‘EV policy for common people… maybe in next phase, will include hybrid vehicles too’: Rekha Gupta

The much-awaited EV policy is here. Have you set any targets that you want to meet next year?

This new EV policy is very different, special and common man-centric. We have given all kinds of possible incentives to the people. We have given subsidy, scrapping incentive, road tax, registration exemption – everything. So, the target you talk about, we have uncapped it. We have not put any capping (on incentives and subsidies); unlike other states, wherever EV policy was implemented, it came with capping.

We want as many people as possible to avail the benefits, so that the city improves, the air improves. The more they avail the benefits, the more successful we will be and the faster we will eliminate pollution.

Draft policy proposed 50% road tax and registration waiver for strong hybrids but it was dropped in the final policy. Why?

The way a hybrid engine works is that, at the time you accelerate, even slightly, it automatically switches to petrol and the electric feature doesn’t really work.

The second thing is pocket. Currently, we have invested Rs 15,000 crore in the big segment — two-wheelers and autorickshaws, one of the biggest contributors of pollution. So, for the big component, we gave a big incentive. So, we need to take this policy in a phase-wise manner. This EV policy is for the next three to four years. Maybe in the next phase, we will include hybrid vehicles too.

If a new technology for hybrids comes or if it supports clean fuel, will you consider it?

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Today, we are focused on the most feasible technology we have, and that is EV. So, we adopted it immediately. In the future, if a better option comes, we can equally take it up.

How different is your EV policy in comparison to the previous policy? In the previous policy, people struggled to get subsidy, which they had to apply for at the dealership only with their help while buying the vehicle. Under this policy, people have to apply for subsidy themselves?

The previous government did launch a policy but it had several gaps and leakages, due to which neither the benefits reached the intended beneficiaries nor they had an intent to give incentives. Even pending subsidy amounts from the earlier regime have been cleared by our government to ensure that public trust in both the government and EV adoption remains strong. We have disbursed Rs 45 crore in subsidy payments.

Our government has now created a dedicated portal and within 60 days of receiving the Registration Certificate (RC), the buyers will receive the subsidy amount in their account through Direct Benefit Transfer (DBT). Applicants can apply themselves now and payments will be made directly to manufacturers by the government…The dealers are mandated to inform buyers whether the vehicles they are buying are eligible for subsidy or not.

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You have set strict mandates and timelines for adoption of EV two-and three-wheelers. But one big concern is inadequate charging infrastructure.

The success of this policy depends on the success of the charging infrastructure. It is also one of our key priorities. Not only the government, but all government agencies, departments and OEMs (original equipment manufacturers) will work together on this. We have made OEMs, whose products will be sold in the market, responsible for the development of the charging infrastructure. The Delhi Transco Limited has been made the nodal agency, so that it can ensure availability of adequate power and charging network while overseeing strengthening of sub-stations.

Another important step we have taken is the provision of a single-window clearance system for those investing in and developing charging infrastructure. They should not face any unnecessary hurdles and the government will provide them with full support.

In fact, this will open up a new segment for employment, entrepreneurship and investment. A new industry will emerge in Delhi and many will build businesses around the charging infrastructure.

Have you set any year-wise target to achieve this?

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Currently, we have around 9,000 charging points. On average, we will expand this every year, adding about 10,000 charging points annually until we reach the target of 32,000. We have already created charging infrastructure at bus depots and terminals. Gradually, as our requirements grow, we will expand the network.

Two-wheeler owners largely belong to the middle-income group. As per studies, 60% of them rely on this mode for long-distance travel and work. Do you think e-bikes have that capacity to match petrol bikes?

E-bikes have better capacity than petrol bikes (for long distance travel). People wanted to switch to electric two-wheelers but they could not do so because of the cost gap. Keeping this in mind, the government has provided the highest incentives for two wheelers. There is purchase subsidy of Rs 30,000, scrapping incentive of Rs 10,000, along with exemptions on road tax and registration charges. Taken together, I believe the total incentive comes to around Rs 60,000-70,000 per vehicle.

So, people are happy to shift to EVs… and when people will get charging facilities in every location across the city, they would be able to cover even longer routes. We held multiple meetings with stakeholders, and based on those discussions, we decided to give the highest priority to the largest segment.

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If you speak to people who are already using EVs, they will tell you that it almost feels as if the vehicle is running free of cost. The fuel savings are so substantial that it feels like there is hardly any operating expense… So, people are happy.

There is a huge dependence on China for EV batteries. How will you address this? Also, we are seeing that Chinese apps can control and shut down e-rickshaws, which is a safety threat.

We have taken a few steps in this regard. First, we have ensured EVs covered under the policy must be registered in Delhi. Secondly, we have given preference to Indian companies and Indian-made products to reduce dependency on China. A few days ago, when this issue (of e-rickshaws shutting down) surfaced, the government acted immediately.

