Vinod Dasari, President of SIAM is of the view that the 1% green cess that is being imposed on the sale of diesel cars is not healthy for the industry. "I personally don't agree with the 1% cess, but will comply with regulations," Dasari said at a SIAM event. "All Of Europe runs on diesel, here we are saying it is bad...It made no sense to ban vehicles that were polluting the least," he said. "The BS-VI fuel is not available in the near future for automakers to test. You can't simply use European fuel to test, vehicles will explode. 3-year switch to new fuel standards has not been done before...please lay out roadmap for the country & then stick to it," Dasari said.
Dasari went on to request the government to extend the FAME (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles) scheme for electric vehicles. Talking about the proposed draft scrapping policy, Dasari said, "1% excise rebate better option to cash incentives for scrapping old cars." Dasari, who is also the MD of Ashok Leyland said that exports make up only 10% of the company's sales and focus will be to increase that share. " M&HCV growth has saturated. I believe August 2016 will be worse than August 2015," he said, adding that he expects the passenger vehicles industry to see a growth of 8-10% in the current financial year. Ashok Leyland reported a 5% decline in total sales at 10,492 units in July, 2016. The company had sold 11,054 units in July last year.