India is swiftly shifting gears towards electric mobility, thanks to a combination of environmental concerns, rising fuel prices, and strong policy backing. While the central government’s FAME II scheme provides a nationwide framework for EV adoption, individual states are now stepping up with their own incentives to make EVs more affordable and appealing to citizens.
In this comprehensive article, we deep-dive into the top EV subsidies provided by three of the most EV-progressive states in India—Delhi, Maharashtra, and Tamil Nadu. If you’re an EV buyer or considering switching to electric in 2025, understanding these state-wise benefits can help you save significantly on purchase costs, taxes, registration fees, and even charging infrastructure.
1. Delhi EV Subsidy Policy (2025 Updated)
Delhi has been a trailblazer in India’s EV revolution. The state’s policy is among the most consumer-friendly and progressive, aiming for 25% of all new vehicle registrations to be electric by 2025.
Key Highlights of Delhi’s EV Subsidy:
- Subsidy on Two-Wheelers:
- ₹5,000 per kWh of battery capacity (capped at ₹30,000 per vehicle)
- Scrappage incentive: Additional ₹5,000 if old ICE vehicle is scrapped
- Subsidy on Four-Wheelers:
- ₹10,000 per kWh (up to ₹1.5 lakh per vehicle) for the first 1,000 electric cars registered
- Registration and road tax waived
- Electric Commercial Vehicles:
- Up to ₹30,000 for e-autos, e-rickshaws, and light commercial EVs
- Interest subsidies on loans for commercial EV purchases
- Charging Infrastructure:
- ₹6,000 incentive for installing charging stations in homes or societies
- 100 public charging stations targeted per 3 km range in dense areas
- Permit Exemptions:
- EVs in Delhi do not require commercial permits, making them ideal for last-mile delivery businesses.
- Special Feature – Open Permit for E-autos:
- Delhi government has allowed 4,261 new e-auto permits to be issued without caps, a boost to shared mobility.
Who Benefits the Most in Delhi?
- First-time EV buyers
- Ola/Uber drivers switching to electric
- Small business owners running fleets
- Residents of RWAs installing chargers
2. Maharashtra EV Subsidy Policy (2025 Updated)
Maharashtra’s EV policy is one of the most rewarding for electric vehicle buyers, especially in metro cities like Mumbai, Pune, and Nagpur. With an aggressive subsidy model and strong incentives for charging infrastructure, the state is setting benchmarks in EV adoption.
Key Highlights of Maharashtra’s EV Subsidy:
- Two-Wheelers:
- ₹5,000 per kWh subsidy (max ₹25,000)
- Early bird incentive: ₹5,000 extra for the first 10,000 buyers
- Four-Wheelers:
- ₹5,000 per kWh up to ₹1.5 lakh subsidy on electric cars
- No road tax or registration fees
- Electric Buses and LCVs:
- Up to ₹20 lakh subsidy per electric bus
- Up to ₹1 lakh for electric light commercial vehicles
- Charging Stations:
- Capital subsidy of 25% (up to ₹10 lakh per station)
- Focus on developing charging hubs in Mumbai Metropolitan Region and other urban areas
- Additional Benefits:
- Scrappage incentive of ₹7,000–₹12,000 for deregistering old vehicles
- Manufacturing incentives for EV startups and battery makers
State Goals by 2025:
- Electrify 25% of public transport vehicles
- Create 2,500 charging stations statewide
- Attract ₹25,000 crore in EV investment
Who Benefits the Most in Maharashtra?
- Corporate fleet owners and taxi aggregators
- Individuals buying cars like Tata Nexon EV or MG ZS EV
- Delivery startups like Swiggy, Zepto, and Amazon
- Developers building housing societies and malls with EV infra
3. Tamil Nadu EV Subsidy Policy (2025 Updated)
Tamil Nadu is positioning itself as an EV manufacturing hub, with policies that not only support buyers but also heavily incentivize production, innovation, and infrastructure. Chennai, Coimbatore, and Hosur are hotspots for EV expansion.
Key Highlights of Tamil Nadu’s EV Subsidy:
- Two-Wheelers:
- Direct buyer subsidy: ₹5,000 per kWh (up to ₹20,000)
- No registration fee or road tax
- Four-Wheelers:
- ₹10,000 per kWh capped at ₹1.5 lakh
- Complete waiver on road tax for private electric cars till 2026
- Commercial EVs:
- Subsidy of ₹30,000 for light commercial vehicles
- Fleet registration made simpler for logistics businesses
- Charging Station Incentives:
- 25% capital subsidy on charging infrastructure
- Local bodies given grants for EV-ready cities
- Manufacturing Ecosystem:
- EV Parks in Chennai and Hosur
- Incentives for cell production, EV software companies, and component makers
- Educational EV Boost:
- Subsidies for students purchasing EVs for commuting to college
- Tie-ups with technical colleges to offer EV-focused training
Who Benefits the Most in Tamil Nadu?
- College students and daily commuters
- Manufacturers like Ola Electric, Ather Energy
- Government employees availing salary-linked purchase programs
- Local transport businesses switching fleets to electric
Comparison Table of EV Subsidies by State (2025)
State | Max Subsidy for 4W | Max Subsidy for 2W | Road Tax Waiver | Charging Infra Support |
---|---|---|---|---|
Delhi | ₹1.5 lakh | ₹30,000 | Yes | ₹6,000 per home unit |
Maharashtra | ₹1.5 lakh | ₹25,000 | Yes | ₹10 lakh per station |
Tamil Nadu | ₹1.5 lakh | ₹20,000 | Yes | 25% infra subsidy |
FAQs: Electric Vehicle Subsidies in India – 2025 Edition
Q1. Can I claim both central and state subsidies on my EV purchase?
Yes, FAME II (central) and state subsidies are stackable, subject to meeting eligibility norms of both.
Q2. Is the subsidy credited directly to my bank account?
No, in most cases the subsidy is deducted upfront by the dealership. Make sure the dealer is authorized.
Q3. What documents are needed to claim state EV subsidies?
Typically, you’ll need:
- Aadhar/PAN
- Vehicle invoice
- Vehicle registration certificate
- Bank details (if required)
- Proof of residence (state-based)
Q4. Are subsidies applicable for second-hand EVs?
No, subsidies are only for first-time purchases of new EVs.
Q5. What’s the timeline for receiving incentives like scrappage bonus or charging station subsidy?
It varies by state but usually ranges between 15–60 days from date of application.
Final Thoughts
As we move into 2025, EV adoption in India is no longer just a trend—it’s a movement. The combined efforts of the central and state governments have made it easier and more affordable than ever to make the switch. Whether you’re a commuter in Delhi, a business fleet operator in Mumbai, or a student in Chennai, these EV subsidies open doors to cleaner, greener, and cheaper transportation.
If you’re planning to buy an EV this year, thoroughly reviewing your state’s policy could save you lakhs. Stay connected with EV Newss for updated subsidy announcements, EV model reviews, and infrastructure developments across India.