SUVs, eco-friendly hybrids to be displayed at Delhi Auto Show

01 Feb 2016

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Boosted by government support for environment-friendly and fuel-efficient vehicles domestic and foreign auto majors are expected to show-case new models and green cars, including SUVs, at the Delhi Auto Show, the country's biggest auto fair, which kicks off on Wednesday.

Industry officials said car-makers will be testing the ground at the Delhi Auto Show ahead of launching affordable hybrid and electric car models for the Indian market in the next few years.

Lured by government incentives for fuel-efficient vehicles as the country accelerates efforts to cut worsening air pollution, foreign auto firms will also be descending on smog-covered New Delhi on Wednesday.

The market for hybrid and electric cars in India is now very tiny, but with an average government subsidy of around Rs60,000 per vehicle, green vehicles would be able to compete in a car market that is expected to touch annual sales of 5 million by 2020. 

Foreign auto firms like Toyota Motor Corp and local players like Tata Motors and Mahindra and Mahindra are expected to show-case their latest designs to entice potential buyers.

Reports said Maruti Suzuki has been experimenting with development of low-cost, fuel-efficient hybrids on its own to cater to the Indian market.

Car makers have also been forced by recent crack-downs by government as well as the Supreme Court on vehicle pollution that has turned India's capital Delhi one of the most polluted cities in the world.

This time round, car makers cannot get away with mere design changes, they will have to show real changes, including in fuel consumption and environment safety, say industry analysts.

However, automakers feel that the government should attune policy in such a way as to make eco-friendly hybrid vehicles relevant for the market. 

"It is not enough to just introduce new technology in India, you have to make it relevant for the market and the buyers," reports quoted CV Raman, head of engineering at Maruti Suzuki India Ltd, as saying.

Toyota is reported to be looking at introduce hybrid technology for its future models, as well as cars it now sells in India, as the country moves towards stricter emission norms.

"Our strategy is to go for hybridisation," said Naomi Ishii, head of Toyota's India unit. Ishii, however, said the company will follow a strategy of starting from top-end models because of the high cost of imported components.

However, with the government and the judiciary coming down heavily on vehicle pollution, and with an early transition planned to Euro IV engine compliance norms,   carmakers have no recourse than emission reduction across models.

The Supreme Court last month ordered a temporary ban on the sale of large diesel cars in Delhi, among the world's most polluted cities.

With major foreign luxury carmakers such as Germany's Mercedes Benz still selling top-end models with polluting engine technology, India would need more than just incentives to upscale automobile technology.

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