Gadkari bats for more tax on diesel vehicles

New Delhi: Road Transport and Highways Minister Nitin Gadkari on Tuesday spoke of the need to levy an additional 10 per cent tax on diesel-run vehicles to help cut emissions, but later clarified that there was no proposal under government consideration to impose such a tax. Speaking at the annual convention of automobile manufacturers body SIAM, Gadkari said rising pollution level is a serious health concern and there is a case for increasing taxes to dissuade sale of diesel vehicles.

“I am requesting the Finance Minister to impose an additional 10 per cent GST on diesel engines/vehicles. This is the only way to phase out diesel vehicles,” he said, indicating a meeting was scheduled with the Finance Minister for handing over a letter he had drafted on the issue.

But soon after he took to X, formerly known as Twitter, to clarify the government’s position. “It is essential to clarify that there is no such proposal currently under active consideration by the government,” he said in a post on X, referring to media reports quoting him as suggesting an additional 10 per cent GST on diesel vehicles.

He emphasised that there was a need to embrace cleaner fuels to cut emissions. “In line with our commitments to achieve Carbon Net Zero by 2070 and to reduce air pollution levels caused by hazardous fuels like diesel, as well as the rapid growth in automobile sales, it is imperative to actively embrace cleaner and greener alternative fuels.