The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved a landmark two-year scheme designed to curb air pollution and accelerate the transition to cleaner transit across the Delhi–National Capital Region (NCR).

Funded through the National Capital Region Planning Board (NCRPB) under the Ministry of Housing and Urban Affairs (MoHUA), the program will be jointly executed by the Ministry of Road Transport and Highways (MoRTH) and the Ministry of Petroleum and Natural Gas (MoPNG). The initiative will operate in direct collaboration with the participating governments of Delhi, Haryana, Rajasthan and Uttar Pradesh.

The scheme features a total financial outlay of INR 95.85 billion, which includes an INR 50.41 billion capital commitment from the Central Government and an estimated INR 16.01 billion allocated via tax concessions from the participating states.

The program targets the replacement of heavy commercial vehicles currently complying with BS-IV or earlier emission standards with newer BS-VI (or stricter) compliance models and electric vehicles (EVs). According to data cited from an August 2018 source apportionment study by the Automotive Research Association of India (ARAI) and The Energy and Resources Institute (TERI):

• Sector Emissions: The transport sector drives 14 percent of PM2.5, 40 percent of Carbon Monoxide (CO), and 63 percent of Nitrogen Oxide (NOx) emissions in Delhi-NCR.
• High-Impact Fleet: Within this sector, trucks and buses account for 36 percent of total PM2.5 emissions while making up just 3 percent of the active vehicle fleet.
• Technology Gap: A single Pre-BS heavy-duty vehicle emits as much particulate matter as 14 BS-VI vehicles, while an older BS-IV truck emits 2.7 times more than its BS-VI counterpart.

The fleet modernisation drive is expected to benefit approximately 207,000 vehicle owners across the NCR, encompassing 191,000 trucks and 16,329 buses. Government-owned fleets are explicitly excluded from the scheme.

The operational guidelines differ by vehicle generation and state jurisdictions:

• BS-III or Older Vehicles: Owners must format and scrap old assets at a Registered Vehicle Scrapping Facility (RVSF).
• BS-IV Vehicles: May either be scrapped or sold outside the NCR boundary into non-NCAP (National Clean Air Programme) cities and towns.
• Replacement Registration: New replacement vehicles must be registered inside the NCR.
• Delhi-Specific Mandates: Within the National Capital Territory of Delhi, all Light Goods Vehicles (LGVs) purchased under this framework must be purely electric, while new buses are restricted to either BS-VI CNG or electric drivetrains.

To offset transition costs for operators, the program bundles financial support from the central government, state bodies, and original equipment manufacturers (OEMs):

The rollout will operate entirely via an integrated digital portal designed to handle real-time eligibility screening, automated processing for interest subventions, monthly credit distribution for fuel vouchers, and structural tracking of net pollution reduction metrics. While the enrollment window spans two years, the central government's financial benefits will remain active for 5 years from a vehicle's individual registration date to provide sustained operational relief.

Administrative monitoring will be directed by a high-level Empowered Committee chaired by the Cabinet Secretary. The body will include the CEO of NITI Aayog, Secretaries from MoHUA, MoRTH, MoPNG, and the Department of Financial Services (DFS), alongside the Chief Secretaries of the participating NCR states, with the Member Secretary of the NCRPB serving as the member convenor. Local execution and district-level compliance will be managed by respective District Magistrates and District Collectors.

Shailesh Chandra, President, SIAM, said, “This is a positive step towards accelerating the adoption of cleaner vehicles in Delhi NCR. A combination of 5 percent interest subvention by the Centre, road tax concessions by States, monthly fuel vouchers of up to INR 4,800 by OMCs, and discounts by OEMs allows participation from all stakeholders to provide an opportunity to owners of old Commercial Vehicles to leverage the programme, thereby contributing to reducing pollution load in NCR.”

Girish Wagh, MD & CEO, Tata Motors, said, “The approval of this scheme is a positive step towards accelerating fleet modernisation and cleaner mobility in the Delhi-NCR region. Aligned with our commitment to make cargo and passenger transportation greener and more efficient, we are well positioned to support this transition through our expansive portfolio of BS-VI and zero-emission commercial vehicles, and our nationwide network of Re.Wi.Re registered vehicle scrapping facilities. We look forward to studying the finer details of the notification to further align our efforts towards building a more sustainable and modern commercial vehicle ecosystem.”

