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Clarify stand on diesel vehicles: NGT to Centre, Delhi govt

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Press Trust of India New Delhi
The National Green Tribunal today directed the Centre and Delhi government to clarify their stand by tomorrow on causes of pollution in the capital besides capping and scrapping of old diesel vehicles after car dealers sought modifications in its "harsh" order.

The green panel issued notices to Ministries of Road Transport, Environment and Forests and Heavy Industries as well as Delhi government and others while hearing the plea of car dealers seeking modification of order banning registration of new diesel vehicles till January six.

"What is the cause of pollution? Some authorities say vehicles do not cause pollution while others say dust does not cause pollution. What is the reason?
 

"Central Pollution Control Board, Delhi Pollution Control Committee, NCT Delhi, Ministry of Road Transport will take a clear stand by tomorrow on the cause of pollution and capping/scrapping of old diesel cars," a bench headed by NGT Chairperson Justice Swatanter Kumar said.

Senior advocate Pinaki Misra, appearing for five Delhi- based car dealers, said the tribunal has passed a "harsh" direction by ordering that there would be no registration of new diesel vehicles and it would have "cascading" effect.

"We are saddled with stocks of 2015 which would be difficult to dispose in 2016 due the order passed by NGT. We are totally compliant vehicles as per Bharat stage-IV emission norms under Central Motor Vehicles Rules, 1989. I am being punished for no fault of mine," Misra said.

He asked the tribunal to modify the order so that the existing stocks of diesel cars be sold as this was the month for giving massive discounts and high sale was expected.

The green panel, however, said that a similar matter was scheduled for hearing in Supreme Court so it will not be proper for it to pass any directions.

"If a similar matter is there in Supreme Court, it would be improper on our part to say anything. We should wait for SC's order," the bench said.

The Tribunal directed all authorities to file their replies by tomorrow with a clear stand on capping/ scrapping of old cars and providing incentives to those scrapping their old diesel vehicles.

The petition seeking modification has been filed by five car dealers -- Koncept Automobiles (Lajpat Nagar), Koncept Cars India Pvt Ltd (Green Park), Ford-Rain Automotive India (Mathura Road), Hana Motor Plaza Pvt Ltd (Mathura Road) and Nath Motors Pvt Ltd (Mathura Road)-- engaged in sale of vehicles of Mahindra & Mahindra, Hyundai, Honda and Ford.
The Tribunal clarified that it has no doubts on the odd

even plan of Delhi government and only wants its proper implementation to get desired results.

"We have no doubts on the scheme. We observed certain things just because we want results out of it. Government is the final authority in the matter. It is for them to take a stand," it said.

The green bench also asked the Ministry of Petroleum as to why the petrol pumps were sellimg diesel to vehicles which were more than then years old.

Slamming the authorities for not taking a clear stand on the issue of capping and scrapping of old diesel vehicles, it said,"a permanent ban is not a solution to the problem. If you can't have a multi-dimensional check then give us a solution. We have been asking you take a view for more than a year now but you have done nothing."

The bench said the authorities need the requisite will to implement the orders and said," If China can ban all the cars in two days, why can't we."

In their application, the car dealers have contended that they deal with the manufacture of the vehicles on a principal- to-principal (where no middlemen are involved) basis and as a part of their business model, based on the demand for the vehicle in the market, they place an order for a certain number of vehicles on the manufacturer.

"The manufacturer deliver to the applicants the ordered quantity of vehicles as per the order placed. The applicants take term loans known as inventory loan for the purpose of purchase of vehicle from the manufacturer.

"The vehicles are thereafter retained as inventory stock of the applicant. Based on estimated demand, the applicants had purchased a certain number of diesel vehicles manufactured in the year 2015. Upon purchase of the vehicle by the consumer, the vehicle is required to be registered with the RTO," it said.

The plea further adds that before registration of vehicles in accordance with the Motor Vehicles Act, the vehicles can not be delivered by the dealer to the customer and be brought on the road. This prohibition against registration, therefore, has the practical effect of putting an embargo on the sale of the vehicle.

"A consumer seeking to purchase a vehicle in 2015 is interested in purchasing a unit manufactured in the same year and not the previous year since a year's difference in the manufacture and registration of vehicle makes a substantial difference on the re-sale value of the vehicle," the petition added.

As an interim measure, the Tribunal had ordered that the diesel-run vehicles will not be registered in Delhi and there will be no renewal of registration of such vehicles which are more than 10-year-old.

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First Published: Dec 15 2015 | 7:07 PM IST

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