The interim ban on sale of new Diesel Cars of 2000 cc and above in the National Capital Region (NCR) has been directed by the Hon’ble Supreme Court of India on 16th December 2015. Department of Heavy Industry, Government of India has submitted an affidavit to Hon’ble Supreme Court with request to modify the order dated 16th December 2015 imposing ban on sale & registration of new diesel vehicles of engine capacity more than 2000 cc. The Department also submitted that BS IV emission norms is the most stringent emission norms in country and to ban a category of vehicle which is meeting the stringent emission regulations and all other laws and regulations of the country, is unjustified.

A circuit Bench of Southern Bench of Green Tribunal had already banned sale of new 2000cc and above Diesel Cars in the State of Kerala in May 2016. However, a stay on the same was granted by the Hon’ble Kerala High Court. The matter is again to be heard in Kerala by the NGT Circuit Bench.

Decisions on new investments in the entire automotive sectors across the country has certainly stopped for the last six months as it seems Auto Industry is skeptical on the sustenance of the existing policies of the Government in light of the recent direction by Hon’ble Courts and Tribunals.

The Department of Heavy Industry, Ministry of Heavy Industries & Public Enterprises submitted application for impleadment in the matter of Vardhman Kaushik & Ors vs. UOI & Ors [OA No. 21 of 2014, 95 of 2015 and 303 of 2015] before the Hon’ble National Green Tribunal on 28th May 2016 with the request Hon’ble Tribunal may not apply any restrictions on sale and registration of new vehicles, which are complying with the Statutory emission norms irrespective of fuel used, in any city.

This information was given by Minister of State In the Ministry of Heavy Industries and Public Enterprises Shri Babul Supriyo in reply to a written question in the Rajya Sabha on 27.07.2016