{"id":9675,"date":"2023-10-12T10:20:00","date_gmt":"2023-10-12T10:20:00","guid":{"rendered":"https:\/\/legalmitra.com\/?p=9675"},"modified":"2023-12-11T11:29:18","modified_gmt":"2023-12-11T11:29:18","slug":"a-genuine-shift-or-a-smokescreen","status":"publish","type":"post","link":"https:\/\/legalmitra.com\/index.php\/2023\/10\/12\/a-genuine-shift-or-a-smokescreen\/","title":{"rendered":"A Genuine Shift or a Smokescreen?"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"9675\" class=\"elementor elementor-9675\">\n\t\t\t\t\t\t\t\t\t<section class=\"has-el-gap el-gap-default elementor-section elementor-top-section elementor-element elementor-element-9f19a45 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9f19a45\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-no\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-177384a\" data-id=\"177384a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-66 elementor-top-column elementor-element elementor-element-3baf378\" data-id=\"3baf378\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-d1271a1 elementor-widget elementor-widget-image\" data-id=\"d1271a1\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.13.3 - 28-05-2023 *\/\n.elementor-widget-image{text-align:center}.elementor-widget-image a{display:inline-block}.elementor-widget-image a img[src$=\".svg\"]{width:48px}.elementor-widget-image img{vertical-align:middle;display:inline-block}<\/style>\t\t\t\t\t\t\t\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"590\" height=\"350\" src=\"https:\/\/legalmitra.com\/wp-content\/uploads\/2023\/10\/diesel-cars-1539903.jpg\" class=\"attachment-large size-large wp-image-9679\" alt=\"\" srcset=\"https:\/\/legalmitra.com\/wp-content\/uploads\/2023\/10\/diesel-cars-1539903.jpg 590w, https:\/\/legalmitra.com\/wp-content\/uploads\/2023\/10\/diesel-cars-1539903-300x178.jpg 300w, https:\/\/legalmitra.com\/wp-content\/uploads\/2023\/10\/diesel-cars-1539903-150x89.jpg 150w, https:\/\/legalmitra.com\/wp-content\/uploads\/2023\/10\/diesel-cars-1539903-450x267.jpg 450w\" sizes=\"auto, (max-width: 590px) 100vw, 590px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-fb2638f elementor-widget elementor-widget-text-editor\" data-id=\"fb2638f\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.13.3 - 28-05-2023 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<blockquote><h5>\u00a0The sincerity of the proposed diesel vehicle tax increase in promoting environmental sustainability remains unclear. It leaves us pondering whether it represents a significant step towards progress or merely gives an illusion of advancement.<\/h5><\/blockquote>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-34268b5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"34268b5\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-ae739d4\" data-id=\"ae739d4\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-6f80ed3 elementor-drop-cap-yes elementor-drop-cap-view-default elementor-widget elementor-widget-text-editor\" data-id=\"6f80ed3\" data-element_type=\"widget\" data-settings=\"{&quot;drop_cap&quot;:&quot;yes&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">In recent years, diesel vehicles have come under increased scrutiny and faced growing pressure from governments and environmental advocates around the world. In India, this pressure has manifested in discussions about higher taxes on diesel vehicles, with Road Transport Minister Nitin Gadkari recently stirring the pot by suggesting the possibility of imposing an additional 10% GST as a &#8220;pollution tax&#8221; on such vehicles.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">However, Gadkari later backtracked that there is currently no active proposal for such a tax hike under consideration by the government. He emphasised the government\u2019s dedication to combating air pollution caused by harmful fuels like diesel and promoting cleaner alternatives. Despite this clarification, his initial statement had a significant impact on the stock market, particularly affecting the automotive sector. This reaction was driven by the perception that Minister\u2019s comments were consistent with wider policy discussions about diesel vehicles in India.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">Gadkari\u2019s remarks have reignited debates about the possible hike in rates and its implications for the future of diesel cars in India. Given the existing tax rate of 28% on diesel cars, coupled with an extra cess based on engine capacity, leading to a total tax burden of nearly 50% on these vehicles, it hasn\u2019t been beneficial over the years. This substantial tax structure has led to questions about the rationale behind a fresh initiative to raise the taxation when it hasn\u2019t been successful in reducing vehicle sales.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">Interestingly, just over three months, a committee appointed by the Ministry of Petroleum and Natural Gas proposed phasing out diesel four-wheelers by 2027 in cities with populations exceeding 1 million. This proposal is part of a larger initiative aimed at reducing greenhouse gas emissions and promoting the transition to electric and gas-powered vehicles.