Olectra Greentech Ltd and Montra Electric, through its business units IPLTECH Electric Pvt Ltd and TIVOLT Electric Vehicles Pvt Ltd, have joined the government of India’s PARIVARTAN scheme by signing memoranda of understanding (MoUs) with the Ministry of Road Transport and Highways (MoRTH) to provide discounts on the replacement of old trucks and buses in the Delhi-NCR region.
The latest signings expand the list of participating original equipment manufacturers (OEMs), taking the combined market share of companies associated with the scheme to more than 95% of India’s truck and bus market.
OEMs to offer 8% vehicle discount
Under the MoUs, participating OEMs will provide an 8% discount on the ex-showroom price of eligible trucks and buses purchased under the PARIVARTAN scheme.
For electric vehicles, the discount will be capped at the level applicable to an equivalent Internal Combustion Engine (ICE) vehicle in the same Gross Vehicle Weight (GVW) category.
Centre, states to extend additional incentives
Besides the OEM discount, the Central Government will provide a 5% interest subvention and fixed monthly fuel vouchers for five years to eligible beneficiaries under the scheme.
Participating state governments will also offer up to 100% concession on motor vehicle tax for a period of 10 years, along with a waiver of vehicle registration fees.
Scheme now covers over 95% of truck and bus market
Prior to the inclusion of Olectra Greentech and Montra Electric, nine OEMs had already signed MoUs with the Government for implementation of the scheme. These include Ashok Leyland, Switch Mobility, Tata Motors, Mahindra & Mahindra, SML Mahindra, Daimler India Commercial Vehicles (DICV), Eicher Trucks and Buses (business unit of VECV), Force Motors and Pinnacle Mobility Solutions.
With the addition of the two companies, the participating OEMs now account for more than 95% of the trucks and buses market, providing broad industry coverage for the implementation of the PARIVARTAN scheme in Delhi-NCR.
The initiative is aimed at accelerating the replacement of ageing commercial vehicles with cleaner and more efficient alternatives, supporting lower emissions and modernising the commercial vehicle fleet in the region.