Delhi Announces New ‘Motor Vehicle Aggregator Scheme 2023’ Promoting EVs

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The Motor Vehicle Aggregator Scheme 2023, which regulates delivery service providers and cab aggregators in the capital, includes mandatory panic buttons for taxis, integration of emergency response number 112, and a phased transition to EVs. The Chief Minister of Delhi Arvind Kejriwal has approved this policy.

The draft scheme has been sent to Lieutenant Governor. The Transport Department will ask for feedback from the public before finalizing the scheme.

The chief minister stated that “this scheme prioritizes the safety of passengers, ensures prompt grievance redress and promotes the use of electric vehicles while reducing the pollution levels in the City.”

He said that the government, by promoting electric bike taxis and transitioning to EVs will be able to reduce pollution levels in Delhi and create new employment opportunities and economic growth.

The Motor Vehicle Aggregator Scheme 2023 will apply to anyone or any entity who operates, onboards, or manages a motor vehicle fleet through digital or electronic methods or any other method to ferry passengers, or connects a driver to offer to deliver or pick up a product or courier, package, or parcel, with a seller or e-commerce entity.

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The scheme aims at ensuring passenger safety and service quality for cab aggregators while also promoting EVs. The scheme will require that cab aggregators install a panic switch in their vehicles, and integrate with the Delhi Police’s 112 for emergencies.

It also has a mechanism for ensuring that consumer complaints are promptly addressed by service providers. The scheme provides driver remedial education in cases where the driver’s performance has been poor.

The scheme will mark a historic first in the country, where a state will introduce a mandatory switchover of commercial vehicles from traditional vehicles to electric vehicles. The plan mandates that fleet operators transition their fleets to electric vehicles in phases.

The mandate will apply only to a certain percentage of newly onboarded vehicles for a four-year period to avoid any reactionary response to the existing lives.

In the first six-month period, for example, 5% of all new cars must be electric. After four years, the policy mandates that all new two-wheelers or three-wheelers for commercial use must be electric vehicles.

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After five years, all commercial four-wheelers must be electric vehicles. By April 1, 2030, all aggregators of delivery services and their fleets will be required to convert to electric vehicles.

The scheme provides the basis for the regulation of bike taxis or rent-a-bike services. Delhi has never permitted bike taxis in the city. The scheme regulates such services.

The scheme is a business opportunity that ensures all two-wheeler and bike taxis in the city will only use electric two-wheelers. The statement said that these provisions are in accordance with the Delhi EV Policy 2020.

The system is based on the polluter-pays principle. The per-vehicle licence fee will be significantly higher for conventional vehicles than for electric vehicles.

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