Transport ministry okays green tax on vehicles over 8 years old: Gadkari

Proposal to go to states before notification; lower rate for public transport, EVs exempt

The Union Minister for Road Transport and Highways Nitin Gadkari on Monday said his department has approved a proposal to levy ‘green tax’ on old vehicles polluting the environment. The proposal will go to the states for consultation before it is formally notified.

According to the proposal, green tax will be imposed on transport vehicles older than eight years at the time of renewal of the fitness certificate — at the rate of 10-25 per cent of road tax. Personal vehicles will also be charged the same levy at the time of renewal of registration certification after 15 years.

Public transport vehicles,