Delhi Study: Incentives for electric trucks in the EV policy

17 Aug 2023 CW Team

Medium and heavy-duty trucks account for only 3% of the total on-road vehicles in India. However, conventional trucks using oil-based fuels contribute to nearly half of the carbon dioxide (CO2) emissions in the well-to-wheel lifecycle.

In Delhi, trucks are significant contributors to pollution, and their entry is restricted during the winter months due to alarming levels of PM 2.5 and PM 10 particles.

To begin the transition, the International Council on Clean Transportation (ICCT) study suggests focusing on BETs with duty cycles that are easily adaptable to electrification, such as garbage trucks, water tankers, and trucks involved in waste management and other tasks with predictable daily range requirements and minimal secondary power needs.

One challenge is the higher upfront cost of BETs compared to diesel and compressed natural gas (CNG) trucks. To address this, the study proposes offering purchase incentives ranging from INR 10,000 to 15,000 per kWh of battery capacity, limited to 40% of the vehicle's ex-showroom cost. The current EV policy lacks subsidies for trucks.

Several manufacturers are in the process of developing BET models across a weight range of 5 to 55 tonnes, with some already available commercially. Amit Bhatt, the Managing Director of ICCT India, highlights that Delhi's proactive EV policy makes it a potential pioneer in electric trucks. He suggests starting with government fleet adoption and then expanding to high-density corridors.

The ICCT recommends extending the existing 5% interest subsidy on loans to cover BET purchases, making ownership costs more appealing. A transport department official mentions that demonstrating the feasibility of truck electrification is the initial goal, similar to how the transition was initiated for buses and four-wheelers.

The report also suggests that Delhi's government advocates for truck purchase subsidies from the Ministry of Heavy Industries. It recommends incentivizing the development of high-power DC charging infrastructure to facilitate rapid BET adoption. Additionally, utilities should invest in necessary infrastructure, and concessional land rates should be offered for public high-power charging stations.

These recommendations will be evaluated by the government before the new EV policy is rolled out.

The Delhi government has commissioned a study to evaluate the feasibility of introducing battery electric trucks (BETs) on the city's roads. The study's findings recommend implementing various measures in the upcoming electric vehicle (EV) policy, including purchase incentives for BETs, improved infrastructure, and tax exemptions.Medium and heavy-duty trucks account for only 3% of the total on-road vehicles in India. However, conventional trucks using oil-based fuels contribute to nearly half of the carbon dioxide (CO2) emissions in the well-to-wheel lifecycle.In Delhi, trucks are significant contributors to pollution, and their entry is restricted during the winter months due to alarming levels of PM 2.5 and PM 10 particles.To begin the transition, the International Council on Clean Transportation (ICCT) study suggests focusing on BETs with duty cycles that are easily adaptable to electrification, such as garbage trucks, water tankers, and trucks involved in waste management and other tasks with predictable daily range requirements and minimal secondary power needs.One challenge is the higher upfront cost of BETs compared to diesel and compressed natural gas (CNG) trucks. To address this, the study proposes offering purchase incentives ranging from INR 10,000 to 15,000 per kWh of battery capacity, limited to 40% of the vehicle's ex-showroom cost. The current EV policy lacks subsidies for trucks.Several manufacturers are in the process of developing BET models across a weight range of 5 to 55 tonnes, with some already available commercially. Amit Bhatt, the Managing Director of ICCT India, highlights that Delhi's proactive EV policy makes it a potential pioneer in electric trucks. He suggests starting with government fleet adoption and then expanding to high-density corridors.The ICCT recommends extending the existing 5% interest subsidy on loans to cover BET purchases, making ownership costs more appealing. A transport department official mentions that demonstrating the feasibility of truck electrification is the initial goal, similar to how the transition was initiated for buses and four-wheelers.The report also suggests that Delhi's government advocates for truck purchase subsidies from the Ministry of Heavy Industries. It recommends incentivizing the development of high-power DC charging infrastructure to facilitate rapid BET adoption. Additionally, utilities should invest in necessary infrastructure, and concessional land rates should be offered for public high-power charging stations.These recommendations will be evaluated by the government before the new EV policy is rolled out.

Equipment

12 Dec 2025

Schwing Stetter India Unveils New Innovations at Excon 2025

Schwing Stetter India unveiled more than 20 new machines at Excon 2025, marking one of its most significant showcases and introducing several India-first technologies to the construction equipment sector. The company launched the country’s first 56-metre boom pump designed and manufactured in India, the first fully electric truck mixer, the first CNG mixer variant and the first hybrid boom pump. Executives said the launch portfolio was engineered to support India’s move toward faster, greener and more vertically oriented infrastructure through advanced engineering, clean-energy solutions a..

Infrastructure Energy

12 Dec 2025

SEPC Resolves Hindustan Copper Dispute, Wins Rs 725 Mn Order

Engineering, procurement and construction firm SEPC Ltd has recently settled a dispute with Hindustan Copper Ltd (HCL) and secured a mining infrastructure order valued at Rs 725 million from the state-owned company. SEPC informed the stock exchanges that it has executed a settlement deed with HCL, bringing closure to all inter-se claims and counterclaims arising from arbitration proceedings. As part of the settlement, SEPC will receive Rs 304.5 million as full and final payment, marking the resolution of all pending disputes between the two entities. The company also stated that Hindustan Co..

Infrastructure Energy

12 Dec 2025

20% Ethanol Blending Cuts India’s CO2 Emissions by 73.6 Mn Tonnes

Union Road Transport and Highways Minister Nitin Gadkari recently said that India has reduced carbon dioxide emissions by 73.6 million metric tonnes due to the adoption of 20 per cent ethanol blending in petrol. He made the statement while replying to supplementary questions during the Question Hour in the Lok Sabha. Describing ethanol as a green fuel, the minister said it plays a key role in reducing pollution while also supporting higher incomes for farmers. He underlined that ethanol blending contributes both to environmental sustainability and rural economic growth. Nitin Gadkari also po..