REPORTABLE INTHESUPREMECOURTOFINDIA CIVILORIGINALJURISDICTION WRITPETITION(CIVIL)NO.13029OF1985 M.C.MEHTA PETITIONER(S) Versus UNIONOFINDIA&ORS. RESPONDENT(S) (INRE:RECOMMENDATIONNOS.2.2.1AND2.2.2OFREPORT NOS.71AND78SUBMITTEDBYEPCA) JUDGMENT [ENTITY],J.
1. TheseminalissuetobedecidediswhetherBharatStageIV (for short BSIV) compliant vehicles should be permitted to be soldinIndiaafter31.03.2020.
2. In an earlier judgment dated 13.04.2017, we have given detailed reasons for the order dated 29.03.2017 whereby this Date: 2018.10.24 12:08:07 IST Reason:
Courthaddirectedthatonandfrom01.04.2017,vehicleswhich arenotBSIVcompliant,shallnotbesoldbyanymanufacturer ordealerormotorvehiclecompanywhethersuchvehicleisatwo wheeler,threewheeler,fourwheelerorcommercialvehicleetc WehadalsobythesaidorderprohibitedregistrationofnonBS IVvehiclesfrom01.04.2017exceptifsuchvehiclesweresoldon orbefore31.03.2017. Sinceinthejudgmentdated13.04.2017, wehavesetoutindetailthehistoryleadingtoimplementationof theBharatStagecompliantfuels,itisnotnecessarytorepeatthe same here. However, a short recap of the same would be appositetounderstandtheissuesinhand.
3. In2003,theGovernmentofIndiaannouncedtheNational Auto Policy based on the recommendations of the Mashelkar Committeeconstitutedin2001. BSIVcompliantvehicleswere made compulsory for four wheelers in different parts of the countryondifferentdatesstartingfrom01.04.2005,fromwhich dateregistrationofonlyBSIVcompliantvehicleswerepermitted in the metropolises of Delhi, Ahmedabad, Bengaluru, Mumbai, PuneandKolkata. Thereafter,itwasmadecompulsorytohave BSIVcompliantvehiclesinsomeothercitiesfrom01.04.2010. More cities were added on 21.05.2010 and on 14.07.2015. Finally,byamendmentdated19.08.2015itwasmandatedthat BSIVnormswouldcomeintoforcethroughoutthecountryw.e.f. 01.04.2017.
4. Asfarastwoandthreewheelersareconcerned,theywere madesubjecttoBSIIInormsonandwitheffectfrom01.04.2010 by insertion of [SECTION] in [SECTION] of the [ACT] With effect from 04.07.2014, it was mandated that on and from 01.04.2016 all two wheeler vehicles will comply with BSIV emission norms and all existing models will shift to BSIV emission norms from 01.04.2017. Similarly, [SECTION] was inserted in [SECTION] of the Rules on 12.06.2015 in respect of three wheelers wherein BSIV standard would be applicable to new models on or after 01.04.2016. Resultantly, only those vehicles which were BSIV compliant would be sold after 01.04.2017.
5. Anissuewasraisedbythemanufacturersofmotorvehicles thattheyshouldbegivenreasonableandsufficienttimeforsale ofstocksofthosevehicleswhicharenotBSIVcompliantvehicles butmanufacturedupto31.03.2017. ThisCourtdidnotaccept the submission of the manufacturers and issued the direction referred to hereinabove. It would be interesting to note that though some of the manufacturers of two wheelers and three wheelerstookastandbeforethisCourtthatgreattechnological changesarerequiredtomakethevehiclesBSIVcompliant,one ofthelargestmanufacturersoftwowheelersandthreewheelers inIndiai.e.BajajAuto,filedanapplicationinthisCourtpraying thatitwasalreadymanufacturingBSIVcompliantvehiclesand that the vehicles not complying to BSIVnormsshould notbe registeredafter2017.
6. Theissuebeforeusissomewhatsimilar.Mr.[ENTITY], learnedseniorcounselandMr.[ENTITY],learnedcounsel appearingfortheSocietyofIndianAutomobileManufacturers(for shortSIAM),havesubmittedthatthoughtheyarenotaverseto manufacturing [SECTION] compliant vehicles, they should be given some time to sell the stocks of non[SECTION] compliant vehicles manufacturedupto31.03.2020.Inthisregard,theyhavemade referencetothenotificationdated20.02.2018wherebysubrule 21hasbeeninsertedinRule115oftheRules,whichreadsas follows:
IntheCentralMotorVehicleRules,1989,inrule115, after subrule (20), the following subrule shall be insertednamely: (21) New motor vehicles conforming to Emission StandardBharatStageIV,manufacturedbeforethe1 st April,2020shallnotberegisteredafterthe30 thJune, 2020:
ProvidedthatthenewmotorvehiclesofcategoriesM andNconformingtoEmissionStandardBharatStage IV,manufacturedbeforethe1stApril,2020andsoldin theformofdriveawaychassis,shallnotberegistered afterthe30thSeptember,2020.
