Will the Delhi government approve Bajaj’s new model?

India's two-wheeler makers have hit multiple speed-breakers. On the one hand, exports are being squeezed due to currency volatility and on the other, they are facing regulatory challenges in States like Delhi. Bloomberg TV India caught up with Bajaj Auto’s President for Business Development, S Ravikumar.

Can you give us some clarity on reports suggesting that the Delhi government has stopped registration of new two-wheelers not complying with BS IV norms?

For all the existing models, there is no stoppage of any registration. Now, when we put in a new model altogether for the first time into the country, we have to get the type approval from the Automotive Research Association of India (ARAI). Afterwards, we have to get approval from the transport commissioner of the respective State governments and then that information is disseminated to all the Regional Transport Offices (RTO). And the RTOs start registering the new model. Now, the calendar has been announced by the Central government under the Central Motor Vehicles Rule (CMVR) for the next BS IV norms. All new models will have to comply with BS IV from April 2016 and all the existing models will have another year to ramp up. So, the cut-off was clearly the 1st of April, 2016. We have started production of the Bajaj V, the invincible motorcycle with a new INS Vikrant metal and all that, and we have got the approval from ARAI. Then we approached the RTOs. Some of the States have given the approval and more are coming in in the next few days.

The Delhi Transport Commissioner has not yet given anything in writing to us but he has not given the approval for the new model Bajaj V. We understand there are a couple of other manufacturers whose models have also been similarly stuck. And we have taken this up through the association and they have talked to the Central ministry and transport commissioner. We hope this matter will be resolved in a few days.

If the approval has been stuck and you haven’t been able to roll it out in the Delhi market, what is the reason?

Honestly, I don’t know the reason behind that. If the transport commissioner writes back to us officially, we would know something. But he has not written so far. But to the best of our understanding, there is no reason for stopping this because every other State is giving approval. And it is quite normal that way. If the country is producing some 8-10 million two-wheelers and if all the existing models have to be upgraded, it is quite normal that some time is given so that the testing agency has time to approve and the manufactures have time to ramp up. But I do not know why this is happening in Delhi.

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