Ashok Leyland, Switch Mobility Join Govt's Scheme to Replace Old Trucks, Buses in Delhi-NCR

Ashok Leyland and its electric mobility subsidiary Switch Mobility have become the first original equipment manufacturers (OEMs) to partner with the Government of India under the Delhi-NCR vehicle replacement scheme for old trucks and buses.

The Ministry of Road Transport and Highways (MoRTH) signed the first Memorandum of Understanding (MoU) under the scheme with the two companies, marking the beginning of its implementation in the region.

Under the agreement, Ashok Leyland and Switch Mobility will offer an 8 percent discount on the ex-showroom price of eligible trucks and buses purchased through the scheme. For electric vehicles, the discount will be capped at the level applicable to an equivalent internal combustion engine (ICE) vehicle based on gross vehicle weight (GVW).

The scheme also provides additional incentives to encourage fleet modernization. The Central Government will offer a 5 percent interest subvention and fixed monthly fuel vouchers for five years. Participating state governments will provide up to 100 percent concession on motor vehicle tax for ten years and waive registration fees for eligible beneficiaries.

The initiative is aimed at reducing vehicular pollution and accelerating the adoption of cleaner transport technologies in the Delhi-NCR region. Owners of trucks and buses registered in Delhi-NCR and compliant with Bharat Stage-IV (BS-IV) or older emission standards will be encouraged to replace them with Bharat Stage-VI (BS-VI) or stricter emission-compliant vehicles, including electric vehicles.

MoRTH said that the signing of the first MoU represents a significant milestone in operationalising the scheme and added that more automobile manufacturers are expected to join in the coming days, expanding participation and supporting the transition to cleaner and more efficient commercial vehicle fleets.