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Through a series of green measures, the Delhi government is considering boosting the adoption of electric vehicles (EVs) in the National Capital Region (NCR).
The steps are introducing a pollution cess on petrol, increasing the cess on diesel, imposing annual green levies between ₹2,000 and ₹10,000 on non-EVs older than 10 years old, and mandating the installation of EV-charging stations in parking areas of housing societies.
These measures are being considered under EV Policy 2.0, which the state government is formulating. Sources said a draft of the policy would soon be released for public comments.
Sources also stated under the policy the Delhi government was planning to boost the “State EV Fund”. For this, the cess on diesel, which is now 25 paise per litre, is proposed to be increased to ₹1 per litre. Additionally, there is a proposal for a cess of 50 paise per litre on petrol, which is not levied in Delhi. These are expected to generate approximately ₹125 crore annually for the Delhi government, they said.
The Delhi government is also considering annual green levies on vehicles that have been running for 10 years or more. Under them, transport vehicles (such as buses and trucks) will be subject to an annual charge of ₹10,000 when they complete 10 years from the date of registration. An annual fee of ₹2,000 could also be charged on non-electric two-wheelers older than 10 years.
Additionally, a fee of ₹10,000 is proposed to be collected from owners of all other non-electric vehicles, such as passenger cars. These annual green levies will be charged when the “Pollution Under Control” (PUC) certificate is issued to vehicles that are more than 10 years old, sources said.
It is estimated that the Delhi government will ring in around ₹184 crore annually from transport vehicles and ₹1,320 crore cumulatively over three years from non-transport vehicles from the annual green levies.
Transport vehicles refer to those used for commercial purposes — such as buses, taxis, trucks, goods carriers, and autorickshaws — whereas non-transport ones include private two-wheelers and passenger cars.
In terms of infrastructure, the Delhi government is planning to mandate that 20 per cent of parking capacity in new buildings be equipped with EV-charging infrastructure, with occupancy certificates to be issued only upon compliance.
The state government could also ask all existing buildings to establish EV-charging infrastructure in at least 5 per cent of their parking capacity, sources mentioned.
Making it compulsory for all public parking spaces in the city to have a minimum number of EV chargers is also being considered.
EV registration in the NCR declined in 2024-25 (FY25) over 2023-24. In FY25, the registration of electric two-wheelers fell 29 per cent year-on-year to 27,242 units, that of electric cars dropped 22 per cent to 6,979 units, and that of electric commercial vehicles declined 16 per cent to 1,509 units, according to the Vahan data.
An official of the Delhi government’s transport department said vehicles running on compressed natural gas, petrol, and diesel would be phased out of the city.
Shyamasis Das, fellow (energy, resources and sustainability), Centre for Social and Economic Progress, said Delhi was likely to have an edge in pushing EVs because of there being reliable electricity supply.
“This advantage should be utilised to rapidly expand charging infrastructure citywide. However, power distribution companies in Delhi need to improve their distribution infrastructure to support charging hubs at bus depots and in residential neighbourhoods,” Das said.
