The governments of the Indian states of Delhi and Meghalaya have introduced new electric vehicle (EV) policies that include financial incentives, infrastructure development, and regulatory measures aimed at supporting the adoption of electric vehicles.

While Delhi's Electric Vehicle Policy 2026 focuses on establishing a long-term roadmap for EV adoption and the gradual transition away from petrol-powered vehicles, Meghalaya's Electric Vehicle Policy 2026 introduces purchase incentives and registration fee waivers to encourage wider adoption across the state.

Delhi EV Policy 2026

Delhi's Electric Vehicle Policy 2026 came into effect on July 1st and will remain in force until March 31st, 2030.

The policy provides a framework for EV adoption through purchase incentives, charging infrastructure development, and a phased transition towards electric mobility. Under the policy, buyers of eligible electric two-wheelers can receive purchase incentives of up to Rs. 30,000 during the first year, Rs. 20,000 (US$ 210) during the second year, and Rs. 10,000 during the third year.

Electric three-wheeler buyers are eligible for incentives of up to Rs. 50,000 in the first year, Rs. 40,000 in the second year, and Rs. 30,000 in the third year. For N1-category electric light commercial vehicles, trucks weighing more than 1.75 tons are eligible for incentives of up to Rs. 100,000 during the first year, while those weighing below 1.75 tons can receive up to Rs. 50,000.

The policy also provides a 100% waiver of road tax and registration fees for electric cars priced at up to Rs. 3 million (ex-showroom), although these vehicles are not eligible for direct purchase subsidies. In addition, the policy outlines a phased transition away from petrol-powered vehicles. The registration of new petrol-powered three-wheelers will cease from January 2027, while new registrations of petrol-powered two-wheelers will no longer be permitted from April 2028. Existing owners of these vehicles will, however, be permitted to continue using them.

Industry calls for affordable EV financing

Ayush Lohia, Chief Executive Officer of EV manufacturer Youdha, said Delhi has introduced a policy framework for EV adoption.

"Delhi has demonstrated strong intent through this policy. A clear roadmap for EV adoption gives confidence to manufacturers, suppliers, financiers and consumers alike. If implemented effectively, the policy has the potential to become a blueprint for other states and accelerate India's transition towards clean mobility," he said.

Lohia noted that although incentives and regulatory support are important, affordability remains the biggest obstacle to widespread EV adoption, particularly among first-time buyers and commercial vehicle operators.

According to Lohia, the policy provides a framework for EV adoption through incentives, infrastructure development, and a clearly defined transition roadmap. However, he believes that affordable financing and improved access to credit will ultimately determine the policy's long-term success.

"Purchase incentives certainly reduce the upfront cost, but financing continues to be the biggest missing piece. Many customers still face higher interest rates or limited financing options for electric vehicles compared with conventional vehicles. Unless banks, NBFCs and financial institutions make EV financing more accessible and competitive, the pace of adoption may not reach its full potential," he said.

Lohia further added that ownership models, including Battery-as-a-Service (BaaS), battery leasing, and flexible repayment solutions, could reduce acquisition costs, particularly in the price-sensitive two- and three-wheeler segments. He also stated that the next phase of India's EV growth will be driven by technological advances and affordability, with flexible financing, battery leasing, and lower ownership costs increasing access to electric mobility for consumers constrained by high upfront purchase prices.

Meghalaya approves Electric Vehicle Policy 2026

The Meghalaya Cabinet has approved the Electric Vehicle Policy 2026 to promote the adoption of electric vehicles across the state. Briefing reporters following the Cabinet meeting, senior minister Marcus Marak said the policy provides a purchase incentive of Rs. 25,000 for every electric vehicle buyer, along with a full waiver of registration fees.

Marak said more than 5,000 electric vehicles are already operating in Meghalaya and said the new policy is expected to increase EV adoption. Similar incentives will also be extended to buyers of electric two-wheelers and three-wheelers.

The minister said the government does not anticipate major challenges in establishing charging infrastructure, noting that suitable locations for commercial charging stations have already been identified. The Cabinet also reviewed the Vehicle Scrappage Policy, which was notified last year. Under the policy, owners scrapping vehicles older than 15 years can use the scrappage certificate to purchase a new electric vehicle and avail themselves of the incentives offered under the EV policy.

Power sector measures

Alongside the EV policy, the Meghalaya Cabinet approved several initiatives related to the state's power sector. The Cabinet approved the appointment of retired Meghalaya Energy Corporation Limited (MeECL) Chief Engineer (Civil) BM War as Chief Technical Advisor (Generation) to the Power Department to support the state's power generation initiatives.

It also sanctioned Rs. 223.7 million towards land compensation for the construction of a 6.5 km, 132 kV transmission line linking the proposed 220/132 kV Secondary Substation with the proposed 132/33 kV Mawkhanu Substation. The approval also includes compensation for the Right of Way (RoW), facilitating the timely implementation of the project.