The Delhi government approved a new electric vehicle (EV) policy with a budget of ₹15,000 crore aimed at accelerating electric mobility over the next four years. The policy targets 30% vehicle electrification by 2030 through a phased shift to EVs. The announcement triggered a rally in EV stocks, with Ola Electric surging as much as 11.2% in early trade, reaching an intraday high of ₹44.95 on the BSE, according to inc42.com.
The policy allocates ₹7,000 crore for EV adoption and ₹8,000 crore for charging infrastructure and tax incentives. It includes a ₹1 lakh scrappage incentive for BS-IV four-wheelers and subsidies of ₹30,000 for electric two-wheelers and ₹50,000 for electric three-wheelers during the first year. The government will ban registrations of non-electric three-wheelers from January 1, 2027, and non-electric two-wheelers from April 1, 2028, the report added.
The policy’s phased approach to vehicle electrification aligns with Delhi’s goal to reduce pollution and promote sustainable transport. The move has positively impacted EV companies, with shares of Ather Energy rising 2.9% to ₹1,114.60 and Zelio E-Mobility advancing 2% to ₹567.25. The policy’s financial incentives and infrastructure support are expected to accelerate EV adoption in the region, which is a significant market for electric vehicles in India.
At 10:57 AM IST, Ola Electric’s stock was trading 4.8% higher at ₹42.38, with a market capitalization of ₹19,619.8 crore (about $2 billion), according to inc42.com. The Delhi cabinet’s approval of the EV policy marks a major step in the city’s transition to electric mobility.