New Delhi | The Ministry of Housing and Urban Affairs (MoHUA) has approved the operational guidelines for the PARIVARTAN (Programme for Accelerated Renewal and Incentivization of Vehicle Assets for Reducing Transport Air Pollution and Network Emissions) Scheme. The initiative aims to accelerate the replacement of ageing, highly polluting trucks and buses with cleaner Bharat Stage (BS)-VI compliant and electric vehicles.
The scheme, approved by the Union Cabinet on 3 June 2026, has a total financial outlay of ₹9,585 crore, including ₹5,041 crore in Central Government support. With the approval of the guidelines by Union Minister for Housing and Urban Affairs Shri Manohar Lal, the programme is now ready for implementation. The Ministry of Road Transport and Highways (MoRTH) will implement the scheme through the National Capital Region Planning Board (NCRPB).
The PARIVARTAN Scheme aligns with Prime Minister Shri Narendra Modi’s vision of reducing vehicular pollution in Delhi-NCR by encouraging a transition to cleaner mobility. It builds upon previous efforts to reduce emissions from heavy commercial vehicles and aims to improve regional air quality while promoting sustainable transport.
Comprehensive Incentive Package
To encourage vehicle owners to replace old commercial vehicles, the scheme offers a range of financial incentives, including:
- Motor Vehicle Tax concession
- Registration fee waiver
- 5% interest subvention on vehicle loans
- Minimum 8% Original Equipment Manufacturer (OEM) discount on eligible vehicles
- Monthly fuel voucher support for eligible diesel and CNG replacement vehicles
- One-time financial assistance for electric replacement vehicles
- Support for Certificate of Deposit (CoD) trading
These incentives are designed to reduce the financial burden on fleet operators while promoting the adoption of cleaner transport technologies.
States and Industry Extend Support
The governments of Delhi, Haryana, Uttar Pradesh, and Rajasthan have already issued notifications granting a 10-year Motor Vehicle Tax concession and registration fee waiver for eligible vehicles purchased under the scheme.
Additionally, 11 Original Equipment Manufacturers (OEMs), representing over 95% of India’s commercial vehicle market, have signed Memoranda of Understanding (MoUs) with MoRTH to provide the mandatory OEM discount to eligible beneficiaries.
Fully Digital Implementation
The PARIVARTAN Scheme will operate through an integrated digital platform connected with VAHAN, V-Scrap, DigiELV, the Public Financial Management System (PFMS), participating lenders, and fuel voucher systems. This digital ecosystem aims to ensure transparent, seamless, and efficient delivery of benefits to vehicle owners.
Minister Highlights Cleaner Future for NCR
Union Minister for Housing and Urban Affairs and Chairman of NCRPB, Shri Manohar Lal, described the approval of the guidelines as a landmark step for the region.
He stated that the scheme would significantly reduce pollution caused by ageing trucks and buses, improve the Air Quality Index across Delhi-NCR, and provide meaningful relief to millions of residents through cleaner air and healthier living conditions.
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