Delhi Govt to Revise EV Policy, May Ease Transition Deadlines and Cap Surge Pricing

The Delhi government is planning to review and is expected to revise the cab aggregator and delivery service policy introduced by the previous Aam Aadmi Party (AAP) administration, with officials indicating that changes may include relaxed electric vehicle (EV) transition timelines and a cap on surge pricing.

Officials familiar with the matter told HT that the Delhi Motor Vehicle Aggregator and Delivery Service Provider Scheme is under active scrutiny by the transport department, with plans to fine-tune the policy to better reflect the concerns of aggregators, gig workers and end users.

First notified in November 21, 2023 by the Delhi government, the Delhi Motor Vehicle Aggregator and Delivery Service Provider Scheme aimed to license and regulate any aggregator, delivery service provider and e-commerce entity using a digital intermediary having more than 25 vehicles in their fleet (operating in the NCT of Delhi).

It also made it mandatory for all cab aggregators to register with the government and obtain licences for operation, carry out phased electrification of their fleet, ensure users’ grievance redressal, develop a rating mechanism and train drivers who get bad ratings by passengers.

“We have received inputs from various sections and we are relooking at some of the provisions and targets in the policy. Our aim will be to ensure that it is a comprehensive policy for all sections of people affected by it, especially the commuters and customers who use these services and those employed,” said transport minister Pankaj Singh told HT on June 10.

Chief Minister Rekha Gupta also confirmed the revision, noting during her 100-day report last week that the aggregator policy was one of several regulatory frameworks her government had taken up for re-evaluation.

Concerns Over EV Timelines

The AAP government’s policy had, for the first time on October 17, 2023, legalised bike taxis in Delhi—but with a catch that only electric vehicles (EVs) were permitted to run in the city, with no transition time offered. However, other vehicle categories, such as commercial two-wheelers and three wheelers were granted four to five years to convert their fleets to electric.

This immediate mandate for transitioning to electric bike taxis invited criticism from aggregators, who argued it made operations unviable.

The new government may consider offering a phased timeline for e-bike taxi adoption, similar to other segments, as cited by HT.