SC-appointed green panel recommends high pollution cess

Jul 06, 2016 10:59 AM IST

NEW DELHI: The Supreme Court-appointed green panel EPCA has recommended up to 25% pollution cess on the cost of diesel cars above 2,000 cc, which was multiple times higher than the figure suggested by a few automakers.

HT Image
HT Image

The Environment Pollution ( Prevention and Control) Authority (EPCA) reasoned that the imposition of steep cess was imperative to control air pollution in the national Capital by making diesel vehicles “cost prohibitive”.

“The argument for a 1% cess therefore goes against the very grain of this,” EPCA said in a note to the apex court.

As per the note, the vehicles have to be divided into three categories -- up to 1,200 cc, up to 2,000 cc and 2,000 cc and above -- and an Environmental Compensation Cess of 10, 20 and 25% respectively should be imposed on them.

“Diesel car users cannot pay less tax per litre of fuel compared to petrol car and two-wheeler users. This needs to be equalised to control the growing use of low tax diesel fuel (meant for farmers and freight) in cars that have cleaner substitutes,” it said.

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