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India’s Supreme Court handed a reprieve to the auto industry on Friday, ruling that new diesel vehicles can be allowed on the streets of the national capital as long as a 1 percent “green” tax is paid. The news was welcomed by the auto industry after a series of lower court rulings banned diesel vehicles, both new and old, on concerns that their exhaust fumes were contributing to Delhi’s deepening air pollution crisis.

The Supreme Court allowed the registration of large diesel vehicles with an engine capacity of 2 litres or more in Delhi and the surrounding National Capital Region (NCR), according to Harish Salve, a lawyer connected to the case. The green levy will be imposed on the retail price of each vehicle, excluding tax and other costs. India’s highest court will decide later on whether to impose the tax, called a green cess, on diesel vehicles with smaller engines, Salve added.” Reuters. Read it on

India’s top court gives diesel vehicles reprieve in Delhi