A day ahead of the Supreme Court hearing on ban on big diesel cars and SUVs in the Capital and NCR, auto industry body SIAM on Friday said such restriction is not going to achieve the desired objective of reducing pollution and will only vilify diesel technology.
The Society of Indian Automobile Manufacturers (SIAM) also said due to uncertainty arising out of the ban on diesel cars and SUVs of 2,000 cc and above engines, many MNCs have decided to freeze further investments in India until complete clarity is achieved on key policy issues.
“...ban on diesel vehicle is not going to achieve the desired objective of reducing pollution, but will vilify diesel technology which has gone through a major transformation over the last 15 years and today is highly clean, as well as energy efficient,” SIAM said in a statement.
A ban on BS IV diesel cars legally encourages old and highly polluting vehicles not meeting the current emission norms, to continue plying on the road, while not allowing new vehicles compliant with current emission norms to be used, it added. “This is contrary to the objective of the ban. It also gives an impression that there is no stability or predictability in the policy regime which will deeply dent the country’s global image as an investment destination and the ‘Make in India’ priority,” the auto industry body said.
Highlighting the implications of such decisions, SIAM said: “Many auto MNCs have already taken a decision to freeze further investments in India until complete clarity is achieved on key policy issues which can have a bearing on their business prospects in India.”