In a U-turn to what he said last year, Transport Minister Nitin Gadkari on Wednesday said that he is not against the auto industry and there are favourable policies in place.

Speaking at the annual session of Automotive Component Manufacturer Association of India (ACMA) here, Gadkari said, “Don't say the government's policies on transport are not clear. We want to reduce imports and increase exports and tackle pollution. And, whatever steps that need to be taken for this, will be taken.”

Last year, at the Society of Indian Automobile Manufacturers (SIAM) convention, Gadkari had said that he would 'bulldoze' polluting vehicles (petrol/diesel) and wanted electric vehicles to replace internal combustion engines, to cut down pollution. His statement was criticised by the industry and stakeholders saying the government does not have clear policies and when the sector was already investing so much for BS-VI, it talked about another big investment to be put in for the electric vehicles (EVs).

However, Gadkari said that India is capable of bringing innovative products and can go up the ladder from other markets in the world.

“India is the fourth largest automobile market in the world and we will be third soon, and if we do it right then we will be leaders,” he said.

“Last year, a lot of industry people were unhappy with what I had said. But I want to assure that I am not against and we won’t shut down any industry,” he added.

With the MOVE Summit also around the corner (September 7-8), a lot of initiatives and policies are expected, including the second phase of the Faster Adoption and Manufacturing of (Hybrid &) Electric (FAME 2) Vehicles scheme.

Speaking at the event, Kenichi Ayukawa, Managing Dorector, Maruti Suzuki India, said that: “We should keep all options open, including electric, hybrid, ethanol and methanol.”

“We must invest in new technologies and build capabilities and capacities in all these areas. Even if we look at a small EV penetration by 2030, still a large volume of IC engines will need some form of electrification," he said.

Any new technology needs adequate infrastructure to take off and attain critical mass, and efforts are needed to set up a complete eco-system from procurement of raw materials to charging infrastructure and recycling of the batteries, Ayukawa added.

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