B. Srinivas, MD & CEO, VECV, said, “We applaud the Government for approving the vehicle replacement scheme for Delhi-NCR. This is a significant step towards accelerating fleet modernisation while addressing one of the region’s most pressing environmental challenges. As India progresses towards its Net Zero 2070 ambitions, such initiatives demonstrate how policy, industry and technology can come together to drive sustainable mobility. At VECV we believe this will not only support cleaner transportation in Delhi-NCR but also serve as a model for fleet renewal and modernisation across the country during its Amrit Kaal. We are committed to supporting our customers through this transition with a wide range of Eicher and Volvo trucks and buses offering fuel options covering electrics, CNG, LNG and clean BSVI diesel.”

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German material manufacturer Covestro has partnered with automotive major BMW, tier 1 supplier FORVIA HELLA, and academic research institutions to launch KOLLEKT, a project focused on developing recyclable automotive lighting and electronic components.

Funded by the German Federal Ministry for Research, Technology and Space (BMFTR) with EUR 4.371 million under the CircularGlowUp framework, the three-year initiative runs from June 2026 to May 2029.

The consortium led by coordinator FORVIA HELLA, includes BMW, Covestro, Geba, SW Maschinenservice, Fraunhofer IEM, Fraunhofer UMSICHT, the University of Paderborn, Hamm-Lippstadt University of Applied Sciences and the Helmholtz-Zentrum Dresden-Rossendorf. The initiative addresses vehicle recyclability, resource consumption and end-of-life material recovery in light of the EU End-of-Life Vehicles regulation.

The project focuses on product design optimised for repair, reuse, remanufacturing and recycling. Covestro contributes its expertise in polycarbonate materials, including its Makrolon, Bayblend and Apec product lines, to evaluate recycling pathways and material properties from the initial design phase.

Monique Buch, Chief Commercial Officer, Covestro, said, “KOLLEKT is a prime example of how we create value together with our customers and partners — going beyond material supply to co-designing solutions from the very beginning. By aligning early across the value chain with BMW, FORVIA HELLA and other partners, we can embed circularity directly into product development. That is what true co-creation looks like—and how we turn sustainability ambitions into tangible outcomes.”

Technological developments within the project include an artificial intelligence-driven robotic dismantling unit. Utilising digital product twins and real-time data processing, the unit aims to enable automated, material-pure disassembly at an industrial scale.

The initiative builds on the predecessor project NALYSES, which concluded in 2026. Project outcomes are intended to support compliance with EU ELV recycling targets through 2032 and assist vehicle manufacturers in meeting post-consumer recycled content quotas.

Guido Naberfeld, Head of Sales and Market Development Mobility, Covestro, stated, “KOLLEKT is a concrete step toward closing the loop on high-performance polycarbonate in automotive applications. By combining Design for Circularity with advanced recycling technologies and digital traceability, we are demonstrating that sustainability and material performance are not a trade-off. This is how Covestro contributes to meeting the EU's ELV targets and helps the entire automotive value chain transition to a truly circular model.”

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Mumbai-headquartered automotive major Mahindra Group has announced the appointment of Shveta Arya as its new Group Chief Strategy Officer, effective 15 September 2026. Arya will also join the senior management team of Mahindra & Mahindra and serve on the Group Executive Board.

In her new role, Arya will oversee the Group Strategy Office across the organisation's portfolio of businesses to determine growth opportunities and value creation. She will report directly to Dr. Anish Shah, Group CEO & MD of Mahindra Group.

Dr. Anish Shah said, “We are pleased to welcome Shveta Arya as Group Chief Strategy Officer. Shveta brings over two decades of leadership experience across business and strategy, as well as management consulting across diverse sectors. Her experience in driving growth, shaping strategy and leading through change will be valuable as we work with our portfolio of businesses to drive growth and create long-term value across our portfolio of businesses. Her passion for constructive change and holistic progress also resonates strongly with Mahindra’s purpose. I wish her the very best in this key leadership role.”

She comes with over 23 years of experience across publicly listed multinational organisations and management consulting. Her background spans the automotive, travel, financial services and telecom sectors.

Most recently, Arya served as Managing Director of Cummins India, where she managed operations, growth strategy, talent and workplace culture. She was also the program sponsor for Cummins' initiative focused on women and girls in India. Prior to Cummins, she led Strategy and M&A at Thomas Cook India and held roles at Kearney and Infosys.

