Chandigarh’s EV policy: No high court relief for auto dealers

The high court has sought a response on the plea by Federation of Automobile Dealers Associations, but it did not pass a stay order as demanded by the association, said Chandigarh administration’s senior standing counsel Anil Mehta

The Punjab and Haryana high court on Thursday sought a response from the Chandigarh administration on a plea challenging its Electric Vehicle (EV) policy.

Earlier this month, the Chandigarh administration had notified that it will not register non-electric two-wheelers between February 10 and March 31, 2023, as their registration number had peaked for the category as decided in the EV policy. (Getty Images/ Representational image)

The high court bench of justice RS Jha and justice Arun Palli sought a response on the plea by Federation of Automobile Dealers Associations (FADA), but it did not pass a stay order as demanded by the association, said UT’s senior standing counsel Anil Mehta.

Earlier this month, UT had notified that it will not register non-electric two-wheelers between February 10 and March 31, 2023, as their registration number had peaked for the category as decided in the EV policy.

The policy, notified in September 2022, is applicable for five years, during which the administration plans to gradually stop registering fuel-run vehicles to dissuade people from buying vehicles that cause pollution.

In its plea, FADA had sought direction to set aside the policy, claiming that it was “illegal and arbitrary” for having introduced mandatory capping of the registration of internal combustion engine vehicles on a year-on-year basis.

The plea argued that neither had any reasons been given to bar and cap the trade, business and sale of non-internal combustion engine vehicles nor had been an analysis of the opportunity cost borne and the commensurate loss of livelihood and infringement of personal liberties of the citizens been endeavoured.

It further argued that administration was not empowered by the Motor Vehicles Act or the Central Motor Vehicle Rules to impose any curbs or caps on the maximum number of vehicles to be registered in the city.

UT, on the other hand, had submitted that the plea was not maintainable, as the dealers had no locus to file it and no prejudice was being caused to them if the vehicles were not being registered.

Private/commercial interest could not prevail over public interest, UT had told the court, adding that the policy was implemented while taking into consideration climate change that had become a global concern.