New Delhi, 03 June (H.S.): The Union Cabinet has approved a ₹9,585-crore, two-year scheme aimed at replacing ageing trucks and buses in the Delhi-NCR region. Under the initiative, financial support will be provided through the National Capital Region Planning Board (NCRPB) to facilitate the replacement of old commercial vehicles. The scheme is designed to reduce air pollution and promote cleaner transportation.

The proposal was approved at a meeting of the Union Cabinet chaired by Prime Minister Narendra Modi. Briefing reporters at the National Media Centre, Union Minister for Information and Broadcasting Ashwini Vaishnaw said that the programme will be financed by the NCRPB under the Ministry of Housing and Urban Affairs and implemented jointly by the Ministry of Road Transport and Highways and the Ministry of Petroleum and Natural Gas. The state governments of Delhi, Haryana, Rajasthan, and Uttar Pradesh will also participate in its execution.

Under the scheme, the Central Government will contribute ₹5,041 crore, while the participating states will provide approximately ₹1,601 crore in the form of tax concessions. The benefits will be available to owners of BS-IV and older-standard trucks and buses registered in Delhi-NCR, encouraging them to replace their vehicles with BS-VI-compliant or electric alternatives.

Air pollution continues to be a major challenge in the Delhi-NCR region. Reports by the Automotive Research Association of India (ARAI) and TERI indicate that the transport sector accounts for 14 percent of PM2.5 emissions, 40 percent of carbon monoxide emissions, and 63 percent of nitrogen oxide emissions. Although trucks and buses constitute only about 3 percent of the total vehicle fleet, they contribute approximately 36 percent of PM2.5 emissions.

The scheme is expected to benefit around 207,000 vehicle owners, including approximately 191,000 truck owners and 16,329 bus operators. BS-III and older vehicles will be required to be scrapped at authorised vehicle scrapping centres. BS-IV vehicles may either be scrapped or sold outside the NCR to cities that are not covered under the National Clean Air Programme (NCAP).

Under the policy, light goods vehicles operating in Delhi will be required to be electric, while buses will be limited to BS-VI CNG or electric models.

The incentive package includes a 5 percent interest subsidy on loans for up to five years, monthly fuel vouchers of up to ₹4,800, one-time incentives for electric vehicle purchases, and participation in a Certificate of Deposit trading mechanism. State governments will waive registration fees and offer up to 100 percent motor vehicle tax concessions on new vehicles, along with up to 50 percent tax relief on existing vehicles. Pending liabilities associated with eligible vehicles will also be waived.

Vaishnaw further stated that automobile manufacturers will provide discounts of up to 8 percent on ex-showroom prices. The entire scheme will be administered through a digital portal featuring real-time eligibility verification, interest subsidy claims processing, fuel voucher credits, and monitoring of pollution-reduction outcomes.

Oversight of the programme will be entrusted to an empowered committee chaired by the Cabinet Secretary. The committee will include the CEO of NITI Aayog, secretaries of the concerned ministries, chief secretaries of the Delhi-NCR states, and the Member Secretary of the NCRPB. At the district level, Deputy Commissioners and District Magistrates will be responsible for implementation and monitoring of the scheme.

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Hindusthan Samachar / Jun Sarkar