Delhi Govt to Pay ₹140 Crore in EV Subsidies Following High Court Order

The Delhi High Court on September 3, 2025, ordered the state government to clear pending electric vehicle (EV) subsidies, as per news reports. The bench led by Chief Justice Devendra Kumar Upadhayaya and Justice Tushar Rao Gedela said that procedural hurdles cannot be used to delay payments.

The court also noted that the absence of a timeline in the Delhi EV Policy 2020 does not remove the government’s responsibility to disburse funds.

Subsidy Backlog

As per news reports, officials said subsidy dues of around ₹140 crore are pending. These payments relate to claims from the past two years. The Transport Department has started identifying beneficiaries eligible for the subsidies.

Transport Minister Pankaj Singh confirmed that all applications will be verified before clearance. The government is also setting up a portal to process claims and release the amounts. This is intended to manage the pending dues and streamline payments.

Delhi EV Policy Details

The Delhi EV Policy was launched in August 2020. Since then, more than 2.19 lakh vehicles have received tax exemptions. This includes over 1.09 lakh two-wheelers and 83,724 three-wheelers. The government had disbursed subsidies worth ₹177 crore up to 2023.

The EV Policy, which lapsed in August 2023, has been extended several times. It is now valid until March 31, 2026. A new draft policy is being prepared and will undergo public consultation.

Read more: NITI Aayog Proposes National EV Policy as India Must Quadruple Adoption to Meet 2030 Target!

Conclusion

The Delhi government has begun steps to clear ₹140 crore in pending EV subsidies following court intervention, with verification and portal-based disbursal planned.

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