Mahindra Scorpio and XUV Petrol are being studied about despite very little room of hope as Delhi Diesel ban affects Mahindra and other manufacturers seriously
Mahindra and Mahindra’s automotive division, specially passenger car department seems to be in serious discussion on the policy that Supreme court has just ordered. No diesel vehicles will be sold in the month from Jan to March 2016. Three months ban on vehicles obviously that Mahindra’s 2% of sales, which come from the Delhi NCR region is a loss for everyone right from the businessman who has a dealership of vehicles to the multi million dollar company who has invested money years back and waits for a stable return.
The decision comes rather at the ‘wrong time’ when dealers and companies strive hard to finish the stock of vehicles with the current year. Reason is simply because, as the new year approaches, people wait for the new year registered vehicles for better resale values in the future.
Three months ban on diesel vehicles means nothing, people will wait for the ban to release and buy all vehicles together and pollution levels could reach even higher. This reason sounds silly, but this is how the policy makers minds work and they have come up with this ‘plan’, which seems downright unorthodox way of doing things.
Clean air is clearly the need of the day and everyone agrees with the fact, but there are many other ways of doing so. Government and the new NGT which is basically the EPA of the USA who is pounding nanny states rule on the country to make things better, which we know doesn’t work. In developing countries where business is on the verge of growing and there cannot be drastic changes within a few weeks or expect manufacturers to bear it all.
Smaller diesel cars are also set to be fined one time pollution, which could be according to sources a healthy number which again kills the sales of car as diesel is flavor of the market. Why hasn’t government doing its part by implementing BSV and BSVI laws in the country and by providing clean fuel throughout the country. Be it metros or villages, which can actually save the entire country and not just the capital of India. Every capital of the world which now includes India has pollution level higher than safer limits.
You can add congestion charges, you cannot allow trucks to enter, Odd and even strategy can actually help if the population is honest and believes in its state government and loves the environment. There is so much more to be done. Why just target manufacturer who has been ready with all emission and safety norms the moment it became utmost important.
Mahindra said yesterday at the launch of the KUV100 that is obliges towards the apex court ruling. However, they have sent in their proposal and the last verdict comes out on January 5’th 2016. This means there is still hope if the court considers this ban. Mahindra is also said to be working on Scorpio and XUV petrol, their most popular models in the Delhi region despite there is very little room. Work is in progress. Mahindra also assures money back to the people who have booked the car and promise support to their dealer in this time.
Mercedes has made a strong statement as all their cars have been banned in this procedure and said this will seriously affect the investment they have made in the country. There is a list of cars which has been banned from the Delhi NCR region and the every single manufacturer is affected in either small or big way.
The automotive industry just showed signs of a huge relief when it comes sales and it is all set to go down as it affects not just one state, but the entire country as other states could follow the same in the future and that will be even a bigger mess. Something big and bad is waiting to happen in the near future if these policies continue. In the distant future this will be remembered as the dark days because history has taught us and we are not ready to be learn anything from it.