7. ItissubmittedthattheGovernmentofIndiawhilebalancing theneedforacleanerenvironmentwiththepracticaldifficulties facedbythemanufacturershasgivenathreemonthswindowto the automobile manufacturers to dispose of the vehicles conformingtoBSIVnorms. Inrespectofcertaincategoriesof commercialvehiclesinwhichonlyachassisissoldandabody has to be built thereupon, the period of registration has been extendedupto30.09.2020.
8. IthasbeencontendedonbehalfofSIAMthatinEuropethe normal practice is that about one years time is given to the manufacturers of vehicles when a higher quality of fuel is introducedandthefuelisintroducedmuchearlierandthereafter anouterlimitisfixedforsaleofcompliantvehicles.Accordingto SIAM,[SECTION]fuelwillbeavailableintheentirecountryonlywith effectfrom01.04.2020andmanufacturersare,therefore,forced tostopproductionafter31.03.2020.Therefore,itisnotfeasible forthemanufacturerstoswitchoverto[SECTION]compliantvehicles overnight.Theyhavetobegivensomereasonabletimeforsaleof the accumulated stocks of non[SECTION] (i.e. BSIV) compliant vehicles.Itisfurthersubmittedthatsixtoninemonthstimeis required to shift the assembly line to make [SECTION] compliant vehiclesandiftherequestofthemanufacturersisnotaccepted, they willhave to startmanufacturing[SECTION]compliantvehicles wellbefore31.03.2020andatleastthreetosixmonthspriorto thesaiddate.Ithasalsobeencontendedthatearlier[SECTION]fuel wastobeintroducedwitheffectfrom01.04.2024,whichwaspre poned to01.04.2023 anditwasthenpreponedto01.04.2021 andfinallythedatewasadvancedto01.04.2020.Itwasdecided toleapfrogfromBSIVfuelto[SECTION]fuelwithoutshiftingtoBSV fuel. AccordingtoSIAM,thisiscreatingalotofdifficultiesfor themanufacturers.
9. Mr.[ENTITY],learnedseniorcounselappearing foroneofthemanufacturers,submitsthathisclientsarealready manufacturing vehicles which are both BSIV and [SECTION] fuel compliant and they are on the road already. Mr. [ENTITY], learned Additional Solicitor General submits that keepinginviewthedifficultiesfacedbythemanufacturersand balancingtheneedtohaveacleanerenvironment,threemonths periodgiventothemanufacturersisreasonable. Healsourges that the Rules have not been challenged by any party and, therefore,thisCourtshouldnotgointothevalidityoftheRules.
10. On the other hand, Ms. [ENTITY], learned amicus curiae,hasmadeapassionatepleathatnonon[SECTION]compliant vehicleshouldbepermittedtobesoldintheentirecountryafter 01.04.2020. ShehasdrawnourattentiontotheReportofthe Parliamentary Standing Committee (for short the Committee) dated 07.08.2018. This Report mainly deals with National CapitalRegion(NCR)ofDelhibuttherearesomereferencesto the entire country. Some of the observations made by the Committee need to be considered and taken note of. The CommitteeinPara5.15notesthattheproblemofairpollutionis affectingallhumanbeingsandanyleniencyonthepartofthe Government in tackling it will have a cascading effect on the healthofthecitizens. Theseobservationshavebeenmadewith specificreferencetovehicularpollutionandtheneedtoensure complianceof[SECTION]normswitheffectfrom01.04.2020. There canbenotwoviewsthatairpollutionishazardoustohealth.We may,alsotakenoteofcertainobservationsoftheReportofthe Committee which show thatoneoutofthreechildreninDelhi suffersfromrespiratoryproblems. Thisisalmosttwiceashigh ascomparedtothecityofKolkataorruralareas.Wemaynote that the World Health Organisations (WHO) database of more than 4,300 cities showed Indian cities of Gwalior, Allahabad, Raipur,Delhi,Ludhiana,Khanna,VaranasiandPatnaasbeing amongthemostpollutedintheworld 1.Ourattentionhasbeen drawn to various other documents which clearly show the deleterious effects of pollution on health. The hazards of pollutionanditsilleffectonthehealthofthecitizensespecially childrenarenotlimitedtothecityofDelhiortheNCRofDelhi butaffectallthecitizensofthecountry.
