India’s Road Transport Minister, Nitin Gadkari, has denied rumours of a proposed 10% GST on diesel vehicles, emphasizing the need for cleaner, greener alternatives.

What Happened: In a tweet on Tuesday, Gadkari addressed the recent media reports suggesting an impending 10% GST on diesel vehicles. He clarified, “there is no such proposal currently under active consideration by the government.”

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He further emphasized the government’s commitment to achieving Carbon Net Zero by 2070, reducing air pollution levels caused by hazardous fuels like diesel, and promoting cleaner alternative fuels.

Why It Matters: This clarification comes in the wake of a recent report which suggested that the Indian government was contemplating an additional 10% tax on diesel vehicles to control pollution.

If approved, this tax could have significantly impacted India’s third-largest car market.

However, Gadkari’s tweet has cleared the air, putting to rest any concerns about an additional tax on diesel vehicles for now. He has reaffirmed the government’s commitment to reducing pollution and promoting cost-effective, indigenous, and pollution-free alternative fuels.

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