India Proposes Ban on Diesel Cars by 2027 to Push for Electric and Gas-powered Vehicles: Report

An oil ministry panel has recommended that India ban the use of diesel-powered four-wheelers by 2027 and switch to electric and gas-powered vehicles in cities with more than a million residents and polluted towns to reduce emissions.

Read more: MG Comet EV Unveiled: Specs, Range, and Competitors

In order to reach its 2070 net-zero goal, India, one of the countries with the highest greenhouse gas emissions, plans to generate 40% of its electricity from renewable sources.

The panel commented on a report that "by 2030, no city buses should be counted that are not electric...diesel buses for city transport should not be counted from 2024 onwards."

It is unclear if the petroleum ministry will ask the cabinet for permission to put the advice of the committee's Energy Transition Advisory Board—led by former oil secretary Tarun Kapoor—into action.

According to the report, the government should consider a "targeted extension" of incentives provided under the Faster Adoption and Manufacturing of Electric and Hybrid Vehicles scheme (FAME) beyond March 31 in order to increase the use of electric vehicles in the nation.

About two-fifths of refined fuel used in India is diesel, with the transportation sector using 80% of it.

The panels recommended limiting new registrations to electric-only city delivery vehicles beginning in 2024 and recommending a greater reliance on railroads and gas-powered trucks for the transportation of cargo. In two to three years, the entire rail network should be electric.

According to the report, long-distance buses in India will eventually need to run on electricity, though petrol can be used as a bridge fuel for 10 to 15 years.

India wants to increase the proportion of petrol in its energy mix from 6.2% to 15% by 2030.

Suggested: Drive with peace of mind: Discover India's top 10 safest cars and their standout features

According to the panel, given that demand is anticipated to grow at a compound average growth rate of 9.78% between 2020 and 2050, India should think about building underground gas storage that is equivalent to two months' worth of demand. It recommended constructing gas storage facilities using depleted oil and gas fields, salt caverns, and aquifers with the assistance of foreign gas-producing companies.