Delhi Govt’s new EV policy expects delivery firms to switch to 100% E2W by March ‘25

Chief Minister Arvind Kejriwal announced the Delhi Electric Vehicle Policy on Friday, 7 August 2020. The new EV policy expects delivery companies to switch to 100% electric two-wheelers by 31 March 2025.

Delhi is one of the highly polluted cities not just here in India but worldwide. The national capital’s AQI hovers well above the ‘safe level’ during most of the year. It was because of the recent lockdown enforced in the entire country to curb the spread of the deadly Coronavirus that the air pollution level in the city dropped significantly, which was something Delhi had not experienced in the past several years. However, as the lockdown is no longer in place and some form of normalcy is getting restored, the AQI of the country’s capital has risen once again. So, to control the level of air pollution and promote the adoption of electric vehicles, the Delhi Govt has announced its new EV policy.

Under the Delhi Govt’s new EV policy, several charges (such as registration fee, road tax) on electric vehicles have been removed. The Kejriwal-led government will also provide incentives on the purchase of new electric vehicles. For example, incentives of up to INR 30,000 will be available for the electric two-wheelers with advanced batteries.

Kejriwal seeks the cooperation of all stakeholders in implementing the new EV policy which expects that the incentives will encourage delivery service providers like those engaged in food delivery, e-commerce logistics, and courier services to switch to using electric two-wheelers.

Speaking regarding the new EV policy, Kejriwal tweeted:

I am glad Delhi's EV policy has been well received by all stakeholders. It was prepared after wide-ranging consultations spanning for more than 2 years. Now, I seek everyone's cooperation in successfully implementing it. To ensure the switch happens in a time-bound manner, all delivery service providers shall be expected to convert 50 % of their fleet operating in Delhi to electric by 31 March 2023, and 100 % by 31 March 2025. Any attempt at electrification of Delhi's vehicle fleet needs to address these segments to achieve a significant reduction in air pollution.

Also Read: Hero Electric acquires 36% market share in High-Speed segment in FY20-21 so far

The Delhi Govt has also said that to help delivery companies make the transition as conveniently as possible and in a timely fashion, financial support from the Delhi Finance Corporation (DFC) will be provided.