Centre issues rules for Parivartan vehicle replacement scheme in Delhi

The Centre on Wednesday issued the operational guidelines for its Parivartan vehicle replacement scheme, under which light goods vehicles in Delhi can be replaced only with electric models, while incentives for scrapping older buses will be available only if they are replaced with electric or BS-VI CNG vehicles

The Centre on Wednesday issued the operational guidelines for its Parivartan vehicle replacement scheme, under which light goods vehicles in Delhi can be replaced only with electric models, while incentives for scrapping older buses will be available only if they are replaced with electric or BS-VI CNG vehicles.

Photo for representation (Shutterstock)

The guidelines operationalise the Parivartan (Programme for Accelerated Renewal and Incentivisation of Vehicle Assets for Reducing Transport Air Pollution and Network Emissions) scheme, approved by the Union cabinet on June 3, to accelerate the replacement of Bharat Stage (BS)-IV and older trucks and buses in the National Capital Region (NCR) with cleaner BS-VI or electric vehicles.

Besides buying a cleaner replacement vehicle, owners of eligible BS-IV vehicles will also have the option of selling their vehicles outside the NCR, provided they are re-registered in areas that are neither part of the NCR nor covered under the National Clean Air Programme (NCAP).

Those who choose not to purchase another vehicle after scrapping their old one can instead trade the certificate of deposit issued by an authorised scrapping facility through the DigiELV platform and receive a one-time incentive of up to ₹2.56 lakh, depending on the vehicle category.

Buyers replacing their vehicles with diesel or CNG models will also receive monthly fuel vouchers for five years, while those opting for electric vehicles will instead get a one-time payment equivalent to the discounted value of the fuel vouchers.

The scheme is open to owners of non-government BS-IV or older trucks and buses that were registered in the NCR as on April 30, 2026. Applicants must first register on a dedicated portal, where their eligibility will be verified through the VAHAN database before a unique scheme ID is generated. The portal will integrate with VAHAN, V-Scrap, DigiELV, the Public Financial Management System (PFMS), lenders and the fuel voucher system to enable end-to-end digital processing of applications and benefits.

The guidelines stipulate that the replacement vehicle must belong to the same or a lower category than the vehicle being scrapped. They also require CNG trucks and buses to be replaced only with another CNG vehicle or an electric vehicle. Any future directions issued by the Centre, NCR state governments, the Commission for Air Quality Management (CAQM) or courts will automatically apply to the scheme.

The scheme will remain open for two years from July 14, 2026. During this period, eligible beneficiaries must either register a new or used replacement vehicle in the NCR or trade their certificate of deposit to claim benefits. The ministry of road transport and highways will implement the scheme, while the National Capital Region Planning Board (NCRPB), under the ministry of housing and urban affairs, will disburse financial benefits through the Public Financial Management System.

The scheme will remain open for two years from July 14, 2026, during which eligible beneficiaries must either register a new or used replacement vehicle in the NCR or trade their certificate of deposit to claim the benefits. The ministry of road transport and highways will implement the scheme, while the NCRPB will disburse financial benefits through the Public Financial Management System.