India's Ambitious Roadmap: Phasing Out Diesel Vehicles by 2027

Phasing Out Diesel Vehicles by 2027: The Ministry of Petroleum and Natural Gas convened a panel in May that recommended banning the usage of four-wheeled diesel vehicles by 2027. The panel recommended that a combination of metro trains and electric buses should make up India’s urban transportation system by 2030.

80% of the vehicles on the road in India today operate on diesel, making diesel an important part of the country’s transportation infrastructure. In India, sales of all automobiles include about 40% of diesel-powered vehicles. A few significant private automobile manufacturers are also interested in ending the production of diesel vehicles, in addition to the government.

Diesel vehicle advantages and disadvantages

Advantages: Compression ignition (CI) engines, commonly referred to as diesel engines, employ a high compression ratio to produce a lot of torque. The main justification for choosing diesel engines in commercial vehicles is their strong torque. In comparison to other biofuel engines, diesel engines are also more cost- and fuel-efficient to run and maintain.

Drawbacks: Emissions, especially particulate matter (PM), are CI engines’ biggest flaw. Nitrogen oxides, soot particles, and carcinogens produced by diesel engines have a negative effect on the environment and increase air and noise pollution. Both people and wildlife are harmed by these emissions, which can lead to respiratory conditions, asthma attacks, and in some cases, early demise.

Diesel vehicles are prohibited because they produce a large amount of particulate pollution. Long-term exposure to such gases or air containing such particles has been linked to lung issues, asthma episodes, and even early mortality, claims a study.

Jayapradeep Vasudevan, Chief Business Officer, Raptee states,

India’s current move on banning diesel vehicles by 2027, would drive a strong demand for electric vehicles (EVs), as consumers seek alternatives. This would prompt increased EV production and infrastructure investment, expediting EV adoption. The shift towards EVs has already begun in the four-wheeler segment, with expected significant sales by 2030 and an increasing number of public charging stations, making the transition relatively smooth. Moreover, the government’s ‘PM E-Bus Seva’ scheme, deploying 10,000 new electric buses nationwide, represents a groundbreaking initiative that will further accelerate EV adoption, especially in public transportation. Without a doubt, the EV industry is gearing up for its next significant leap forward to revolutionize India’s automotive landscape.

From a climate perspective, if diesel vehicles are banned, it will lead to an extensive drop in carbon emissions. Additionally, individuals who produce electric and hybrid automobiles will benefit from this choice. The demand for electric and hybrid vehicles will rise. However, there will be substantial financial impact on petroleum refineries. In oil refineries, it can result in a 50% loss of jobs. Furthermore, the lifestyles of business owners in the transportation industry will see a substantial economic downturn. The price of commodities and the per-kilometer costs of public transportation will be indirectly impacted by this.