Chief Minister Arvind Kejriwal on Friday launched 'Delhi Electric Vehicle Policy' under which his government will waive registration fee and road tax, and provide incentive of up to Rs 1.5 lakh for new cars in the national capital.

Addressing an online media briefing, he said the policy, which aims to boost the economy, will create jobs and reduce pollution level.

The chief minister termed it a "progressive policy" of the country and said it also aims to constitute 25 per cent electric vehicles by 2024, which is currently just 0.29 per cent in the city.

Under the policy, the Delhi government will give incentive of up to Rs 30,000 for two-wheelers, autos, e-rickshaws and freight vehicles while for cars, it will provide an incentive of up to Rs 1.5 lakh, he said.

He confirmed that the AAP government will also give low-interest loan on electric commercial vehicles.

"After launching this policy, we expect five lakh new electric vehicles in the next five years...the Delhi government will set up dedicated 'EV Cell' to implement the policy," Kejriwal said.

He said the government will also set up a 'State Electric Vehicle Board', adding that his government will set up 200 charging stations in one year and ensure that people driving these vehicles can get a charging station within the radius of three kilometers.

The Delhi government will give a ''scrapping incentive'' under the electric vehicle policy, which will be first-of-its-kind in the country.

"We are also going to give a scrapping incentive for those wanting to exchange their petrol or diesel-run vehicles. In the country, this is the first time that scrapping incentive is being given," the chief minister said.

Initially, this policy will be for three years and thereafter, the government will review it, he said, adding that if needed, amendments will be made during three years.

The chief minister said that at present, there is already the Centre's scheme on electric vehicles called 'Fame India Phase-2', under which the Union government also provides some incentives.

The Delhi government's electric vehicle policy will be an addition to the Centre's scheme and people can also avail benefits under both the schemes, Kejriwal said.

He said youth will be trained so that they get jobs as electric vehicle sector will need them at a large scale after implementation of this policy.

According to him, there has been a 25 per cent reduction in pollution level in Delhi in the last five years and the policy also aims to reduce pollution in the national capital.

"We are not satisfied with it (25 per cent). We do not need such development where pollution level is high," Kejriwal said.

China is the first name to be taken when there is a discussion about electric vehicles in the world, he said.

"I hope that after five years, the name of Delhi will come atop due to this policy when there is a discussion on electric vehicles in the world...

"Delhi Electric Vehicle Policy has been prepared after a detailed discussion in the last two-and-a-half years. It has not been prepared sitting in an AC room," the chief minister said.

Kejriwal exuded confidence that after five years, Delhi Electric Vehicle Model' will also be discussed in the country.