Auto stocks today gained up to 3 per cent after the Supreme Court lifted its embargo on registration of high-end diesel cars and SUVs having engine capacity of 2000cc and above in Delhi and NCR.
Shares of Tata Motors rose by 2.58 per cent, while Mahindra & Mahindra gained 2.12 per cent and Maruti Suzuki India went up by 0.28 per cent on BSE.
The BSE auto index also gained 1.07 per cent to end at 21,404.80.
The Supreme Court today lifted its embargo on registration of high-end diesel cars and SUVs having engine capacity of 2000cc and above in Delhi and National Capital Region on payment of one per cent of the ex-showroom price of such vehicles as green cess.
The apex court said that the one per cent amount, charged as environment protection charge, shall be paid with Central Pollution Control Board (CPCB) which will open a separate account with a scheduled public sector bank.
The direction modifying its December 16, 2015 order came on a plea of automobile giants.
Automobile industry today welcomed the Supreme Court decision to lift ban on cars and SUVs with diesel engine capacity of 2,000cc and above in Delhi-NCR but said efforts must be made to address the real cause of pollution instead of targetting a particular type of fuel.
Welcoming the apex court's decision, Mahindra & Mahindra Executive Director Pawan Goenka, said: "We are very relieved with the decision of the Honourable Supreme Court today. Hope this decision will put all controversy surrounding diesel fuel behind us and we will be able to focus on the more important task of making our vehicles compliant with BS 6 norms by April 2020.
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