The Union Cabinet on Wednesday approved a two-year scheme with an outlay of Rs 9,585 crore aimed at replacing old trucks and buses in the Delhi-NCR region to counter air pollution.
The scheme will be implemented through the National Capital Region Planning Board (NCRPB) and will seek to incentivise owners of BS-IV and older commercial vehicles to shift to cleaner BS-VI-compliant or electric vehicles. The programme will be jointly implemented by the Ministry of Road Transport and Highways and the Ministry of Petroleum and Natural Gas in coordination with Delhi, Haryana, Rajasthan and Uttar Pradesh, the government announced.
The scheme’s outlay of Rs 9,585 crore includes Rs 5,041 crore from the Central Government and an estimated Rs 1,601 crore in tax concessions from participating states.
The government said the initiative could benefit nearly 2,07,000 vehicle owners, including 1,91,000 trucks and over 16,000 buses, across Delhi-NCR.
The move comes amid continued concerns over severe air pollution in Delhi-NCR, especially during winters, where vehicular emissions remain a major contributor to poor air quality.
The government said a single pre-BS heavy-duty vehicle emits as much pollution as 14 BS-VI vehicles, while a BS-IV vehicle emits 2.7 times more than a BS-VI counterpart.
Under the scheme, BS-III and older vehicles will have to be compulsorily scrapped at registered vehicle scrapping facilities.
BS-IV vehicles can either be scrapped or sold outside NCR in non-NCAP cities and towns. To avail benefits, owners will be required to purchase and register BS-VI-compliant or electric vehicles within NCR.
The Union Cabinet also cleared a range of financial incentives for vehicle replacement where the government will provide a 5 per cent interest subvention on vehicle loans for five years, monthly fuel vouchers of up to Rs 4,800 depending on vehicle category and lump-sum incentives for electric vehicle purchases or certificate-of-deposit trading.
