In a strong move, Transport and Highways Minister Nitin Gadkari on Thursday said no permits would be required for alternative fuel vehicles, including CNG, ethanol and electric vehicles.

"We have decided to exempt vehicles run on alternative fuels from permit requirements. I have spoken to all the State Transport Ministers and they have unanimously agreed to do away with the permits for methanol, CNG/ bio CNG...all alternate fuel vehicles," Gadkari said at the Society of Indian Automobile Manufacturers’ (SIAM) 58th convention here.

However, Gadkari said there won't be anything like that for mild hybrids or hybrid vehicles. "There will be 100 per cent exemption for alternate fuel vehicles such as ethanol, methanol, CNG, Electric, but not for mild hyrbrids," Gadkari told BusinessLine when asked for a clarification.

Companies such as Maruti Suzuki India (Ciaz) and Mahindra & Mahindra (like Scorpio) offer mild/ micro hybrid vehicles, which do not get any subsidies right now.

Meanwhile, Gadkari also asked the auto industry to participate in making cost-centric and comfortable buses for the masses, just like the ones in the European countries. And, also to participate in waterways solutions. He also said the government would do away with speed governors that control high speed as with better infrastructure and better roads, such mechanisms should not hamper the speeds of vehicles.

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