Chandigarh automobile dealers challenge electric vehicle policy in High Court

Saurabh Malik

Chandigarh, November 7

The Federation of Chandigarh Region Automobile Dealers has filed a petition in the Punjab and Haryana High Court challenging the Electric Vehicle Policy of 2022, along with subsequent amendments dated July 7 and October 18, which introduced restrictions on the registration of Non-Electric Vehicles/Internal Combustion Engine (ICE) Vehicles.

The petitioners’ case is that the Electric Vehicle (EV) Policy, introduced by the Chandigarh Administration in 2022 based on government guidelines, was intended to promote electric vehicles by offering incentives to consumers, including monetary benefits and charging infrastructure.

However, the recent amendments to the policy impose caps on the registration of non-electric vehicles, affecting the fundamental rights of automobile dealers in the region.

The petitioners, through senior counsel Chetan Mittal, claimed that over 50 per cent of vehicles entering Chandigarh come from neighbouring states, where no such caps or bans on non-electric vehicles exist, such as in Mohali and Panchkula. They argued that this policy does not align with the intended goal of promoting electric vehicles.

Additionally, the petitioners contended that the policy and its implementation are arbitrary and lack proper justification, potentially leading to losses in tax revenue as consumers may seek registration in neighbouring states due to the restrictions on non-electric vehicles.

The petitioners argued that unless the Motor Vehicle Act and Rules are amended, executive instructions should not restrict the sale and registration of vehicles.

They also mentioned making representations to the Administrator and other authorities regarding their concerns.

The case was heard by the Bench of Justice G.S. Sandhawalia and Justice Harpreet Kaur Jeewan and was adjourned to November 9 for further arguments.