Euro III-compliant fuel is set to be introduced in the country, barring the 13 cities where a better grade of petrol and diesel have already been unveiled, from October 1, 2010 if the Cabinet gives its nod to a proposal in its meeting on Thursday.

The petroleum ministry was expected to bring the Bharat Stage III (BS III)?the Indian version of Euro III?fuel from April 1, 2010, but the failure of public sector oil refining companies in making the same available proved to be a hurdle in the endeavour. As per government sources, the refiners asked the ministry to reschedule the introduction of the fuel.

The firms told the ministry that they could bring the fuel to some cities only by June, while the rest of the country would have to wait till October 1. They asked for suitable orders in this regard, as per the sources.

However, such a staggered schedule will create inconsistency in the quality of fuel in different parts of the country, creating troubles for vehicle manufacturers. Accordingly, automakers represented their case to the government through the Society of Indian Automobile Manufacturers (Siam).

Siam discussed the matter with Prime Minister?s Office and road transport and highways minister Kamal Nath recently. Following this, an inter-ministerial group and fuel standards committee delved on the issue.

?The petroleum ministry was supposed to introduce the fuel from April 1, but it could not. It is demanding introduction of the fuel in a phased manner. We have represented the case to the government, which is now moving towards extending the deadline for the introduction of BS III fuel from April 1 to October 1. The Centre is likely to create a standard schedule now,? a senior official of an automobile firm said, requesting anonymity.

The road transport and highways ministry, which is the implementing body for fuel standards in motor vehicles, has already issued a draft notification for amendment in Central Motor Vehicles Rules, 1989. In the draft issued on March 30, 2010, the ministry has exempted vehicles manufactured between April 1, 2010 and September 30, 2010 from following the fuel standard norms under BS III.

As per the Auto Fuel Policy, approved by Cabinet on October 3, 2003, the government was required to introduce the BS III fuel in the country from April 1, 2010. By the same day, a much cleaner and BS IV-compliant fuel was to be unveiled in 11 cities, including the four metropolises?Delhi, Mumbai, Chennai, Kolkata. The petroleum ministry has been successful in introducing the BS IV fuel in 13 cities of the country on April 1.