Arya holds a Master of Business Administration from the Indian Institute of Management Ahmedabad and a Bachelor of Engineering in Information Technology from Delhi University.

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Envalior India Pvt. Ltd. has launched a specialised training hub focused on electric vehicle technology at MM Polytechnic in Pune, marking a significant step in aligning vocational education with the demands of the burgeoning EV sector. The Envalior Centre of Excellence, a product of the company’s CSR initiatives in partnership with the BroadArks Foundation, is intended to serve as a practical workshop where students can transition from theoretical knowledge to applied technical competence.

The facility was formally inaugurated by Christopher Stillings, Vice President –R&D, in the presence of Krijn Dijkstra, Nileshkumar Kukalyekar, Uday Shetty, Susmita Mishra, Hema Rani, Sainath Vaidya and Aniket Nirwan of Envalior, MM Polytechnic leadership and other dignitaries. By embedding this centre within a technical campus, the programme seeks to immerse learners in the realities of EV maintenance and repair, covering not just mechanical functions but also the intricate electrical and software-driven systems that define modern vehicles.

With an annual capacity to reach roughly 250 learners, the centre will cater to students from ITI and polytechnic backgrounds across multiple engineering streams. The coursework is divided into two progressive phases, starting with a foundational module that introduces participants to basic EV architecture, battery safety and routine service procedures. An advanced tier follows, offering deeper instruction on battery management systems, thermal controls, high-voltage safety protocols, motor controllers and complex diagnostic methods.

Beyond traditional lectures, the training environment incorporates interactive lab sessions with real vehicle components, diagnostic tools and industry-relevant projects, ensuring that participants acquire both safety awareness and problem-solving agility. The overarching goal is to produce graduates who are not merely familiar with EV theory but are confident in executing hands-on repairs and system evaluations. Through this scalable framework, Envalior is actively working to narrow the skills gap in India’s automotive sector, creating a direct pipeline of capable talent for the evolving mobility landscape.

Nileshkumar Kukalyekar, Business Director – South Asia, Middle East & Africa, Envalior, said, “The transition to electric mobility is creating a fundamental shift in the skills expected from the automotive workforce. For us, this Centre of Excellence is about ensuring that technical education keeps pace with that change. By giving students the opportunity to work directly with EV systems, understand advanced diagnostics and build capabilities through structured, certified training, we are helping create a stronger bridge between what young technicians learn and what the industry will increasingly expect from them. We see this as an investment not only in individual careers but in the technical talent that will support India’s mobility transition in the years ahead.”

Christophe Stillings, Vice President – R&D, Envalior, said, "At Envalior, we believe the future of mobility depends on developing industry-ready talent today. Through the Centre of Excellence, students will gain hands-on exposure to EV technologies, helping bridge the gap between academic learning and real-world industry requirements. By bringing together academia and industry expertise, we aim to equip the next generation of engineers with the practical skills, confidence and innovation mindset needed to succeed in a rapidly evolving automotive landscape."

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Tier 1 automotive supplier Schaeffler India has appointed Amit Bhalerao as its Chief Operating Officer, effective 10 August 2026.

In his new role, Bhalerao will oversee the company's manufacturing operations across India. His responsibilities include directing manufacturing strategy, operational performance, digitalisation projects and capability development, as well as managing local production initiatives across the firm's plant network.

Bhalerao will join Schaeffler India's Executive Leadership Team, collaborating with divisional heads to manage the company's operational footprint.

Harsha Kadam, Managing Director and CEO, Schaeffler India, said, "India continues to be a strategic growth market for Schaeffler, and strengthening our manufacturing and operations capabilities is central to our journey as the leading Motion Technology Company. Amit brings extensive experience in leading complex manufacturing operations, driving operational excellence and building high-performing teams. His leadership will further enhance our manufacturing competitiveness, customer focus and innovation capabilities as we continue delivering greater value to our customers and stakeholders. We wish Amit the very best and many successes in his journey at Schaeffler in India."

Bhalerao comes with 23 years of management experience in manufacturing, operations, lean transformation, quality assurance and supply chain management. Before joining Schaeffler India, he held the positions of Managing Director and Vice-President of Operations at Kelvion India, where he managed operations, technology transfer and capacity expansion projects. He has also held leadership positions at Cummins, Eaton and Sterlite Technologies.

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