Delhi to Clear Rs 1.4 Billion EV Subsidy Backlog

18 Sep 2025 CW Team

The Delhi government will soon begin clearing pending electric vehicle (EV) subsidy dues of about Rs 1.4 billion, officials said. Transport Minister Pankaj Singh stated on Monday that the department will verify all subsidy applications to address a backlog accumulated over the past two years. A dedicated portal is also being prepared to facilitate the disbursement.

This action follows a High Court order on 3 September directing the Delhi government to immediately release subsidies promised to EV buyers. The court noted that procedural hurdles cannot delay payments and emphasised that the 2020 Delhi Electric Vehicles Policy does not prescribe a timeline for disbursing subsidies.

Officials confirmed that eligible beneficiaries are already being identified. A senior official added that delays arose due to the arrest of former Delhi Chief Minister Arvind Kejriwal last year over an excise policy case, which postponed cabinet meetings and the timely extension of the EV policy.

Since the launch of the EV Policy in August 2020, more than 219,000 vehicles have received tax exemptions, including 109,000 two-wheelers and 83,724 three-wheelers. Until 2023, the government had disbursed Rs 1.77 billion in incentives.

The current EV Policy has been extended until 31 March 2026, as the draft of Electric Vehicle Policy 2.0 undergoes public consultation. Last month, Delhi Chief Minister Rekha Gupta announced a committee, headed by Minister Ashish Sood, to formulate the new policy.

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