Delhi HC orders state govt to expedite EV subsidy disbursal

Sep 03, 2025

New Delhi [India], September 3 : The Delhi High Court on Wednesday directed the Delhi government to immediately disburse subsidies promised to consumers who purchased electric vehicles under the Delhi Electric Vehicle Policy, 2020, observing that procedural hurdles cannot be used as a pretext to delay payments.
A Division Bench of Chief Justice Devendra Kumar Upadhyaya and Justice Tushar Rao Gedela said that the government has the funds but has failed to release them in time.
The Court specifically stated that the administration cannot take shelter behind the fact that the EV Policy does not specify a timeline for disbursal.
Accordingly, the Court directed the Transport Department of the Delhi government to set up a dedicated bank account for the purpose and ensure that subsidies are released to eligible beneficiaries without further delay.
The order came while hearing a Public Interest Litigation (PIL) filed by Jan Seva Welfare Society, a registered organisation working on issues of public welfare and constitutional governance.
The society approached the Court under Article 226 of the Constitution, seeking a writ of mandamus against the government for not releasing the pending subsidy amounts to EV buyers.
In its petition, the NGO stated that the delay in subsidy disbursal was directly affecting thousands of individuals who had purchased electric vehicles in Delhi with the assurance of financial support under the 2020 policy.
The petition emphasised that despite assurances, the government had failed to honour its commitment, undermining both consumer rights and the broader public interest of promoting clean mobility.
The petitioner also clarified that it had no personal interest in the matter and was acting purely in the interest of the public. It stated that its knowledge of the issue stemmed from applications filed under the Right to Information Act (RTI), which revealed the non-release of subsidies.
The petition further identified the Government of NCT of Delhi as the primary authority responsible for implementing public policies and ensuring benefits under the EV Policy, while the Transport Department was described as the nodal agency responsible for processing subsidy claims, maintaining records of eligible beneficiaries, and ensuring compliance with the policy framework.
The governing body of Jan Seva Welfare Society, led by President Ajay Aggarwal and Secretary Sanjana Gupta, stressed before the Court that thousands of EV buyers had been left waiting for months, despite the government having adequate funds for disbursal.