In a bid to address vehicular pollution, which is a significant source of air quality issues in the capital, the Union Cabinet has on Wednesday authorized a two-year initiative focused on ‘cleaner mobility’. This program has a budget allocation of Rs 9,585 crore aimed at replacing outdated trucks and buses in the Delhi-NCR region, as stated by government officials. The initiative encourages owners of trucks and buses that adhere to older emissions standards, such as BS-IV, to upgrade their vehicles to those meeting BS-VI standards or more stringent requirements, including electric vehicles. However, it is important to note that government-operated vehicles are not eligible for this scheme.
According to officials, state governments will facilitate this transition by eliminating registration fees and offering up to 100 percent concessions on motor vehicle taxes for new vehicles, and 50 percent for used ones, for a duration of ten years. They will also relieve owners of any outstanding dues related to the old vehicles that are part of this initiative.
The central government will support the scheme by providing a 5 percent interest subsidy on loans for five years, fuel vouchers amounting to Rs 4,800 per month based on the type of vehicle, as well as one-time benefits for electric vehicle purchases or trading certificates. Of the total Rs 9,585 crore, Rs 5,041 crore will be financed by the central government, while approximately Rs 1,601 crore will be contributed through tax concessions by the involved states.
This initiative will be managed by the National Capital Region Planning Board (NCRPB), operating under the Ministry of Housing and Urban Affairs, in partnership with the states and union territories including Delhi, Haryana, Rajasthan, and Uttar Pradesh, officials reported.
The importance of this initiative is underscored by the fact that the transportation sector is responsible for 14 percent of PM 2.5 pollution, 40 percent of carbon monoxide emissions, and 63 percent of nitrogen dioxide emissions in the Delhi-NCR area.
Within the transportation sector, trucks and buses contribute to 36 percent of PM 2.5 emissions despite representing only 3 percent of the total vehicle fleet. Officials noted that a single heavy-duty vehicle that predates BS norms can produce emissions equivalent to those of 14 BS-VI compliant vehicles. Even BS-IV vehicles have been found to emit 2.7 times more pollutants than their BS-VI counterparts.
There are approximately 2.07 lakh vehicle owners (including 1.91 lakh trucks and 16,329 buses) in the Delhi-NCR region. However, the current scheme will not extend benefits to those with vehicles that meet BS-III standards or older. Such vehicles will need to be scrapped at authorized facilities, while owners of BS-IV vehicles will have the option to either scrap them or sell them in non-National Clean Air Programme (NCAP) areas, which are regions meeting National Ambient Air Quality standards.
Owners will be required to purchase and register a new vehicle that complies with BS-VI or stricter norms, or an electric vehicle within the NCR. In Delhi specifically, Light Goods Vehicles acquired under this program must be electric, while buses are required to be either BS-VI CNG (Compressed Natural Gas) or electric, as per the government’s announcement.
Nikhil Ghanekar, an accomplished journalist with 14 years of experience, serves as an Assistant Editor at the National Bureau of The Indian Express in New Delhi. His expertise lies in environmental policy, where he monitors significant decisions and operations of the Ministry of Environment, Forest and Climate Change. He also reports on the activities of the National Green Tribunal and examines the implications of environmental policies on wildlife conservation, forestry, and climate change.
Having joined The Indian Express in 2024 and hailing from Mumbai, Nikhil has previously contributed to various publications including Tehelka, Hindustan Times, DNA Newspaper, News18, and Indiaspend. Over the past decade and a half, he has covered a diverse array of topics ranging from sports and current events to civic issues, city-focused environmental news, central government policies, and political matters.
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