"Emission standards were not set up to deal with import competition...it is an unintended fallout"
On the key environmental challenge for two-wheelers
It will be necessary to find ways to achieve further emission reductions. But the new technologies may add to the complexity and cost of the vehicles.
Does the Indian industry believe more in survival and less in leadership?
I do not agree with this assertion. We meet one of the most stringent emission standards in the world. This was only made possible by leadership and indigenous effort, considering that there wasn't much available in the rest of the world to buy.
Could over-dependence on sourcing technology through collaborations affect market shares?
Alternate approaches to technology development complement each other. If one does not have a competent in-house research and development (R&D) set-up one will not be able to leverage technology from the outside to get cutting edge technology.
On pushing for fiscal incentives to cushion the incremental costs of rapid technological advancement:
New technology initially costs more and usually the costs declines as sales increase. Where the technology has been for people's benefit we have sought the government's assistance. For example, import duties on compressed natural gas (CNG) kits were reduced from 35 to five per cent. We have requested similar concessions for battery-operated scooters. However, government revenue too has to be kept in mind.
Can tighter emission norms act as barriers against the threat of imports?
Becoming more competitive by improving upon products, costs, quality and customer service should be the strategy. Tougher standards were not set up to deal with import competition. If at all they provide a temporary barrier. It's an unintended fallout.
Will alternative fuel technology help take the quantum leap?
CNG does produce lower emissions but it's difficult to visualise the possibility of its becoming an :cross-the-board' option fuel for the entire country. Efforts to meet the next stage norms with conventional fuels will have to continue independently. We should continue to focus on improving emissions with conventional fuels and also invest in developing alternative fuel vehicles.