NEW DELHI: The Delhi government on Wednesday signed an MoU with Convergence Energy Services Limited (CESL) for granting 5 per cent interest subvention on the purchase of selected categories of Electric Vehicles (EVs) on loan in the city.
With the signing of this MoU, the government becomes the first state to provide easy financing along with interest subvention on the purchase of EVs. The agreement will help in accelerating the adoption of lithium-ion-based e-rickshaws and e-carts along with electric autos and electric light goods vehicles in the city.
The 5 per cent interest subvention on loans on the purchase of EVs is in addition to the applicable purchase incentive of Rs 30,000 and scrapping incentives of up to Rs 7,500 under the Delhi EV Policy. Through this scheme, an electric auto and electric light commercial vehicle will be able to avail up to Rs 25,000 additional benefit.
Delhi, since the launch of its ambitious EV policy in August 2020, was continuously working in promoting the sales of EVs. For Oct 2021-Dec 2021, EVs contributed to over 8 per cent of total vehicle sales in Delhi. With more than 31,000 EVs sold since the announcement of the Delhi EV Policy in August 2020, access to attractive financing solutions and options is still one of the major deterrents for achieving the critical mass.
Transport Minister Kailash Gahlot said, “This interest subvention scheme will help not just individual buyers, but also the fleet owners deploying vehicles for e-commerce, grocery or delivery industry.”