In a recent announcement, the Delhi government introduced a scheme for all app-based fleet owners mandating a complete transition to 100% electric vehicles by 2030. This directive falls under 'The Delhi Motor Vehicle Aggregator and Delivery Service Provider Scheme 2023,' demonstrating the government's commitment to promoting sustainable and eco-friendly transportation solutions.

Impacted Categories

The scheme applies to aggregators such as OLA, Uber; delivery service providers like Swiggy, Zomato; and e-commerce entities such as Myntra, Flipkart, and Amazon. It specifically targets entities with more than 25 vehicles in their fleet (two-wheelers, three-wheelers, and four-wheelers, excluding buses) using an app or web portal for consumer services.

Mandatory Licensing

Entities falling under the mentioned categories must obtain a license within 90 days from the government to operate within the capital city. Each vehicle requires a separate license, with a paid annual fee. Notably, a 50% rebate is offered for vehicles less than two years old. An exemption from the annual fee is granted for entities employing EVs in their fleet.

Transition Time Frame

The new rules outline a target of 100% introduction of new EVs in aggregators' fleets. For new three-wheeler fleets, the target is 10% electrification within six months, increasing to 50% in two years and reaching 100% in four years.

For delivery service providers, the targets for two-wheelers and three-wheelers are set at 10% within the first six months, escalating to 50% within two years, and reaching 100% in four years.

Consequences of Non-compliance

The scheme imposes strict penalties for non-compliance, ranging from Rs.5,000 to Rs.100,000 per vehicle/instance. Repeated violations may lead to license suspension.

Revenue Impact

At first glance, the shift from Internal Combustion Engine (ICE) to Electric Vehicles (EVs) may appear financially challenging. As an addition, it is a big drop in the resale value of old gasoline vehicles and needing to invest a lot upfront in electric vehicles, especially for larger fleets, can be a bit overwhelming.

But when you think long term, the transition to EV will not only help in reducing pollution, it also reduces the fuel and maintenance expenses to a great expense. Additionally, EV buyers also get attractive Govt. subsidies, tax exemptions and more. Taking all these into account, after a period of 3 years, EV users can save about ₹3,61L compared to a diesel vehicle and ₹2,07L compared to CNG vehicle.

Seamless Transition from ICE to EV

For those planning to transition their ICE fleet to an EV fleet, Turno offers extensive assistance. Turno provides three-wheeler load EVs from top brands in one place making it convenient for the buyers to check and compare all load EVs at one place. 

Additionally, Turno offers competitive EV financing with low down payments, facilitating a smoother transition to EVs. As an added benefit, Turno guarantees EV buyback after 1.5 years, providing a unique advantage in the market.

Contact EV Experts at Turno to make the switch to EVs hassle-free.