\n| Fleet Electrification<\/td>\n | School buses, govt fleets, aggregators<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<\/div>\n This framework is being seen as one of the most comprehensive EV push policies in India.<\/p>\n Traditional Auto Stocks Take a Hit as Disruption Fears Rise<\/h2>\nShares of legacy auto companies declined sharply amid concerns over future demand:<\/p>\n \n- Eicher Motors<\/span><\/span> fell around 5%<\/li>\n
- Maruti Suzuki<\/span><\/span> dropped 4.6%<\/li>\n
- Hero MotoCorp<\/span><\/span> declined 4%<\/li>\n<\/ul>\n
The proposed ban on new fossil fuel two-wheelers from 2028 has raised concerns over volume disruption for ICE-focused companies.<\/p>\n A brokerage note stated, \u201cMandatory electrification could create a structural shift in demand, forcing traditional players to accelerate EV transition.\u201d<\/em><\/p>\nEV-Linked Stocks Gain as Policy Signals Long-Term Growth<\/h2>\nWhile traditional players fell, EV-focused companies saw buying interest:<\/p>\n \n- Ather Energy surged 5.2%<\/li>\n
- JBM Auto gained 1.9%<\/li>\n
- Olectra Greentech rose 2.5%<\/li>\n<\/ul>\n
Companies like Tata Motors<\/span><\/span> and Mahindra & Mahindra<\/span><\/span> are expected to benefit from the policy\u2019s long-term demand push.<\/p>\nThe policy is likely to create a large replacement cycle, especially in two- and three-wheelers.<\/p>\n Scrappage Incentives Aim to Accelerate EV Adoption<\/h2>\nThe policy introduces strong financial incentives to encourage faster EV adoption.<\/p>\n Scrappage Incentive Structure<\/h3>\n\n \n \n\n\n| Vehicle Type<\/th>\n | Incentive<\/th>\n<\/tr>\n<\/thead>\n | \n\n| Electric Cars<\/td>\n | Up to \u20b91 lakh<\/td>\n<\/tr>\n | \n| Electric Trucks (N1)<\/td>\n | \u20b950,000<\/td>\n<\/tr>\n | \n| Electric Two-Wheelers<\/td>\n | \u20b910,000<\/td>\n<\/tr>\n | \n| Electric Three-Wheelers<\/td>\n | \u20b925,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<\/div>\n These incentives will be provided via direct benefit transfer (DBT) and are aimed at phasing out older BS-IV and below vehicles.<\/p>\n Pricing Benefits Could Boost Mass Adoption of EVs<\/h2>\nThe policy focuses heavily on affordability:<\/p>\n \n- Full tax exemption for EVs priced up to \u20b930 lakh<\/li>\n
- Hybrid vehicles receive partial benefits<\/li>\n
- No incentives for premium EVs above \u20b930 lakh<\/li>\n<\/ul>\n
This pricing strategy is expected to drive mass adoption in the mid-segment, which forms the bulk of the Indian auto market.<\/p>\n Delhi\u2019s Market Share Highlights Policy\u2019s Broader Impact<\/h2>\nWhile Delhi accounts for a relatively small share of national volumes:<\/p>\n \n- Around 2.7% of two-wheeler registrations<\/li>\n
- About 3% of total EV registrations<\/li>\n<\/ul>\n
The policy\u2019s significance lies in its potential to set a template for other states, amplifying its long-term impact.<\/p>\n Oil Price Surge Adds to Pressure on Auto Sector<\/h2>\nThe selloff was further intensified by rising crude oil prices amid geopolitical tensions.<\/p>\n | |