Replacement of Old Trucks & Buses in Delhi-NCR

Recently, the Union Cabinet approved a ₹9,585-crore Scheme for Support to the National Capital Region Planning Board (NCRPB) for Replacement of Old Trucks and Buses in Delhi-NCR. The two-year initiative aims to reduce air pollution in the Delhi–National Capital Region (NCR) by replacing older, highly polluting commercial vehicles with cleaner Bharat Stage-VI (BS-VI) compliant vehicles and Electric Vehicles (EVs).

What are the Key Features of the Scheme?

Nodal Agencies and Implementation Mechanism

The scheme will be financed through the National Capital Region Planning Board (NCRPB), functioning under the Ministry of Housing and Urban Affairs (MoHUA). Its implementation will be carried out jointly by the Ministry of Road Transport and Highways (MoRTH) and the Ministry of Petroleum and Natural Gas (MoPNG).

The total financial outlay for the programme stands at ₹9,585 crore, of which the Central Government will contribute ₹5,041 crore directly, while participating states will provide approximately ₹1,601 crore in tax concessions.

Why Does the Scheme Focus on Trucks and Buses?

According to a study conducted by the Automotive Research Association of India (ARAI) and The Energy and Resources Institute (TERI), trucks and buses constitute only 3% of the total vehicle fleet in the NCR but account for nearly 36% of PM2.5 emissions generated by the transport sector.

The report further highlights that a single pre-BS heavy-duty vehicle emits pollutants equivalent to 14 BS-VI vehicles. Even BS-IV vehicles emit approximately 2.7 times more pollutants than BS-VI vehicles.

Scrapping and Replacement Requirements

The scheme prescribes specific guidelines regarding the disposal of old vehicles.

Vehicles conforming to BS-III norms or older standards must be compulsorily scrapped through authorised Registered Vehicle Scrapping Facilities (RVSFs).

In the case of BS-IV vehicles, owners have two options. They may either opt for scrapping or sell these vehicles outside the NCR, provided the destination areas are non-National Clean Air Programme (NCAP) cities or towns.

These provisions ensure that pollution is not merely shifted from one region to another.

Special Provisions for Delhi

The scheme incorporates stricter requirements for vehicles operating within Delhi.

Under the scheme, all Light Goods Vehicles (LGVs) purchased in Delhi must be 100% electric. Similarly, buses procured under the programme must either operate on BS-VI compliant Compressed Natural Gas (CNG) technology or be fully electric.

Government-owned vehicles have been excluded from the ambit of the scheme.

Financial Incentives under the Scheme

Support from the Central Government

The Central Government will provide a 5% interest subvention on vehicle loans for a period of five years, thereby reducing the borrowing burden on vehicle owners.

Beneficiaries will also receive monthly fuel vouchers of up to ₹4,800. In addition, owners opting for electric vehicles will be eligible for lump-sum incentives, including benefits linked to Certificate of Deposit trading mechanisms.

Support from State Governments

Participating state governments will complement central assistance through various fiscal concessions.

These include a complete waiver of registration fees for new vehicles and motor vehicle tax exemptions of up to 100% for a period of ten years.

States will also provide amnesty on pending liabilities associated with old vehicles, thereby encouraging voluntary participation in the scheme.

Contribution by Original Equipment Manufacturers (OEMs)

Vehicle manufacturers participating in the initiative will extend an 8% discount on the ex-showroom prices of eligible vehicles.

This concession is expected to lower the effective acquisition cost for transport operators.

Digital and Transparent Implementation

The implementation process will be entirely digital and managed through an integrated online portal.

The portal will facilitate real-time eligibility verification, enable automated processing of financial benefits, and ensure transparency in the disbursement of incentives.

Such a technology-driven approach is intended to minimise administrative delays and enhance accountability.

Monitoring and Governance Framework

Oversight of the scheme will be entrusted to an Empowered Committee chaired by the Cabinet Secretary.

At the local level, implementation responsibilities will rest with District Collectors and District Magistrates, ensuring effective coordination and monitoring on the ground.

