Other states in India should follow this example set by Delhi Government and give subsidies on electric vehicles so that cleaner mobility gets a boost in India. Moreover, government should fast track the National Electric Mobility Mission Plan 2020, commented, Sohinder Gill, director, Society of Electric Vehicle Makers.

Recently, Clean Energy Ministry of India has issued a new report Electric Vehicles Initiative (EVI), which shows the substantial impact created by electric vehicle deployment on India’s oil consumption and carbon dioxide emissions.

Governments as well as the automobile industry of India are realizing the fact that the future of vehicles lies in the electronic vehicles. However, it does not look bright at the moment.

Government has set up the National Electric Mobility Mission Plan 2020 but further awareness about EV’s is needed. Electric vehicles make great sense for commuting in the city.

Sabeena Wahid
[email protected]