Mercedes Benz files plea against diesel ban in Supreme Court and is ready to Pay 1 percent environmental cess tax
The diesel ban is heavily affecting the sales of several automakers in India. Mercedes Benz is one of them, and the company is ready to pay the 1% environmental cess. The German automaker is the number one luxury car maker in the country. Due to the ban on 2000 cc and above diesel engines imposed in Delhi, NCR and Kerala by NGT, the company has been suffering badly. Now the company has filed plea against the ban in the Apex Court. The Supreme Court will hear the plea on 12th August.
To curb the rising air pollution level National Green Tribunal (NGT) imposed ban on 2000 cc and larger diesel engines in several cities across the country. The Delhi and NCR has always been a strong customer base for the Mercedes Benz. And it is one of the automaker which mostly sells cars with 2000 cc and larger diesel engines. Therefore the company is ready to pay the Supreme Court proposed 1% environment cess in the ban imposed region.
Apart from that the company is changing its strategy in India as well. The premium cars are always sold well with diesel. But foreseeing the changing scenario in the country and sensing the growing anti diesel vibe Mercedes Benz plans to introduce petrol engine at large across its entire range in the country.
The diesel ban was imposed on 15th December, 2015. Since then it has been a deadlock for the particular cars in the affected regions. Apart from Mercedes Benz several other car maker like Mahindra & Mahindra, Toyota have been facing rapid decline in sales in the ban affected regions. Toyota has taken an aggressive stance against the ban. The Japanese automaker has announced that it won’t make fresh investment in the country until there is a solution of the diesel ban.
It has been nearly 8 months since the ban is imposed. The Apex Court has already hinted that it might consider lifting the ban if the automakers pay 1% environmental cess. Therefore we might see a solution of the deadlock in the affected regions.