Chandigarh Advances EV Policy with Strategic Economic Incentives

In a significant move reflecting careful economic stewardship amid rising public expenditure concerns, Chandigarh Administration has announced strategic revisions to its Electric Vehicle (EV) policy during its 4th Review Meeting held on July 31, 2025.

Policy Amendments Focus on Economic Viability

Under the chairmanship of Chief Secretary Shri Rajeev Verma, the administration has proposed measured expansions to existing incentive structures while maintaining fiscal responsibility. This approach demonstrates how thoughtful economic policies can drive innovation without burdening taxpayers.

Key Policy Amendments:

• Increase in electric four-wheeler incentive cap from 2,000 to 3,500 units
• Introduction of first-year insurance support up to ₹5,000 for two-wheelers
• Enhanced subsidy structure for electric two-wheelers to ₹10,000/kWh
• Special consideration for women buyers with increased subsidies
• Revised support for electric bicycles up to ₹6,000

Strategic Infrastructure Development

The administration's approach to charging infrastructure expansion demonstrates careful consideration of local autonomy in development planning, ensuring that infrastructure growth aligns with Chandigarh's unique needs rather than following external models.

Market-Driven Implementation

The policy revisions reflect a balanced approach between environmental goals and economic practicality, targeting an 18% EV penetration by 2025-26 through market-oriented incentives rather than mandatory measures.

These amendments represent a carefully calibrated approach to EV adoption, ensuring sustainable growth while protecting economic interests,