Indian Government Might Provide Extension On BSIV Powertrains Registration
The government is expected to take under consideration the BS IV powertrains registration after April 1, 2020. If the government approves such an extension then this will give great relief to the automobile industry. According to the draft rules made by the Ministry of Road Transport and Highways for the amendment to the Central Motor Vehicles (Amended) Rules 2017, automobile companies will not be able to make the BS IV vehicle after March 31, 2020, but the registration of those powertrains made before June 30, 2020, can be done. Apart from this, only registration of powertrains coming out with chassis will be done until September 30, 2020.
On the condition of not disclosing the identity, a senior executive of the company making commercial vehicle said, “Transition will be more systematic in BSVI Emission Norms from April 1, 2020. Manufacturing companies cannot make powertrains with BSIV emission Norms after March 31, 2020, but the facility of registration of these trains will also be done after April 1, 2020.
According to the draft notification issued by the Road Transport Ministry, registration of new motor vehicles with Bharat Stage IV emission standard built before April 1, 2020, will not be made after June 30, 2020. It has also been mentioned in the notification that, powertrains created before April 1, 2020, will not be able to register after the registration of new motor vehicles of the M and N category, which will be sold only with chassis, after the stage IV emission norms, after September 30, 2020. Motorcycles used as passenger vehicles come in M category while freight vehicles are of N category.
By finalizing the draft rules, its notifications will be released after the investigation of comments and suggestions received from the stakeholders by the end of this month. After the notification of final rules is issued, those vehicle manufacturing companies can be expected to get relief, who have stock of more than 8,24,000 vehicles. There are 6,71,000 two-wheelers, 96,700 commercial vehicles, 40,048 three-wheelers, and 16,198 passenger vehicles in car segment, whose total cost was fixed at Rs 14,000 Crore on March 29 this year.
When the Supreme Court ordered the ban over the manufacturing of BSIII trains to ban the cars, they had to remove the entire stock after giving record discounts within two days of the judgment. However, despite the distributed units, 1,20,000 BS-III cars worth Rs 5,000 Crore were left with the manufacturing companies.