Going forward, the government will ensure that batteries of better quality are used and such things do not happen – through apps or hacking.

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We have designed this policy as an end-to-end solution. While we are providing subsidies, we are also planning e-waste plants for battery disposal… Overall, it is a fool-proof policy… It combines regulatory mandates with incentives to encourage people to adopt EVs. Ultimately, keeping this city clean is a shared responsibility, and we all need to work together to achieve that.

Registrations of petrol two-wheelers will stop in the next two years. At the same time, a large number of two-wheelers and autos registered around 2011-2013 will complete their 15-year lifespan. Do you have a plan for phasing out these vehicles?

Yes, the scrapping and subsidy benefits are meant exactly for this purpose. We have provided scrapping incentives for every category of vehicle – e-rickshaws, autorickshaws, even jugaad-type vehicles, N1 category vehicles and cars… The idea behind the scrapping incentive is to phase out older petrol vehicles and encourage people to get their overaged vehicles scrapped and replace it with EV.

For four-wheelers priced below Rs 30 lakh, we are giving an incentive of Rs 1 lakh for cars, which is big. When people get such incentives, it motivates them to replace their old vehicles immediately.

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The policy is primarily designed for the common people and the middle class because they depend on their vehicles the most for daily travel. A wealthy person may own four cars and one among them may be an EV. But a middle-class family usually has just one car or one scooter – which is their dream as well as their medium of daily utility. So, this policy is specifically targeted for the middle class.

Delhi has thousands of small mechanic shops and workshops that service petrol and diesel vehicles. People in this sector will now be significantly affected. Is the government planning any training or skill development programme to help them learn EV repair skills?

Earlier, people used to operate pedal rickshaws. Then e-rickshaws came and people naturally upgraded… Today, an e-rickshaw driver earns around Rs 20,000 a month. Society adapts and moves to the next stage on its own.

Similarly, EVs will create many new job and business opportunities. As I said earlier, charging infrastructure itself is going to become a major sector. It will require people to operate it, maintain it and manage it. Likewise, EVs will also need trained mechanics.

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The industry naturally responds to these emerging requirements. Training programmes are already underway. The government is strengthening its skill centres so that people can also learn about EV technology. The government is already working in that direction.

It is said that EV batteries, especially of cars, have a life of 5-6 years. After that they require replacement and retrofitting is expensive. Do you have any plan to subsidise the same or any talks with OEMs?

OEMs will equally participate and share responsibilities across all aspects — from battery replacement to retrofitting — and will also help find pocket-friendly solutions to customers. The entire ecosystem will be made more cost-effective and consumer-friendly.

With the rollout, things will gradually settle down and improve over time, because this is an open market. Any industry that wants to survive, will find its own solutions, create new opportunities and offer better services to consumers.

People have been complaining about use of ethanol-blended petrol that is affecting the mileage and engine capacity of their cars. Have you received any complaints in this regard?

No… as of now, we have not received any such complaints.

The EV policy indicates mandates for four-wheelers. Can Delhi expect strict mandates for petrol and diesel cars in future?

We have already set mandates for N2 BS-VI vehicles and N1 trucks, starting from January 1, 2027. These vehicles are called chhota haathi, and mostly ply in the city. So, the government has placed strong emphasis on this segment.

We have also provided good scrappage incentives for different categories of vehicles, including cars… This policy will be in place for four years but in the future, as and when more requirements arise, they (four-wheelers) will be included within this framework.

If charging infrastructure or subsidy disbursal faces delay, will the timelines for phasing out new petrol two-wheelers be revised?

There is no question of ifs and buts in our policy…Have trust and confidence in the government. Within just one year, a comprehensive EV policy has been implemented with 360-degree efforts… We will make it 100% successful; the government is working on it wholeheartedly.

What is your larger roadmap to address pollution in Delhi?

We presented a Rs 1 lakh crore budget and earmarked Rs 22,000 crore as ‘Green Budget’ to curb pollution — road infrastructure, dust mitigation,vehicular emission, sanitation and waste management. The government allocated dedicated funds to the MCD to purchase litter picker machines and mechanical road sweeping machines. Resources have been provided to eliminate Delhi’s garbage mountains and to revive water bodies.

Reducing pollution in Delhi requires action on multiple fronts, and we are making efforts in every direction.

For the first time, capital expenditure has crossed 30% of Delhi’s budget. Earlier, it rarely exceeded Rs 5,000-7,000 crore, as a large share of the Budget was spent on free schemes… Today, we are investing significantly in long-term projects to curb pollution, improve infrastructure, develop new roads, flyovers and make the city clean and beautiful.

Delhi is transforming… It has chosen a new direction, one focused on building a cleaner, more modern and better future. The EV policy is also a part of this transformation, and we believe it will usher in a new era of cleaner mobility, making Delhi a cleaner and better city for everyone.