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Home » Blog » Delhi Govt to Release ₹140 Crore Pending EV Subsidies Following High Court Directive
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Delhi Govt to Release ₹140 Crore Pending EV Subsidies Following High Court Directive

Sunita
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Sunita
Last updated: 16 September 2025
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Officials Blame Delays in EV Policy Extension on Kejriwal’s Arrest in Excise Case, Stalling Cabinet Meetings in Delhi

Contents
  • Subsidy Verification Underway
  • High Court Push for Timely Payouts
  • Reasons Behind the Delays
  • Policy Impact So Far
  • Policy Extended Till 2026

New Delhi: The Delhi government will soon release pending electric vehicle (EV) subsidy dues worth ₹140 crore, following a Delhi High Court directive issued on September 3.

Subsidy Verification Underway

Transport Minister Pankaj Singh confirmed that the Transport Department has begun verifying subsidy applications to resolve the backlog that has accumulated over the past two years. Officials added that a dedicated portal is being prepared to streamline the clearance process.

High Court Push for Timely Payouts

The move comes after the Delhi High Court ordered the government to take immediate steps to disburse subsidies promised under the 2020 Delhi EV Policy. The court observed that procedural delays cannot be used as an excuse and pointed out that the policy does not specify any timeline for payments.


Reasons Behind the Delays

Officials revealed that subsidy clearances were delayed after the arrest of former Chief Minister Arvind Kejriwal in the excise policy case, which stalled cabinet meetings and prevented the timely extension of the EV policy.

Policy Impact So Far

Since its launch in August 2020, the Delhi EV Policy has supported the purchase of over 2.19 lakh vehicles, including 1.09 lakh two-wheelers and 83,724 three-wheelers. The government had already disbursed ₹177 crore in incentives by 2023.

Policy Extended Till 2026

The EV policy, which lapsed in August 2023, was extended last month until March 31, 2026. Meanwhile, the government is working on EV Policy 2.0, currently under public consultation. A committee led by Minister Ashish Sood has been formed to oversee its formulation.

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With the High Court’s intervention, Delhi EV buyers awaiting subsidies may finally see relief in the coming weeks.

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