The Supreme Court on 10 May 2016 asked the Delhi Government to not register the new diesel cars in the state. It further said that registration of taxis shall only be permitted if the vehicles operate on dual-fuel (CNG/petrol) or purely CNG or petrol.
The ruling was given by the apex court bench headed by Chief Justice of India TS Thakur and comprising of Justice AK Sikri and Justice R Banumathi.
Key points of Judgment
• It relaxed its April 30 order of imposing ban on diesel taxis in Delhi-NCR from 1 May 2016
• It allowed the existing All India Tourist Permit (AITP) diesel taxis to operate in the national capital till the expiry of their permit.
• The permits which are issued for a period of five years, however, will not be renewed after expiry.
• It further underlined that diesel taxis will eventually have to go off the roads
• The Delhi government should work out adequate norms on safety, security and fares for taxis.
• The court further added that existing AITP taxis will also be allowed in Delhi-NCR for point-to-point services so that BPO firms could use their services. This reprieve was given after IT industry body NASSCOM assured the bench that all its future contracts would ensure services of only non-diesel cabs.
Effect of the Judgment
• It is likely to free up more than 60000 taxis, which had to go off roads since they had not switched to CNG.
• The court-mandated stipulation regarding fare compliance with government norms may affect ‘surge pricing’ used by taxi aggregators, which the Delhi government had sought to stop during odd-even phase 2.
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Who: Supreme Court
When: 10 May 2016