1 Worlds Most Polluted Cities, World Economic Forum, 03.05.2018
11. TheUnionGovernmenthasspentaboutRs.30,000croresto manufactureBSIVcompliantfuel.Wehavebeeninformedthat anotherRs.30,000/croresofthetaxpayersmoneyhavebeen expendedbytheUniontoensurethatthefuelavailableinthe country is [SECTION] compliant. It is heartening to note that the Union,beingconcernedwiththehealthofthecitizensandalso takingnoteoftheurgentneedforacleanenvironment,hastaken steps to manufacture cleanerfuel. Thisfuelhasalready been made available in the National Capital Territory (NCT) of Delhi from01.04.2018andwehavebeeninformedthatbarringafew places,itshallbeavailableintheentireNCRfrom01.04.2019.It willprobablybeavailableinmanypartsofthecountrypriorto 01.04.2020andtheentirecountrywillshiftto[SECTION]fuelfrom 01.04.2020. Obviously,themanufactureofcleanfuelisbeing done in a phased manner because all the refineries cannot simultaneouslystartmanufacturingcleanfuel.Itisnotasifon 01.04.2020justbywavingamagicwandtheentirecountrywill change to [SECTION] compliant norms. If all the refineries and manufacturersbytakingnoteoftherequirementtobringinBS VIfuel,haveintroducedsuchfuelfrom2018andareintroducing itinaphasedmannerintheentirecountryby31.03.2020,we seenoreasonwhymanufacturersofautomobiles,twowheelers, threewheelersetc.cannotalsodoso.
12. We may note that whereas in this Court SIAM has been canvassing thatthe shiftto[SECTION] compliantvehiclesisalong drawn out process requiring huge changes in technology, the very same manufacturers are selling and exporting [SECTION] compliantvehiclestoEuropeandothercountries.Withregardto twowheelersithasbeenspecificallyurgedthatthetechnological changes are immense. To counter this argument the learned amicuscuriaehasdrawnourattentiontoaPressReleaseissued by M/s. Hero MotoCorp., which is one of the largest motor manufacturers of two wheelers in the country. In this Press ReleaseissuedinJuly2017ithasbeenstatedthatM/s.Hero MotoCorp.hasbegundeveloping[SECTION]compliantmodelsandit aims to introduce such products much before the timeline of 2020.Thecompanyhasalsostatedthatitwillmanufactureonly [SECTION]fuelcompliantvehicleswellbeforethedatestipulatedby the authorities. If one manufacturer can do this, we see no reasonwhyothermanufacturersoftwowheelerscannotdoso.
13. With regard to trucks and buses, from a news item published in the Financial Express dated 06.07.2018, it is apparentthatEicherisalreadymanufacturingtrucksandbuses whicharenotonly[SECTION]compliantbut[SECTION]CNGcompliant. Anothermanufacturerofheavyvehiclesi.e.[ENTITY], inAugust,2018throughitssubsidiaryOptareobtainedanorder to manufacture the worlds first electric double decker buses. The technology needed to manufacture such electric buses is much more advanced and difficult as compared to the technologicalchangesrequiredtomanufacturepetrolanddiesel vehicles whichare [SECTION] compliant. Similarly,TVSMotorson 07.08.2018hasissuedapressnotethatitwillbemanufacturing [SECTION] compliant vehicles muchaheadofthedeadlineof2020. ManymembersofSIAMintheAutoExpoheldinFebruary,2018 have exhibited vehicles which are technologically much more advancedthan[SECTION]compliantvehicles. Thesemanufacturers have not only asserted that they can manufacture electric vehiclesbutalsoassertedthattheyaredevelopinghydrogencell fuelvehiclesalongwithhybrid,electricandCNGvehicles.
