Context: The Supreme Court (SC) criticised the Federation of Automobile Dealers Association of India (Fada) for exceeding the permissible sale of Bharat Stage-IV (BS-IV) compliant vehicles.

More on News:

  • The SC asked the Centre to file data on the details of the vehicles that were uploaded on the e-Vahan portal post March 2020.
  • As per 27 March 2020 order a 10 day extension was given to clear 10% of the unsold inventory after the lockdown.
    • Though BS IV vehicles bought before 31 March can be registered later.
  •  It appears that the retailers have resorted to heavy discounts and sold more than the permissible limits.

The top court had passed the order while hearing the plea filed by Fada, which had sought a two-month extension of the 31 March deadline for sale and registration of such vehicles.

The Federation of Automobile Dealers Associations (FADA):

  • It is an apex national body representing automobile dealers of India which was founded in 1964.
  • It aims to protect and promote the Indian retail automobile market. 
  • The four founder members of FADA are:
    • The Automobile Dealers Association of Maharashtra, Mumbai
    • The Motor Industries Association, Kolkata.
    • The Automobile Traders Association, Delhi.
    • Motor Vehicles & Allied Industries Association, Chennai.
  • Members include dealers of passenger cars, commercial vehicles and two/three wheelers. 
    • These members deal in sales, servicing of vehicles and sale of spare parts as well. 
    • They also arrange finance and trade-ins. In some cases they also sell used cars.


Bharat Stage Norms:

  • These are norms nearly similar to European (Euro) emission norms and were introduced in 2000.
  • They are instituted and mandated by the Central Government.
  • The Environment Ministry decides the fuel standards while the implementation is taken care of by the Central Pollution Control Board.
  • The objective of such norms is to regulate the output of various forms of air pollutants from internal combustion engine equipment, including those of motor vehicles.
    • It has been designed in such a manner that the more stringent the BS norm goes, the lower is the tolerance level for pollutants in automobile tailpipe emissions that is a product of fuel combustion in a vehicle’s engine.
    • Simply put, automobiles become cleaner and greener with each upgrade of BS Norms in India.
  • The Indian Government decided to skip BS V norms due to rising environmental conditions and asked automakers to switch to BS VI after BS IV.

Effectiveness of BS VI -

  • BS VI is low sulphur fuel and estimated to reduce 80% of the sulphur content in comparison to BS IV when compared to BS IV.
  • In the case of NOx emissions, BS VI gains an advantage over BS IV as it brings down NOx emissions by 70% in diesel cars and by 25% in petrol engines.
  • BS-VI can bring PM in diesel cars down by 80%. 
  • It also makes on-board diagnostics (OBD) mandatory for all vehicles.
    • It is a device that informs the vehicle owner or the repair technician how efficient the systems in the vehicle are.



  • It is a highly flexible and comprehensive system that takes care of all the burdensome activities of Vehicle Registration, leaving the Transport Department to deal with more important business issues. 
  • The software enables the processes at RTO/DTO/MLO/SDM involving Vehicle Registration, Fitness, Taxes, Permits & Enforcement to get computerized.
  • The State Transport Department is governed by both Central Motor Vehicle Regulation (CMVR) and state specific Motor Vehicle Regulation (State MVR).
  • Consequently, Vahan was conceptualized as a product that would capture the functionalities mandated by CMVR as well as state MVRs.
  • It provides a nationwide search over the digitized data of Registered Vehicles. 
  • Stakeholders may view the details of Registered Vehicles online based on the certain parameters viz.
    • Registration No (Partial information will be displayed to citizen and authorized users can see full details)
    • Chassis No (only for authorized users)
    • Engine No (only for authorized users)


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