What a total ban on diesel vehicles could mean in India
- A panel formed by the Ministry of Petroleum and Natural Gas has recommended a ban on the use of diesel-powered four-wheel vehicles by 2027 in cities with a population of more than 1 million, and instead transition to electric and gas-fuelled vehicles.
- The Energy Transition Advisory Committee has also recommended that city transport should be a mix of Metro trains and electric buses by 2030.
What is the Background of this Proposal?
- According to the Petroleum Planning & Analysis Cell, diesel currently accounts for about 40% of India’s petroleum products consumption.
- The panel’s recommendations come in the wake of the government’s stated aim to reduce GHG emission, and to produce 40% of its electricity from renewables as part of its 2070 net zero goal.
- Since 2020, most carmakers have taken significant steps towards deleveraging their diesel portfolios.
- Maruti Suzuki, the country’s largest passenger vehicle manufacturer, stopped making diesel vehicles from April 1, 2020.
- Diesel cars accounted for 48% of passenger vehicle sales in the country in 2013 due to the sharply lower price of diesel as compared to petrol.
- But this changed when the decontrol of fuel prices started in 2014. The price difference has since come down to around Rs 7 per litre (from Rs 25).
- Consequently, diesel cars accounted for less than 20% of overall passenger vehicle sales in 2021-22.
Why are Carmakers moving away from Diesel?
- There are increased emissions of oxides of nitrogen (NOx).
- An external trigger - the Volkswagen emissions scandal, which led to an increase in the negative perception against diesel across markets, including India.
- In 2015, Volkswagen admitted to having installed emissions-cheating devices in its vehicles to cheat on emissions tests.
- The rollout of the new BS-VI (directly from BS-IV) emission norms (the reason why Maruti Suzuki announced an exit) from April 1, 2020, involves prohibitively high cost of upgrading diesel engines to meet the new standard.
- While petrol vehicles needed upgrades for this transition, these were limited to catalysts and electronic control upgrades.
The Proposal
- A ban on diesel-powered four-wheelers in all Million Plus cities and all towns with high pollution has to be enforced in five years, i.e., by 2027.
- Commercial vehicles may transition to LNG in the short term and no diesel city buses addition be allowed in urban areas.
- City transport should be a mix of Metro trains and electric buses by 2030 to drive transition towards clean fuel urban public transport.
Issue with the Proposal
- People still prefer diesel vehicles:
- The higher fuel economy of diesel engines: This stems from the greater energy content per litre of diesel, and the inherent efficiency of the diesel engine (do not use spark plugs, have higher compression ratios).
- Offer more torque (rotational or turning force): Also, they are less likely to stall as they are controlled by a mechanical or electronic governor.
- How practical it would be to implement the ban: This is especially true in the case of medium and heavy commercial vehicles (transport trucks, buses).
- Around 87% of diesel fuel sales are in the transport segment, with trucks and buses accounting for about 68%.
- UP, Maharashtra and Haryana makeup almost 40% of the diesel sold in India.
- Transition challenges: While it seems easier at the moment to convert diesel trucks to compressed natural gas (CNG), there are certain limitations
- CNG being used for shorter distances, and
- Its lower tonnage carrying capacity.
- Already compliant with current emission norms: Carmakers in the diesel segmentand oil marketing companies (reducing the level of sulphur in diesel) claim to have invested heavily to transition their diesel fleet from BS-IV to BS-VI emission norms.