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has-el-gap el-gap-default elementor-section elementor-top-section elementor-element elementor-element-2e33cb0 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2e33cb0\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-no\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-2f7e0ea\" data-id=\"2f7e0ea\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-9a044f1 elementor-drop-cap-yes elementor-drop-cap-view-default elementor-widget elementor-widget-text-editor\" data-id=\"9a044f1\" data-element_type=\"widget\" data-settings=\"{&quot;drop_cap&quot;:&quot;yes&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\"><img loading=\"lazy\" decoding=\"async\" class=\"alignleft\" src=\"https:\/\/etimg.etb2bimg.com\/photo\/99117797.cms\" alt=\"Mumbai-Goa highway work to be completed by December: Nitin Gadkari, ET  TravelWorld\" width=\"435\" height=\"326\" \/>This situation raises the question, Is the minister\u2019s move a genuine shift towards cleaner energy policies, or is it a strategic attempt to downplay the recommendations of the Energy Transition Advisory Committee (ETAC), also known as the Tarun Kapoor Committee? The sincerity of the proposed diesel vehicle tax increase in promoting environmental sustainability remains unclear. It leaves us pondering whether it represents a significant step towards progress or merely gives an illusion of advancement. <\/span><\/p><h3 class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The Global Pushback Against Diesel Vehicles<\/span><\/h3><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The global resistance against diesel vehicles is not limited to India. Countries around the globe are taking steps to cut down on diesel use due to its significant contribution to air pollution and greenhouse gas emissions. For instance, the European Parliament has passed a law to prohibit the sale of petrol and diesel cars from 2035 onwards. Similarly, the United Kingdom is planning to ban the sale of new petrol and diesel cars by 2030. These actions reflect a growing consensus that diesel is not a sustainable option for the future.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">In India, diesel makes up about 40% of petroleum product consumption. Despite the advantages of diesel engines, such as higher fuel economy and torque, they emit higher levels of pollutants, including nitrogen oxides (NOx). The negative image of diesel was further amplified by the Volkswagen scandal in 2015, which exposed cheating on emissions tests.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">Moreover, the transition to Bharat Stage VI (BS-VI) emission norms in India presented a significant challenge for car manufacturers. The high costs associated with upgrading diesel engines to meet these standards led many automakers, including Maruti Suzuki, Tata Motors, Mahindra, and Honda, to withdraw from the diesel segment. As a result, the contribution of passenger vehicles to overall diesel demand has significantly decreased.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The Indian automotive market is currently witnessing a significant shift in consumer preferences regarding diesel vehicles. According to recent data, diesel cars have seen a substantial decline in their market share, accounting for less than 20% of total passenger vehicle sales during the fiscal year 2021-22. This trend has continued into 2023, with the share of diesel vehicles in the passenger vehicle segment dropping to approximately 18% from January to July. This is a significant decrease from their peak at 47.9% in 2014.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">Interestingly, the luxury car segment tells a different story. Diesel variants have seen a slight increase in their market share, rising from 31% in 2021 to 33% in the current year.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">In terms of automakers, Mahindra and Mahindra lead the pack with the highest market share for diesel cars. They have secured a substantial 47% of unit sales so far in 2023, marking a significant increase from their 28% market share in 2021. Hyundai and Kia follow closely behind.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has-el-gap el-gap-default elementor-section elementor-top-section elementor-element elementor-element-49a751b elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"49a751b\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-no\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-9a88bed\" data-id=\"9a88bed\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-c4bef96 elementor-widget elementor-widget-text-editor\" data-id=\"c4bef96\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-size: 16.604px; font-family: 'Public Sans', system-ui, sans-serif; font-weight: var(--title-fw-bold);\">ALSO READ<\/span><\/p><p><a href=\"https:\/\/legalmitra.com\/index.php\/2023\/12\/11\/mahabharats-yudhishthira-faces-off-against-johny-llb-in-the-wacky-world-of-surrogacy-rights\/\"><span style=\"color: #ff0000;\"><strong>MAHABHARAT\u2019S YUDHISHTHIRA FACES OFF AGAINST JOHNY LLB<\/strong><\/span><\/a><\/p><p class=\"is-title post-title\">\u00a0<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has-el-gap el-gap-default elementor-section elementor-top-section elementor-element elementor-element-d1ce23e elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"d1ce23e\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-no\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-f2b175d\" data-id=\"f2b175d\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-86ed2cc elementor-widget elementor-widget-text-editor\" data-id=\"86ed2cc\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">These evolving dynamics in the Indian automotive market highlight changing consumer preferences and industry trends, particularly regarding diesel vehicles. It\u2019s crucial to keep an eye on these shifts as they have implications for both manufacturers and policymakers.<\/span><\/p><h3 class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">Diesel Vs. EV, A Cleaner Alternative<\/span><\/h3><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The broader context of emissions is vital when assessing the future of diesel vehicles. Electric vehicles (EVs) have surfaced as a cleaner substitute to both petrol and diesel cars. Despite debates about the environmental impact of EVs based on their charging methods, they generally emit less carbon, sulfur dioxide, and nitrogen dioxide than vehicles with internal combustion engines.