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Government May Introduce 30% Green Tax on Diesel Vehicles Soon

The newest directive in the endeavour to manage diesel vehicles and control pollution in the city may include the levy of a 'green tax'.
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By car&bike Team

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1 mins read

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Published on April 21, 2016

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Highlights

  • Supreme Court will rule will on the measure during a hearing on April 30
  • EPCA advised introduction of a green tax of 30% on diesel vehicles
  • Auto industry believes contribution of cars to pollution is quite small
Delhi's struggle with pollution has lead the government to adopt numerous corrective and preventive measures recently. Case in point, the odd even rule, ban on diesel cars above 2000cc and on the transit entry of commercial vehicles. The newest directive in the endeavour to manage diesel vehicles and control pollution in the city may include the levy of a 'green tax'. The Supreme Court will rule on the measure during a hearing on April 30.

With the hearing date fast approaching, according to an ETAuto report, the Environment Pollution Control Authority (EPCA) advised the introduction of a green tax of 30% on diesel vehicles.

As the government continues to work on such measures, the automobile industry unanimously states that the contribution of cars to pollution is quite small. However, with the ban on diesel vehicles with engine capacities bigger than 2000cc still in place, carmakers have resorted to introduction of relatively smaller capacity engines on their affected models. Mahindra and Mahindra launched an all-new 1.99-litre mHawk diesel engine for Delhi and NCR in January. Additionally, Tata Motors is also rumoured to be working on smaller capacity diesel engines. Interestingly, Toyota is taking a different approach to the ban and is allegedly working on petrol engines instead.

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Last Updated on April 21, 2016


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