- Commercial Vehicle Replacement Scheme now includes six participating OEMs in Delhi-NCR.
- Government incentives aim to accelerate replacement of over 207,000 older commercial vehicles.
The Commercial Vehicle Replacement Scheme in Delhi-NCR gained further momentum on June 23 after Daimler India Commercial Vehicles, operating under the Bharat Benz brand, signed a memorandum of understanding with the Ministry of Road Transport and Highways. With this addition, the number of vehicle manufacturers participating in the government-backed initiative has increased to six, strengthening efforts to modernize the region’s aging commercial vehicle fleet.
The latest signing follows the participation of Mahindra and SML Mahindra, which entered the program on June 19. They joined earlier participants including Ashok Leyland, Switch Mobility, and Tata Motors. The growing list of OEMs highlights industry-wide support for replacing older commercial vehicles with newer and more efficient models.
The initiative is designed to address a substantial pool of aging vehicles operating across India's Delhi-NCR region. According to the scheme, nearly 207,000 BS-IV and older commercial vehicles are eligible for replacement. This includes approximately 191,000 trucks and 16,329 buses, representing a significant opportunity to improve fleet efficiency and reduce the presence of older vehicles on the road.
Delhi-NCR Commercial Vehicle Replacement Targets
The program focuses on accelerating fleet renewal through coordinated support from vehicle manufacturers and government authorities. By targeting older trucks and buses, policymakers aim to encourage the adoption of newer commercial vehicles equipped with improved technology, efficiency, and compliance standards.
Eligible Vehicle Population Under the Scheme
Commercial vehicles covered under the replacement initiative are outlined below.
Delhi-NCR Vehicle Replacement Coverage
| Vehicle Category | Number of Vehicles |
|---|---|
| Trucks | 191,000 |
| Buses | 16,329 |
| Total Eligible Vehicles | Approximately 207,000 |
Incentives Offered to Fleet Operators
All participating OEMs have agreed to provide an 8% discount on the ex-showroom price of eligible vehicles purchased under the scheme. In addition, the central government will support buyers through a 5% interest subvention and monthly fuel vouchers for a period of five years. These measures are intended to lower ownership costs and encourage faster replacement of older fleets.
State governments will further strengthen the incentive package by offering concessions of up to 100% on motor vehicle tax for ten years. Registration fee waivers will also be available, creating additional financial benefits for fleet owners who choose to retire older commercial vehicles and invest in newer models under the program.
Frequently Asked Questions
What is the purpose of the Delhi-NCR commercial vehicle replacement scheme?
The scheme is designed to accelerate the replacement of older BS-IV and pre-BS-IV commercial vehicles with newer models across Delhi-NCR. It targets nearly 207,000 aging trucks and buses while encouraging fleet modernization through financial incentives. Participating OEMs provide vehicle discounts, while central and state governments contribute interest support, fuel vouchers, tax concessions, and registration fee waivers to make vehicle replacement more affordable for operators.
What incentives are available under the commercial vehicle replacement program?
Fleet owners can benefit from multiple incentives offered through the program. Participating manufacturers provide an 8% discount on ex-showroom vehicle prices. The central government offers a 5% interest subvention and monthly fuel vouchers for five years. In addition, state governments may grant up to 100% motor vehicle tax concessions for ten years along with registration fee waivers, significantly reducing the overall cost of upgrading commercial vehicle fleets.
Click above to visit the official source.