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\"><img decoding=\"async\" src=\"https:\/\/www.zdnet.com\/a\/img\/resize\/4a2f43853f8b2487b870073616c7f7b433b45340\/2021\/10\/06\/19458eb4-a780-4320-9614-50dd99948a93\/electirc-vehicles.jpg?auto=webp&amp;fit=crop&amp;height=900&amp;width=1200\" alt=\"The automotive industry is racing towards electric vehicles | ZDNET\" \/>Efforts are underway globally to reduce emissions from the transportation sector. India, aligning with these global efforts, has set ambitious goals to electrify a significant portion of its vehicle fleet by 2030.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The discussions about diesel vehicles in India and worldwide underscore the necessity for a balanced strategy that addresses environmental issues while considering the economic implications for consumers and manufacturers. The transition to cleaner fuels and technologies needs careful management to ensure a sustainable future.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The potential additional tax on diesel vehicles may not be immediate but it signifies the government\u2019s dedication to emission reduction and cleaner alternatives promotion. As technology progresses and EV infrastructure enhances, consumers can anticipate more options that are eco-friendly and cost-effective.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The global move away from diesel vehicles indicates an increasing consciousness about pollution reduction and climate change combat. India, being one of the largest automotive markets globally, is actively involved in this transition. As technology progresses and emission standards tighten, both the automotive industry and consumers need to adapt to a landscape focused on sustainability and cleaner transportation solutions.<\/span><\/p><p class=\"Default\" style=\"margin-bottom: 20.0pt;\"><span style=\"font-family: 'Helvetica','sans-serif'; color: #374151;\">The Minister\u2019s proposal aligns with broader policy discussions aimed at reducing air pollution and greenhouse gas emissions. The future of diesel vehicles in India may be at a turning point, and all stakeholders should keep a close eye on this evolving narrative. Whether this proposal represents a genuine policy shift or merely a diversion is yet to be seen, but it certainly highlights the urgency to address environmental issues in India\u2019s transportation sector.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1b4d2c7 elementor-widget-divider--view-line_text elementor-widget-divider--element-align-center elementor-widget elementor-widget-divider\" data-id=\"1b4d2c7\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.13.3 - 28-05-2023 *\/\n.elementor-widget-divider{--divider-border-style:none;--divider-border-width:1px;--divider-color:#0c0d0e;--divider-icon-size:20px;--divider-element-spacing:10px;--divider-pattern-height:24px;--divider-pattern-size:20px;--divider-pattern-url:none;--divider-pattern-repeat:repeat-x}.elementor-widget-divider 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var(--divider-color)}.elementor-widget-divider--separator-type-pattern{--divider-border-style:none}.elementor-widget-divider--separator-type-pattern.elementor-widget-divider--view-line .elementor-divider-separator,.elementor-widget-divider--separator-type-pattern:not(.elementor-widget-divider--view-line) .elementor-divider-separator:after,.elementor-widget-divider--separator-type-pattern:not(.elementor-widget-divider--view-line) .elementor-divider-separator:before,.elementor-widget-divider--separator-type-pattern:not([class*=elementor-widget-divider--view]) .elementor-divider-separator{width:100%;min-height:var(--divider-pattern-height);-webkit-mask-size:var(--divider-pattern-size) 100%;mask-size:var(--divider-pattern-size) 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elementor-section elementor-top-section elementor-element elementor-element-1d8b944 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"1d8b944\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-no\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-b80ec40\" data-id=\"b80ec40\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-b1aab84 elementor-widget elementor-widget-text-editor\" data-id=\"b1aab84\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p style=\"text-align: right;\"><a href=\"https:\/\/legalmitra.com\/index.php\/2023\/08\/27\/rising-of-a-new-jammu-and-kashmir\/\"><strong>READ 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It leaves us pondering whether it represents a significant step towards progress or merely gives an illusion of advancement. In recent years, diesel vehicles have come under increased scrutiny and faced growing pressure<\/p>\n","protected":false},"author":2,"featured_media":9676,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14,1105],"tags":[1122,1124,1123,1121],"class_list":["post-9675","post","type-post","status-publish","format-standard","has-post-thumbnail","category-most-recent","category-october-2023","tag-diesel-vehicle","tag-nitin-gadkari","tag-smokescreen","tag-vehicle-tax"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.10 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>A Genuine Shift or a Smokescreen?Legal Mitra<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/legalmitra.com\/index.php\/2023\/10\/12\/a-genuine-shift-or-a-smokescreen\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"A Genuine Shift or a Smokescreen?Legal Mitra\" \/>\n<meta property=\"og:description\" content=\"Ritesh Sharma Editor, Advocate &amp; Social Entrepreneur \u00a0The sincerity of the proposed diesel vehicle tax increase in promoting environmental sustainability remains unclear. 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