Green tax on diesel cars: Auto sector slams cess proposal

NEW DELHI: The automobile industry has come out against any proposal to impose an additional tax on diesel cars over environmental issues.

"Diesel is not as polluting as it is made out to be. How can you tax a technology that is very clean and more fuel efficient?" said Vishnu Mathur, DG of industry lobby group, Society of Indian Automobile Manufacturers. While diesel is not a big polluter, there are other industries that need to be checked into, he said, adding, "What about power producers, the industry and gensets?" P Balendran, VP at General Motors India, also countered the stand that diesel is more polluting. "It is energy saving and is more fuel efficient than petrol," he said.

Mayank Parek, COO at Maruti Suzuki, said that while pollution levels certainly need to be controlled, taxing diesel cars is not an answer. "It is not only cars that pollute. In fact, their contribution to pollution is very low when compared to other industries."

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Green tax on diesel cars: Auto sector slams cess proposal