14. Wehavementionedthesefactsonlytohighlightthatsome of the manufacturers are not willing to comply with the 31.03.2020deadlinenotbecausetheydonothavethetechnology butbecausetheuseoftechnologywillleadtoincreaseinthecost of the vehicles which may lead to reduction in sales of the vehiclesandultimatelytheirprofit.Therecanbenocompromise withthehealthofthecitizensandifonehastochoosebetween healthandwealth,keepinginviewtheexpandedscopeof[SECTION] of the [ACT], health of the teeming millions of this country will have to take precedence over the greed of a few automobilemanufacturers.Theautomobilemanufacturersmust behaveresponsibly.Weexpectedthatkeepinginviewourearlier order, they would have themselves volunteered to be [SECTION] compliantby31.03.2020. Unfortunately,thishasnotbeenthe casewithsomeofthemanufacturersandtheywanttostretchon thetimelinebyafewdaysormonthsfornootherreasonbutto makealittlemoremoney.
15. When we compare [SECTION] fuel with BSIV fuel, there is a massive improvement in environmental terms. Once [SECTION] emissionnormsareenforced,therewillbea68%improvementin PM2.5.Thisisnotasmallchange.Itisavastimprovementand thefasteritisbrought,thebetteritis. Theamicuscuriaehas strenuouslyurgedthat,atleast,intheNCRofDelhi,the[SECTION] normsbeappliedforsaleofvehiclesfrom01.04.2020. Wefeel thatitmaynotbepracticaltointroduce[SECTION]compliantvehicles regionwise or citywise. Inour view,theBSIVexperimentin thisregardwasnotverysuccessful.[SECTION]compliantvehiclesare going to be more expensive than BSIV compliant vehicles. People have a tendency to buy cheaper vehicle(s) even from a neighbouring city. We also strongly feel that the problem of pollutionisnotlimitedtotheNCRofDelhibutitisaproblem whichhasengulfedtheentirecountryespeciallythemajorcities. Indiahasthedubiousdistinctionofhaving15outofthe20most pollutedcitiesintheworld. ThepollutioninGwalior,Raipur& Allahabad is worse than Delhi. The situation is alarming and critical.Itbrooksnodelay.
16. Itisanestablishedprincipleoflawthattherighttolife,as envisagedunderArticle21ofthe[ACT]ofIndiaincludes therighttoadecentenvironment 2.Itincludeswithinitsambit therightofacitizentoliveinacleanenvironment 3. Withregard tovehiculartraffic,thisCourthasissuedanumberofdirections toensureacleanenvironmentandreducepollution4.Ithasbeen heldthattherighttocleanenvironmentisafundamentalright 5. Therighttoliveinanenvironmentfreefromsmokeandpollution follows from the quality of life which is an inherent part of [SECTION] of the [ACT]. The right to live with human dignity becomes illusory in the absence of a healthy environment6.Therighttolifenotonlymeansleadingalifewith dignitybutincludeswithinitsambittherighttoleadahealthy, robustlifeinacleanatmospherefreefrompollution.Obviously, such rights are not absolute and have to coexist with 2 [PRECEDENT] BhavaniRiverSakthiSugarsLtd.,Inre,(1998)2SCC601 4 [ENTITY] 5 [ENTITY].
6 ShantistarBuildersvsNarayanKhimalalGotame&Ors.Etc, AIR1990SC630, [PRECEDENT] [PRECEDENT]
sustainabledevelopment.Therefore,ifthereisaconflictbetween health and wealth, obviously, health will have to be given precedence. Whenweareconcernedwiththehealthofnotone citizenbuttheentirecitizenryincludingthefuturecitizensofthe country, the larger public interest has to outweigh the much smaller pecuniary interest of the industry, in this case the automobile industry, especially when the entire wherewithal to introducethecleanertechnologyexists.
17. Itisthereforenecessarytoensurethat[SECTION]complianceis uniformthroughoutthecountrysothateventhoseareasofthe country whichfortunately havenotsufferedtheillsofextreme pollution are safe in the future. The sale of automobiles and othervehiclesisrisingexponentiallyandthenumberofvehicles onthe road is increasing day by day. Therefore,evenadays delayinenforcing[SECTION]normsisgoingtoharmthehealthofthe people.Wearedealingherewithasituationwherechildrenand unborn children suffer from pollution and issues of inter generational equity are involved. Do we as a society or as manufacturersofautomobileshavearighttomanufacturemore pollutingvehicleswhenwehavethetechnologytomanufacture lesspollutingvehicles?TheanswerisobviouslyabigNO.Ifwe weretofactoronlyeconomicseventhenitmakesnoeconomic sensetohavemorepollutingvehiclesontheroads.Theeffectof pollutionontheenvironmentandhealthissohugethatitcannot be compensated in the marginal extra profits that the manufacturers might make. The amount spent on countering theillsofpollutionsuchaspollutedair,damagedlungsandthe costofhealthcarefaroutweightheprofitsearned.
