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Centre Limits Permit Exemption for Green Commercial Vehicles to 7 Years

Published on: 08 Jul 2026, 10:47 PM
Centre Limits Permit Exemption for Green Commercial Vehicles to 7 Years

The Ministry of Road Transport and Highways has issued a notification capping the exemption from obtaining permits for clean-fuel commercial vehicles at seven years. This move applies to vehicles powered by electricity, E85 (85% ethanol), M100 (100% methanol), or hydrogen.

Earlier, in 2018, the ministry had exempted electric, ethanol, and methanol commercial vehicles from permit requirements to encourage adoption of cleaner alternatives. That exemption had no fixed time limit. The latest notification, dated July 6, extends the benefit to hydrogen-powered vehicles while introducing a seven-year cap on the waiver.

According to officials, the time limit is intended to periodically review and recalibrate policies based on technological advancements and market penetration. The permit exemption is a significant incentive for fleet operators, as commercial vehicle permits often involve bureaucratic processes and costs.

Industry experts note that while the cap provides clarity, a longer exemption period might have been more effective in boosting investment in clean-fuel infrastructure. However, the move aligns with the government's broader push for alternative fuels under the National Green Hydrogen Mission and ethanol blending targets.

The notification applies across all states and union territories. Vehicles registered under this scheme will still need to comply with other regulatory requirements, including registration and fitness certification.

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