Diesel Cars vs Petrol Cars And EVs: Is Indian Government planning tp phase out diesel cars in the country? Recently the Union Minister Nitin Gadkari remarked that the Central Government can plan to impose an additional 10 percent GST on the diesel vehicles to decrease environmental pollution. Diesel vehicles are the most preffered vehicles in India in the public and commercial transport sector. On the other side, most of SUVs comes with diesel powertrain in the country. A significant 10% GST hike can impact the production of diesel vehicles in the country. Here, in this article, we have talked about the market share of all 3- Diesel, Petro and EV powertrain vehicles in India. We will also discuss about the advantages and disadvantages of owning a diesel powered vehicle. With the updated and stricter emission norms, diesel vehicles come with almost the same price tag than the petrol powertrain and it has also have less life on the road than the petrol vehicles.
Market Share: Diesel Vehicle, Petrol Vehicles and EVs
In India, every year 40 lakh passenger vehicles are sold, it is the third largest auto market after China and United States. Even after, standing at the third position, Indian has not adopted EVs as the mainstream vehicles. Diesel still remains the highest selling fuel in the commercial vehicle category which included cabs, trucks and buses.
In the passenger vehicle category, the diesel powertrain has lost its market share from the earlier 52 percent in 2013-14 to just 18 percent this year. India’s renowned automaker Mahindra and Mahindra remains largely dependent on diesel due to the larger SUV the company has in its lineup. As per JATO Dynamics, Mahindra car is the major contributer with 47 percent share in diesel vehicle sales currently, its 28 percent more than the year 2021. Hyndai takes the second place with the 15.4 percent share in diesel powertrain sales and kia comes at third place with 12.7 percent share in the segment. Talking about the luxury segment, the shares of diesel vehicle has seen a hike of 33 percent this year from 31 percent recorded in 2021.
In comparison to the diesel vehicles, petrol cars have around 68 percent contribution which is almost 42 percent more than 2021. In the luxury segment too, automakers like Mercedes, BMW and Audi contributes 62 percent in the overall petrol vehicle sales, it is 6 percent less than earlier share of 68% in 2021.
Electric vehicle segment is still in a nasent stage in India with the overall contribution of less than 3 percent in the overall vehicles sale. The Centre has plans to increase the EV share to 30 percent by the end of 2030.
Reasons Why Diesel Passenger Vehicles Are Losing Its Popularity:
Diesel powertrains has its own advantages and disadvantages. Diesel costs less than the petrol. It provides a better performance than the petrol with saving a considerable amount of money. Diesel powertrain offers enhanced fuel effieciency. This is one of primary reason why companies offers SUVs with a diesel powertrain. But on the other hand, diesel powertrain are offered with a higher price tag than the petrol car.
Before the sanctions, the price difference between the petrol and diesel powertrains used to be wider. In 2014, when a litre of petrol used to cost Rs. 71.50 in Delhi, at the same time, the diesel used to cost Rs. 57.28. Currently, the petrol comes around Rs. 96,72 per litre and diesel costs around Rs. 89.62, the price difference has significanty narrowed among both fuel over the period of time.
Union Minister Nitin Gadkari has said India needs to cut down on the expensive imports of both petrol and diesel which also causes environmental pollution. Gadkari has been seen emphasizing on the use of alternate fuels like biogas, ethanol and other to reduce dependency on fossil fuel imports.
Keep watching our YouTube Channel ‘DNP INDIA’. Also, please subscribe and follow us on FACEBOOK, INSTAGRAM, and TWITTER