New Delhi/Mumbai, April 24 -- A draft policy floated by the Delhi government proposing to grant hybrid cars the same benefits as fully electric cars has generated waves of concern among homegrown carmakers. Most such automakers have committed vast sums to battery electric vehicle (BEV) technology, and their development roadmap does not include hybrids.

A draft of the policy-Delhi Electric Vehicles Policy 2.0-shared with automakers for their comments on Tuesday mentions that the National Capital Territory of Delhi will waive road tax and registration fees on electric cars priced up to Rs.20 lakh ex-showroom.

The waiver has also been extended to strong hybrid EVs (SHEVs) and plug-in hybrid EVs (PHEVs) with a similar price cap "acknowledging...