18. Itwasurgedonbehalfofthemanufacturersthatthereare multiplesourcesofpollutionandvehiclesonlycontributeto2% ofthepollution. Wearenotinagreementwiththissubmission becausetheReportoftheCommitteetowhichwehaveadverted hereinabovestatesthatcontributionofvehiclestoambientPM 2.5 concentrationduringwinterseasonis25%andinthesummer seasonitcontributes9%. Evenifweweretoacceptthefigures submittedbySIAM,weareoftheviewthatnostepistoosmall when it comes to fighting pollution. Small steps to reduce pollutionwhentakentogetherwillleadtolargescalereductionin pollutionwhichwillresultinmuchcleanerair,whicheventually willresultinacleanerandbetterenvironment,healthiercitizens andmostimportantlyahealthiergenerationtocome.
19. Inviewofthefactthattheseproceedingshavebeenpending in court for a long time and also in view of the fact that it is becauseofordersofthisCourtthatBSIVandnow[SECTION]norms have been introduced from the dates which were not even thoughtofbytheGovernment,wefeelthatwehavetotakesuo moto notice of the Rules. At the outset, we may notice that [SECTION]Itdoesnottalkofsaleof vehicles. It only mentions registration of vehicles and permits registration of vehicles conforming to BSIV norms up to 30.06.2020andincaseofcategoriesM&N,upto30.09.2020. Thisrule,inourview,isviolativeofArticle21ofthe[ACT] inasmuchasitextendstimeforregistrationofvehiclesbeyond 31.03.2020andmustbeaccordinglyreaddown. Anyextension of time in introducing the new norms which is not absolutely necessary adversely impacts the health of the citizens and is, therefore,[ACT]This Rulegoesagainstthespiritofalltheorderspassedearlierbythis Court. In the month of March, 2017 we were dealing with a situation when [SECTION] norms were to be made effective throughout the country with effect from 01.04.2020 and this CourthaddirectedthatnonBSIVcompliantvehiclesshallnot beregisteredonorafter01.04.2017.Thesituationinthepresent caseistotallydifferent. 31.03.2020isalmost1 yearsaway. Thereissufficienttimeforthemanufacturerstochangeoverto thenewsystemand,therefore,weseenoreasonwhytheyshould begivenawindowofthreeorsixmonthsforsaleofaccumulated vehicles.Everyvehiclesoldafterthecutoffdateof01.04.2020is bound to cause more pollution and, therefore, the manufacturers, in our consideredview,cannotbepermittedto sellanynon[SECTION]compliantvehicleonorafter01.04.2020.On theonehand,theGovernmenthasbeenproactiveinspending hugeamountsofmoneytomovetothe[SECTION]technology,buton the other hand, the automobile industry is coming up with a varietyofuntenableexcusesjusttodelaytheintroductionofBS VI compliant vehicles by a few months. We, in our judgment dated13.04.2017,hadclearlyheldwhenthehealthofmillions ofourcountrymenisinvolved,notificationrelatingtocommercial activities ought notto be interpretedinaliteralmanner. We havetogiveapurposiveinterpretationtonotificationsspecially thosedealingwithpublichealthissuesandevenmoreso,when healthnotonlyofthecitizensatpresentbutalsothecitizensin thefutureisinvolved.Thereismorethansufficienttimeforthe manufacturerstomanufacture[SECTION]compliantvehicles. They alreadyhavethetechnologytodoso. Theautomobileindustry mustshowthewill,responsibilityandurgencyinthisregard.
20. The Government has developed a policy of phasing out polluting vehicles and discouraging the manufacturers of polluting vehicles. This has been done in a gradual manner. Europe introduced EuroIV fuel in the year 2009 and EuroVI standardsin2015.Wearealreadymanyyearsbehindthem.We cannotaffordtofallbackfurtherevenbyasingleday.Theneed ofthehouristomovetoacleanerfuelasearlyaspossible.
21. Therefore, in exercise of the power vested in this Court underArticle142ofthe[ACT],wereaddownsubrule21 of [SECTION] and direct that [SECTION] shall be interpreted and understood to read that no motor vehicle conforming to the emission standard Bharat StageIV shall be sold or registered in the entire country with effect from 01.04.2020.
J. ([ENTITY]) J. ([ENTITY]) J. ([ENTITY]) NewDelhi October24,2018