After months of speculation and nearly two years of delay, there’s finally good news for EV owners in the capital. Delhi Government to Release Pending EV Subsidies from December 2025, marking a major relief for over 26,800 beneficiaries. This long-awaited move comes as a boost to Delhi’s clean mobility mission and restores confidence among EV buyers who had been waiting for their promised incentives under the state’s ambitious electric vehicle policy.
₹140 Crore in Dues to Be Cleared
According to officials from the Transport Department, the government has been withholding approximately ₹140 crore in subsidy dues owed to around 26,800 EV owners. The disbursement process had been stalled since April 2024, primarily due to administrative and procedural delays. Despite the extension of the Delhi EV Policy earlier this year, subsidy payments were pending as verification and documentation took longer than expected.
Delhi High Court Intervention
The push to expedite the subsidy release came after a Delhi High Court directive on September 3, 2025, which instructed the government to take immediate action. The court emphasized that procedural hurdles could not be used as an excuse for delaying benefits to citizens who purchased EVs under the official incentive scheme.
Disbursement and Verification Process
Officials confirmed that all formalities related to verification and documentation have been completed, and the final proposal is in the last stage of cabinet approval. Once cleared, payments will be released in a phased manner.
To ensure transparency and efficiency, the Transport Department is also developing a dedicated digital portal. This new system will be integrated with the national Vahan database, allowing real-time tracking and verification of applications and minimizing the chances of future delays.
Delhi EV Policy Extended Until 2026
Meanwhile, the Delhi EV Policy 2020 has been extended until March 31, 2026, giving the government time to finalize the upcoming EV Policy 2.0 after public consultations. The continued policy framework aims to strengthen Delhi’s position as India’s EV capital by encouraging cleaner mobility and supporting sustainable infrastructure.
What Beneficiaries Should Know?
Eligible EV owners are advised to regularly check the official Delhi Transport Department website for updates on the subsidy release process and payment timelines.
With this long-pending issue nearing resolution, the Delhi government’s renewed focus on EV adoption signals a promising step towards achieving its clean mobility goals.
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