Long wait for EV subsidies ends, disbursal commences in Prayagraj

• TNN

• Updated On Feb 20, 2026 at 01:09 PM IST

In a significant relief to electric vehicle (EV) buyers, the Transport department has initiated the disbursal of subsidies pending for long after the state govt released the required budgetary allocation.

With the funds now made available, the subsidy amount is being transferred directly into the bank accounts of the eligible beneficiaries, ending months of uncertainty for hundreds of vehicle owners in the district.

More than 700 electric vehicle buyers in Prayagraj awaited subsidy payments amounting to nearly ₹1.90 crore. The delay occurred after a new system for processing subsidies was introduced in Nov, leading to procedural bottlenecks and lapses at the dealer level in uploading and verifying necessary documents. As a result, buyers were compelled to make repeated visits to dealerships as well as the Regional Transport Office in pursuit of their entitled benefits.The officials said that the payment process is now streamlined through the department’s dedicated EV subsidy portal. Under the revised mechanism, applicants’ details are verified online, following confirmation of vehicle purchase and documentation by the respective dealers. The final approval is granted by the ARTO (administration) after due scrutiny. The divisional inspector (technical) and ARTO administration are jointly overseeing the process to ensure that verification is completed within 7 days and the subsidy is credited within 15 days thereafter.ARTO (administration) Rajeev Chaturvedi confirmed that the pending subsidy payments commenced and that special instructions were issued to officials involved in verification to expedite the process. He stated that every effort is being made to ensure that eligible beneficiaries receive their financial assistance without further delay.Under the Uttar Pradesh govt’s electric vehicle policy, buyers are entitled to a subsidy of 15 per cent on the ex-factory price. The benefit is capped at ₹5,000 for electric two-wheelers, ₹12,000 for electric three-wheelers, and up to ₹1,00,000 for electric four-wheelers. Officials expressed hope that the timely disbursal of subsidies will encourage more residents to opt for environmentally friendly transportation options.

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