Delhi govt reportedly offering Rs 50,000 to convert old cars into EVs

The Delhi government is currently planning a Rs 50,000 incentive for the first 1,000 cars that need retrofitting in order to encourage people to convert their diesel/petrol cars into electric vehicles (EVs) to combat air pollution. This subsidy is part of the Transport Department's draft EV Policy 2.0, which aims to boost the production and usage of electric vehicles over the coming years.

According to officials, the Transport department has also proposed these recommendations in the draft EV Policy 2.0, under which the government is targeting a significant increase of electric vehicles in new vehicle registrations in the coming years.

“Under this proposal, the government is planning to provide an incentive of Rs 50,000 for the first 1,000 old vehicles for retrofitting into EVs. The plan is under consideration, and a final decision will be taken after Cabinet approval,” an official said.

Retrofitting enables vehicle owners to replace internal combustion engines (ICEs) with battery-powered electric kits. However, the idea is not new and has been examined in the past. The previous AAP government had also introduced initiatives to make vehicle retrofitting simpler, more transparent, and accessible to the public. Despite these efforts, the plan failed to gain traction due to the high cost of retrofit kits—one of the major obstacles to its adoption.

“Many people avoid retrofitting because it is expensive and varies in cost across different vehicle models. Therefore, the government is planning to propose incentives to encourage more people to reuse their vehicles instead of scrapping them or selling them at a lower price,” a senior official said.