Electric and Hybrid Cars – FAME, National Electric Mobility Mission, etc.

Delhi government’s Electric Vehicle Policy


From UPSC perspective, the following things are important :

Prelims level: Not Much

Mains level: Electric vehicles regulation in India

Image source: TOI

The Delhi government has notified the new Electric Vehicle Policy under which it aims to make a quarter of all new vehicle registrations battery-operated by 2024 and thereby help reducing air pollution.

Try this PYQ:

Q.In the context of proposals to the use of hydrogen-enriched CNG (H-CNG) as fuel for buses in public transport, consider the following statements:

  1. The main advantage of the use of H-CNG is the elimination of carbon monoxide emissions.
  2. H-CNG as fuel reduces carbon dioxide and hydrocarbon emissions.
  3. Hydrogen up to one-fifth by volume can be blended with CNG as fuel for buses.
  4. H-CNG makes the fuel less expensive than CNG.

Which of the statements given above is/are correct? (CSP 2018)

(a) 1 only

(b) 2 and 3 only

(c) 4 only

(d) 1, 2, 3 and 4

Some key highlights of the policy are:

  • A purchase incentive of Rs 5,000 per kilowatt/hour of battery capacity (advanced battery), a maximum incentive of Rs 30,000 per vehicle for two-wheelers.
  • A purchase incentive of Rs 30,000 per vehicle (advanced battery) for e-autos.
  • A purchase incentive of Rs 30,000 per vehicle for the purchase of one e-rickshaw and e-cart. Additionally, an interest subsidy of 5 per cent on loans on vehicles with advanced battery.
  • Conversion of 50 per cent of all new stage carriage buses (all public transport vehicles with 15 seats or more) by 2022.
  • A purchase incentive of Rs 10,000 per kilowatt/hour of battery capacity (advanced battery), and maximum incentive of Rs 150,000 per vehicle to the first 1,000 e-four wheelers.
  • Complete removal of road tax and registration fee for all battery electric vehicles.

Significance of the policy

  • According to the VAHAN database of the Ministry of Road Transport and Highways, electric vehicles comprised only 3.2 per cent of the new vehicles registered in Delhi in 2019-20.
  • The proposed 25 per cent transformation of Delhi’s new-vehicle market could catalyse electric vehicle production and bring more product diversity.

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