Nitin Gadkari proposes GST reduction on hybrid vehicles to promote Green India

Union Minister Nitin Gadkari proposed GST cuts on hybrid vehicles to 5% and flex engines to 12% to phase out reliance on petrol/diesel vehicles and promote alternate biofuels

Union Minister Nitin Gadkari, in his pursuit to transform India into a green economy, aims to reduce GST on hybrid vehicles and eliminate the nation’s reliance on over 36 crore petrol and diesel vehicles.

He expressed confidence in achieving this ambitious goal, emphasizing the potential benefits for farmers, rural prosperity, and youth employment, by redirecting the significant Rs 16 lakh crore spent on fuel imports.

While acknowledging the difficulty of the task, Gadkari remains resolute in his vision, without specifying a timeline. Proposals to reduce GST on hybrid vehicles and promote flex engines are under consideration by the Finance Ministry.

Gadkari advocates for biofuels to end fuel imports and stresses the importance of transitioning to renewable energy alongside electric vehicles to address the climate crisis.

Despite the challenges, he anticipates a transformation within the next five to seven years, with growing adoption of alternative fuels and biofuels.

Gadkari cites initiatives by leading auto companies and the emergence of hydrogen and bio-CNG vehicles as evidence of this paradigm shift, envisioning a self-reliant India (“Atmanirbhar Bharat”) free from fuel imports.