What EV push? Govt may give into automaker’s demands due to sector slump

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Contrary to the government’s intent of quick electric vehicle (EV) adoption in the country, it is likely to be lax on enforcement, citing the auto sector’s dismal performance, reports the Times of India.

Moneycontrol could not independently verify the report.

The industry too has been seeking some leeway in light of the present slump, which saw sales nosedive at a rate not seen in the past 18 years.

As per the report, some officials in the government favour an incremental shift towards EVs rather than a headstrong sector 'disruption', which may affect significant livelihoods and the economy at large.

The proposed ban on internal combustion engines (ICE) up to 150cc for two and three-wheelers would also not be pressed, the article quoted a source as saying. Departments were asked to hold initiatives, including the proposed hike in registration charges (from Rs 600 to Rs 5,000) for petrol and diesel vehicles, it noted.

In a meeting with Finance Minister Nirmala Sitharaman and Heavy Industries Minister Arvind Sawant, automakers brought up the issue of increased registration charges and EV push as key reasons for the present downturn in the sector.

Auto body Society of Indian Automobile Manufacturers (SIAM) has demanded that BS-IV vehicle registrations be allowed after the April 1 deadline, so that manufacturers can exhaust production undertaken till March-end, it added.