SC lifts ban on registration of diesel cars in Delhi

, 6:26 PM IST

New Delhi: Supreme Court has lifted the ban on registration of diesel vehicles above 2000cc in Delhi and NCR. A one per cent cess on ex-showroom price will be levied as green cess on such vehicles, the apex court noted. The cess will likely be passed on to buyers.

In the meantime, court has kept the issue of levying cess on diesel cars less than 2000cc alive, saying it will examine it later. The Supreme Court had temporarily banned the sale of large diesel vehicles last year in New Delhi, which had triggered strong protests from car manufacturers. The Central government had thrown its weight behind the auto industries, saying “diesel cannot be termed as an undesirable fuel”.

The court further said that the one per cent green cess will be deposited before Central Pollution Control Board, which will open a separate account in a Public Sector Undertaking (PSU) bank.