Ashok Leyland, Switch Mobility first OEMs to join Centre's Delhi-NCR vehicle replacement scheme

Ashok Leyland and Switch Mobility have become the first vehicle manufacturers to join the Centre's scheme for replacing old trucks and buses in the Delhi-NCR region. The first Memorandum of Understanding (MoU) under the scheme was signed between the Ministry of Road Transport and Highways (MoRTH), Ashok Leyland and Switch Mobility, marking the start of the programme's implementation.

8% Discount on New Vehicles

Under the agreement, the two companies will offer an 8 per cent discount on the ex-showroom price of eligible trucks and buses purchased under the scheme. For electric vehicles, the discount will be capped at the level applicable to an Internal Combustion Engine (ICE) vehicle in the corresponding Gross Vehicle Weight (GVW) category.

The Ministry said Ashok Leyland and Switch Mobility are the first Original Equipment Manufacturers (OEMs) to partner with the government for the scheme.

Additional Benefits for Vehicle Owners

Apart from the OEM discount, the Central Government will provide a 5 per cent interest subvention and fixed monthly fuel vouchers for five years.

Participating state governments will be able to offer up to 100 per cent concession on motor vehicle tax for a period of 10 years. Registration fees for eligible beneficiaries will also be waived under the scheme.

Focus on Replacing Older Commercial Vehicles

The initiative is aimed at reducing vehicular pollution and encouraging fleet modernisation in the Delhi-NCR region.

Under the scheme, owners of trucks and buses registered in Delhi-NCR and complying with Bharat Stage-IV (BS-IV) or older emission norms will be encouraged to replace their vehicles with Bharat Stage-VI (BS-VI) or stricter emission-compliant vehicles, or electric vehicles.

The Ministry said the signing of the first MoU is an important step towards operationalising the programme.

More Automakers Expected to Join

According to the Ministry, additional automobile manufacturers are expected to join the scheme in the coming days.

The government expects wider participation from OEMs to support the adoption of cleaner transport technologies and expand the benefits available to eligible vehicle owners in the region.