The Centre’s PARIVARTAN scheme aimed at reducing transport-related air pollution in Delhi-NCR has gained momentum, with more than 1,300 eligible beneficiaries registering on the scheme portal as of August 27, 2026

According to the Press Information Bureau (PIB), the programme has also brought 42 banks and non-banking financial companies (NBFCs) into its financing network and signed agreements with 15 automobile original equipment manufacturers (OEMs) to provide discounts to eligible vehicle owners.

The scheme targets the replacement of more than 2 lakh trucks and buses registered in Delhi-NCR and the National Capital Region districts of Haryana, Rajasthan and Uttar Pradesh. The vehicles covered must meet BS-IV or older emission standards, while the replacement vehicles must meet BS-VI or stricter standards or be electric vehicles.

Cabinet Approved PARIVARTAN

The Union Cabinet approved the PARIVARTAN programme on June 3, 2026.

PARIVARTAN stands for the Programme for Accelerated Renewal and Incentivisation of Vehicle Assets to Reduce Transport Air Pollution and Network Emissions.

The scheme was formally launched on July 14, 2026, with the objective of accelerating the replacement of older, more polluting commercial vehicles across the National Capital Region.

The initiative is being funded through the National Capital Region Planning Board (NCRPB) under the Ministry of Housing and Urban Affairs, while the Ministry of Road Transport and Highways is responsible for its implementation.

₹9,585 Crore Financial Outlay

The scheme has a total financial outlay of ₹9,585 crore, including ₹5,041 crore in budgetary support from the Central Government.

Eligible vehicle owners purchasing qualifying replacement vehicles can access multiple incentives under the programme.

The package has been designed to reduce the financial burden associated with replacing older commercial vehicles and encourage owners to shift towards cleaner technologies.

Five-Year Interest Savings

One of the major incentives under PARIVARTAN is a 5 per cent interest saving on eligible vehicle loans for five years.

To facilitate this benefit, 42 banks and NBFCs have joined the programme and can provide interest subvention on vehicle financing.

The financing support is intended to make the purchase of new BS-VI, stricter-standard or electric vehicles more affordable for eligible owners.

The availability of multiple financing institutions is also expected to make the scheme accessible to a wider pool of vehicle owners.

Road Tax Registration Waiver

Eligible beneficiaries can receive 100 per cent exemption from road tax for 10 years, along with a complete waiver of registration fees.

According to the PIB, Delhi, Haryana, Rajasthan and Uttar Pradesh have already issued notifications regarding these exemptions.

The tax and registration benefits are intended to reduce the upfront and long-term cost of replacing older vehicles.

OEMs Offer Discounts

The government has also brought the automobile industry into the programme.

Agreements have been signed with 15 auto OEMs, which will provide discounts to eligible beneficiaries.

Participating manufacturers are required to offer a minimum 8 per cent discount on the ex-showroom price of qualifying replacement vehicles.

This discount is available as part of the incentive package for eligible vehicle owners participating in the scheme.

Fuel And EV Incentives

The scheme also provides separate incentives depending on the type of replacement vehicle purchased.

Owners purchasing BS-VI diesel or CNG vehicles can receive monthly fuel vouchers for five years. The monthly value ranges from ₹1,200 to ₹4,800, depending on the vehicle category.

For those purchasing electric vehicles, the scheme provides a one-time incentive ranging from ₹64,000 to ₹2.56 lakh, also depending on the vehicle category.

The structure gives eligible owners an option between cleaner internal-combustion vehicles and electric alternatives.

Awareness Campaign Expanded

The government is also conducting awareness campaigns across Delhi-NCR to inform eligible vehicle owners about the scheme, its benefits and the registration process.

The campaign includes print, electronic and digital media, along with outdoor publicity.

Information is being displayed at fuel stations, transport nagars, toll plazas and Regional Transport Offices (RTOs) across the National Capital Region.

The objective is to ensure that eligible vehicle owners are aware of the financial incentives and register on the PARIVARTAN portal.

Cleaner Vehicles Targeted

The programme is primarily aimed at reducing emissions from older commercial vehicles operating across the NCR.

By encouraging the replacement of BS-IV and older trucks and buses with newer BS-VI or cleaner vehicles, including EVs, the government expects to address a significant source of transport-related emissions.

The scheme's focus on commercial vehicles is particularly important because trucks and buses account for substantial vehicle use and fuel consumption.

What Happens Next

The government will continue efforts to expand participation in the PARIVARTAN scheme and bring more eligible vehicle owners into the registration process.

As of August 27, more than 1,300 beneficiaries had registered, while the participation of 42 financial institutions and 15 OEMs provides the programme with a broader financing and vehicle-purchase network.

The ongoing awareness campaign is expected to play a key role in increasing registrations across Delhi-NCR.

With incentives covering vehicle loans, road tax, registration fees, manufacturer discounts, fuel vouchers and electric vehicles, the scheme is designed to make the transition away from older commercial vehicles financially more viable while supporting the broader effort to reduce air pollution in the National Capital Region.