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    Petrol two-wheelers may have to pay 'green cess', says report

    Petrol two-wheelers may have to pay 'green cess', says report

    Petrol two-wheelers may have to pay 'green cess', says report
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    By CNBC-TV18  IST (Published)

    To subsidise electric two wheeler vehicles, the government may soon impose a ‘green cess’ on petrol-powered motorcycles and scooters, The Economic Times reported.
    The proposal seeks to impose around Rs 800 – Rs 1,000 ‘green cess’ on gasoline two-wheelers to incentivise and bring a million of electric two-wheelers in the next 2-3 years, the report said, adding that more than 21 million two-wheelers were sold in India.
    “Today, the price differential between a petrol and an electric two-wheeler stands at Rs 55,000 – 60,000. The idea is to reduce the gap as much as possible by levying a small cess on vehicles which are polluting. The incentive will help promote widespread usage of electric two-wheelers and thereby address the concerns about rising crude oil imports and vehicular pollution,” a senior official aware of the development told ET.
    The development comes at a time when Pawan Munjal, chairman, Hero MotoCorp; Rajiv Bajaj, managing director, Bajaj Auto and Venu Srinivasan, chairman, TVS Motor Company have asked to reduce the Goods and Services Tax on two-wheelers, the report said, adding that the prices of motorcycles and scooters may soon rise due to the implementation of enhanced safety norms and transition to BS VI emission standards.
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