Evolution of Bharat Stage (BS) Emission Norms

Regulatory Framework

Bharat Stage (BS) emission standards are legally enforceable norms that regulate the emission of pollutants from motor vehicles in India.

These standards are formulated by the Ministry of Environment, Forest and Climate Change (MoEFCC) and implemented by the Central Pollution Control Board (CPCB). The framework is broadly aligned with the European Euro emission standards.

Pollutants Regulated under BS Norms

The standards prescribe progressively stricter limits on pollutants such as:

• Carbon Monoxide (CO)

• Hydrocarbons (HC)

• Nitrogen Oxides (NOx)

• Particulate Matter (PM)

These regulations drive improvements in engine technologies, fuel quality, and exhaust treatment systems.

The Mashelkar Committee Roadmap

The nationwide rollout of emission standards was guided by the recommendations of the Mashelkar Committee (2002), which proposed a phased strategy for improving vehicular emission standards across India.

India's Leap from BS-IV to BS-VI

India introduced India 2000 (BS-I) norms following a Supreme Court directive in 1999.

The country subsequently transitioned through BS-II, BS-III, and BS-IV before making a significant policy leap by skipping BS-V altogether and directly adopting BS-VI norms nationwide in April 2020.

Stringent Requirements under BS-VI

The BS-VI standards require petrol vehicles to reduce NOx emissions by 25%.

For diesel vehicles, the reductions are even more substantial, mandating decreases of:

• 43% in HC + NOx emissions,

• 68% in NOx emissions, and

• 82% in particulate matter emissions.

To support advanced emission-control technologies, the sulphur content in fuel was reduced from 50 mg/kg under BS-IV to 10 mg/kg under BS-VI.

Real Driving Emissions (RDE) Norms

In April 2023, India introduced Real Driving Emissions (RDE) testing under BS-VI Phase II.

Unlike laboratory-based assessments, RDE testing evaluates vehicle performance under actual on-road driving conditions, ensuring that emission reductions are achieved in real-world scenarios.

Why Does Delhi Face Severe Air Pollution?

Stubble Burning

The burning of crop residues in Punjab and Haryana releases significant quantities of PM2.5, carbon monoxide, methane, and volatile organic compounds (VOCs), which are transported to Delhi through prevailing winds.

Vehicular Emissions

The transport sector remains a major contributor to ground-level ozone formation and particulate pollution, particularly due to older diesel vehicles.

Influence of North-Westerly Winds

Approximately 72% of Delhi's winter winds originate from northwestern India and Pakistan, carrying smoke, dust, and other pollutants into the region.

Atmospheric Stagnation

During winter, low wind speeds and limited rainfall hinder the dispersion of pollutants, resulting in their accumulation near the surface.

Temperature Inversion

A layer of warm air often traps colder air beneath it, preventing vertical mixing and causing pollutants to remain concentrated near the ground, leading to severe smog episodes.

Biomass Burning and Other Sources

Domestic biomass burning, firecracker emissions, construction dust, and dust storms further aggravate Delhi's air quality crisis.

Government Initiatives Related to Air Pollution Control

India has introduced several initiatives aimed at addressing air pollution, including:

• Graded Response Action Plan (GRAP) for Delhi-NCR;

• System of Air Quality and Weather Forecasting and Research (SAFAR);

• Air Quality Index (AQI);

• National Air Quality Monitoring Programme (NAMP);

• Promotion of Turbo Happy Seeder (THS) machines to reduce stubble burning; and

• Application of the Polluter Pays Principle in environmental governance.

Conclusion

The Scheme for Support to NCRPB for Replacement of Old Trucks and Buses in Delhi-NCR represents a targeted intervention to address one of the most significant contributors to urban air pollution. By facilitating the transition from older BS-III and BS-IV vehicles to BS-VI and electric alternatives, the initiative combines environmental objectives with economic incentives. However, given the multifaceted nature of Delhi's pollution problem, the scheme must operate alongside broader measures addressing stubble burning, industrial emissions, dust pollution, and regional coordination. A comprehensive and sustained approach remains essential for ensuring cleaner air and improved public health in the National Capital Region.