Electric vehicles reduce pollution only if a high percentage of the electricity mix comes from renewable sources and if the battery manufacturing takes place at a site far from the vehicle use region. Industries developed due to increased electric vehicle adoption may also cause additional air pollution. The Indian government has committed to solving New Delhi’s air pollution issues through an ambitious policy of switching 100% of the light duty consumer vehicles to electric vehicles by 2030. This policy is based on vehicle grid interaction and relies on shared mobility through the electric vehicle fleet. There are several human behavioral changes necessary to achieve 100% adoption of electric vehicles. This paper reviews different steps in the lifecycle of an electric vehicle (EV), their impact on environmental emissions, and recommends policies suitable for different socio-economic group that are relevant to the Indian market. To reduce air pollution through adoption of electric vehicles, the Indian government needs to adopt policies that increase sale of electric vehicles, increase percentage of renewable energy in the electricity mix, and prevent air pollution caused from battery manufacturing. The recommended policies can be customized for any market globally for reducing air pollution through increased adoption of electric vehicles.