Maruti to phase out all diesel cars from April next year
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Maruti Suzuki garners nearly 23% of its annual sales from diesel cars
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The carmaker also today announced a hike in prices of some of its models
Maruti Suzuki, the country’s largest vehicle manufacturer, today announced that it will stop manufacturing diesel vehicles from April 1, 2020 when the new BS 6 emission norms will be introduced. The high cost of upgrading existing diesel engines to the BS 6 norms propelled the company to take such a decision.
The company will try to focus on compressed natural gas (CNG) and hybrid technology driven vehicles to compensate the vacuum created by the phasing-out of diesel vehicles.
Mint was the first to report on Feb 14, 2019 that Maruti was in talks with its parent company Suzuki Motor Corporation for discontinuation of diesel vehicles from 2020.
According to R C Bhargava, chairman, Maruti Suzuki India Ltd, from April next year the company will stop manufacturing diesel vehicles since substantially higher development cost will not make diesel a viable option for consumers.
“We have taken this decision so that in 2022 we are able to meet the Corporate Average Fuel Efficiency norms and higher share of CNG vehicles will help us comply with the norms. I hope the union government’s policies will help grow the market for CNG vehicles," added Bhargava.
Apart from that, the company reported a 4.6% year-on-year decline in net profit to ₹1,795 crore for the quarter ending March 31, 2018 as a result of high commodity and forex costs and increased discounts offered by the company to attract buyers since vehicle sales remain subdued.
The total vehicle sales of the company increased by just 0.4% year-on-year to 4,28,863 units while the net sales or revenue dropped by 0.7% year on year to 20,737.5 crore. The operating margins contracted by 300 basis points due to increase in commodity cost and discounts.
In the full year FY 19, the New Delhi-based company reported 2.9% decease in net profit to ₹7,500.6 crore while the revenues grew by just 6.3% to ₹8,3026.5 crore.
According to Ajay Seth, Maruti's executive director, Finance, overall increased discounts offered to customers and commodity costs had an adverse impact on the financials of the company in FY 19 and the company will cut costs in different part of its operations to stabilise the operating margins in FY 2020.
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Kerala HC declines interim stay on screening of ''L2: Empuraan''
Kochi (PTI): The Kerala High Court on Tuesday declined to issue any interim order putting on hold the screening of Malayalam film 'L2: Empuraan' starring superstar Mohanlal.
Justice C S Dias ordered to issue notice to the Centre and the Censor Board seeking their stand on the plea by Thrissur-native V V Vijeesh who has claimed that continuing to show the movie poses a risk of inciting communal violence and disturbing public order.
It listed the matter for hearing after the vacation.
The court also questioned whether the petition was filed in publicity interest by the petitioner.
During the brief hearing of the matter, the court also asked what was the problem when the Censor Board had certified the film for public viewing.
It also expressed doubts about the petitioner's intention behind filing the plea.
It also pointed out that no case was filed anywhere against the movie.
The state government said that no case has been lodged against the film in Kerala.
Meanwhile, Antony Perumbavoor, one of the producers of the film, earlier in the day announced that the movie has undergone cuts to remove scenes of little over two minutes.
He said the decision to carry out the edit was a joint one of all the producers and actors, including Mohanlal and Prithviraj Sukumaran, and it was not out of fear of anyone.
The movie has faced intense criticism from the Sangh Parivar with regard to some portions of the film.
'L2: Empuraan', the second part of the 'Lucifer' movie, a trilogy planned by the Prithviraj-Mohanlal team, has become a topic of hot debate over its critique of right-wing politics and the covert mention of the Gujarat riots.
On March 27, the day of the movie's release, the Sangh Parivar vehemently criticised the film on social media, while the Congress and Left platforms celebrated the film for portraying the right-wing politics as "villainous".
