Centre to roll out BSVII to tackle air pollution, expand scrappage; eyes seamless EV charging

To align India’s automobile sector with global standards, the government will implement the Bharat Stage (BS) VII emission norms, scale up vehicle scrappage and testing infrastructure, and expedite the transition to E20 ethanol blending and flex-fuel technologies to reduce pollution and dependence on imported fossil fuels.

It also plans to streamline India’s fragmented electric vehicle (EV) charging network by creating a unified platform in collaboration with the National Payments Corporation of India.

At an industry gathering, Union minister for road transport and highways Nitin Gadkari stated that India had made a bold leap from BS-IV to BS-VI norms and would now maintain global alignment by adopting BS-VII, aligning with European standards. 

This comes as air pollution has become one of the country’s gravest public health challenges, with the transport sector alone responsible for about 40 per cent of emissions. 

A recent KPMG report highlighted that 81 per cent of goods traffic currently moves on roads, while just 1 per cent goes by rail, driving fuel consumption sharply upwards. Even as India ramps up electric mobility and biofuels, demand growth means fossil fuel use will continue rising, aggravating emissions. 

“We will maintain global alignment for adoption of BS VII laws and will not go beyond the European standards,” the minister said, while urging automakers to invest in clean technologies and alternative fuels, given their economic and environmental benefits.

India imports fossil fuels worth Rs 22 trillion annually and diverting this spending into the domestic economy could significantly boost growth, he said. 

Ethanol production from maize has already tripled farmer incomes in Uttar Pradesh and Bihar, he said, arguing that ethanol blending is cutting imports, generating rural employment and reducing pollution. 

Amid social media controversies about efficiency, he defended the government’s E20 programme, saying testing agencies and the Supreme Court have confirmed its technical viability, and described opposition to it as politically motivated. The logical next step, he said, would be to introduce flex-fuel engines capable of running on multiple fuel blends.

The minister also pushed for scaling up India’s vehicle scrappage ecosystem, calling it a win-win for industry, government and the environment. Currently, 16,830 vehicles are being scrapped each month, supported by Rs 47 crore of private investment. India still imports 376,000 tonnes of scrap metals, including steel, aluminium and rare earths. 

Large-scale scrapping could create 7 million jobs, cut 6,353 kilotonnes of CO2, equivalent to planting 260 million trees, recycle 33 per cent of raw materials and add Rs 40,000 crore in GST revenues from new vehicle sales.

He urged automakers to establish automated testing stations and registered vehicle scrapping facilities across the country and offer discounts on new vehicles bought with scrappage certificates, while the government is exploring GST concessions on such purchases.

Gadkari signalled a policy shift from costly metro rail projects to efficient, comfortable electric buses in Tier-2 and Tier-3 cities, citing their lower capital costs and quicker deployment. 

He said the government will prioritise flash-charging electric buses with 135-seat capacity that can charge in 20 seconds, noting that new expressways are enabling ultra-fast travel and spurring demand for both private and public transport. 

Meanwhile, the proposed digital hub will integrate over 70 separate charging applications into one platform, offering charger discovery, slot booking and payment features. Approvals for the platform are in advanced stages, and officials said it will significantly improve customer experience and daily EV use.

Parallelly, the government is accelerating the electrification of public transport. Under Phase II of the FAME scheme, 7,000 electric buses have been sanctioned, with 5,700 already on the roads. State-run Convergence Energy Services Ltd has issued the world’s largest electric bus tender for 10,900 buses. Each e-bus is estimated to cost Rs 1 crore, with operational expenses of about Rs 4 crore over 10-12 years. This translates to an investment of roughly Rs 5 crore per bus and a total projected outlay of around Rs 55,000 crore over the next few years.

He emphasised that the benefits of these schemes extend beyond the direct participants. Localisation mandates are forcing manufacturers to source components domestically, strengthening supply chains, cutting costs and building technological self-reliance across the industry.

Looking ahead, the government is drafting an Automotive Industry Plan under its Vision 2047 framework to transform India into a global automotive hub. A committee involving government, industry, states and academia has begun identifying future trends, bottlenecks and stakeholder responsibilities. 

The plan projected the sector could grow from $2.2 trillion to $15 trillion by 2047, with exports rising from $2.2 billion to $3.2 billion and India’s share in global auto trade climbing from 3 per cent to 8 per cent. Hydrogen-based mobility is stimated to be a major growth area.

On road safety, Gadkari highlighted that India records 500,000 accidents and 180,000 deaths annually, with 66 per cent of victims in the 18-34 age group. 

The government has mandated six airbags in cars, helmets with every two-wheeler and new safety codes for buses and trucks, but enforcement and human behaviour remain the biggest hurdles. 

“While crossing the road, people talk on phones, jump red lights and don’t follow lanes. Laws are strict, but behaviour has to change,” he said.

Campaigns with Uber, Zomato, civil society organisations and schools are underway, alongside a Rs 25,000 reward scheme for good samaritans who admit accident victims to hospitals.

India has already overtaken Japan to become the world’s third-largest automobile market, and Gadkari said investments in electric vehicles, batteries and alternative fuels can help the country take the top spot.