Delhi Govt approves ‘Parivartan’ Scheme to replace old CVs with BS-VI and EVs

The initiative offers tax exemptions, registration fee waivers, OEM discounts and interest subsidies to encourage cleaner commercial transport and reduce vehicular pollution across Delhi-NCR.

The Delhi Government has approved the implementation of the Centre’s ‘Parivartan’ scheme to accelerate the replacement of old, polluting commercial vehicles with cleaner BS-VI and electric vehicles (EVs). The decision was taken during a recent Cabinet meeting and aims to reduce transport-related air pollution while modernising the capital’s commercial vehicle fleet.

Chief Minister Rekha Gupta said the scheme, introduced by the Ministry of Road Transport and Highways (MoRTH), will encourage the replacement of ageing trucks and buses with BS-VI-compliant or electric vehicles, strengthening Delhi’s clean mobility ecosystem.

Incentives for Vehicle Owners

Under the scheme, owners who scrap BS-IV or older Light Goods Vehicles (LGVs) and purchase a new electric LGV will receive:

  • 100% exemption on motor vehicle tax for 10 years
  • 100% waiver of registration fees
  • 5% interest subsidy
  • 8% OEM discount
  • One-time benefit equivalent to a fuel voucher

Those opting for a used electric LGV will receive a 50% motor vehicle tax exemption for 10 years, a 5% interest subsidy, and a one-time fuel voucher benefit.

For Medium Goods Vehicles (MGVs) and Heavy Goods Vehicles (HGVs), scrapping BS-IV or older vehicles to purchase new BS-VI or electric trucks will qualify owners for the same incentives, including full tax and registration fee exemptions. Buyers of used BS-VI or electric goods vehicles will receive a 50% tax exemption, along with the interest subsidy and fuel voucher benefit.

Buses Also Covered

The scheme also includes BS-IV and older buses, which can only be replaced with BS-VI CNG or electric buses. These vehicles will be eligible for the same incentives offered to goods vehicles.

In addition, eligible vehicles sent for scrapping will receive relief from outstanding road tax and fitness penalties that have accumulated for more than a year. BS-IV vehicles covered under the scheme will also have the option of being sold in non-NCAP cities outside the NCR, instead of being scrapped.

Around 2.07 Lakh Owners to Benefit

According to the Delhi Government, around 2.07 lakh truck and bus owners across the Delhi-NCR region are expected to benefit from the initiative. The scheme mandates that all LGVs purchased under the programme must be electric, while only BS-VI CNG or electric buses will be eligible for replacement.

The government said the initiative will support the objectives of the Delhi EV Policy 2026, accelerate fleet modernisation, and significantly reduce vehicular emissions. The scheme will be administered by the Ministry of Road Transport and Highways (MoRTH).