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    Transition From BSIV To BSVI Impacting The Stakeholders: Customers

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    jignesh patil
    The document discusses the transition from BS IV to BS VI emission standards in India and the impact on various stakeholders. [1] Customers are being made aware of BS VI fuels and the relationship between sulfur content and emissions. [2] Potential buyers are waiting for new BS VI vehicles while the transition is slowing auto sales. [3] Manufacturers face increasing costs to upgrade vehicles to meet the new standards, which will increase prices for consumers, particularly for diesel vehicles.

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    Transition From BSIV To BSVI Impacting The Stakeholders: Customers

    Uploaded by

    jignesh patil
    33 views2 pages
    The document discusses the transition from BS IV to BS VI emission standards in India and the impact on various stakeholders. [1] Customers are being made aware of BS VI fuels and the relationship between sulfur content and emissions. [2] Potential buyers are waiting for new BS VI vehicles while the transition is slowing auto sales. [3] Manufacturers face increasing costs to upgrade vehicles to meet the new standards, which will increase prices for consumers, particularly for diesel vehicles.

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    CHAPTER II

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    The document discusses the transition from BS IV to BS VI emission standards in India and the impact on various stakeholders. [1] Customers are being made aware of BS VI fuels and the relationship between sulfur content and emissions. [2] Potential buyers are waiting for new BS VI vehicles while the transition is slowing auto sales. [3] Manufacturers face increasing costs to upgrade vehicles to meet the new standards, which will increase prices for consumers, particularly for diesel vehicles.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    33 views2 pages

    Transition From BSIV To BSVI Impacting The Stakeholders: Customers

    Uploaded by

    jignesh patil
    The document discusses the transition from BS IV to BS VI emission standards in India and the impact on various stakeholders. [1] Customers are being made aware of BS VI fuels and the relationship between sulfur content and emissions. [2] Potential buyers are waiting for new BS VI vehicles while the transition is slowing auto sales. [3] Manufacturers face increasing costs to upgrade vehicles to meet the new standards, which will increase prices for consumers, particularly for diesel vehicles.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    CHAPTER II

    Transition from BSIV to BSVI Impacting the Stakeholders

    Customers
    BS VI fuels are already into the market in most of the cities in India and people are being
    made aware about this so that it will be easy for them because for the people who are holding
    BS IV standards they can choose to opt for BS-VI fuel. Now, using BS VI will produce
    completely different result as there is a direct relation between sulphur content and emission
    produced, in simple words, the lesser the sulphur in fuel vehicle the lesser it will emit
    particulate matter(PM) which transforms into cleaner combustion.
    Petrol as compared to diesel has less sulphur content, thus it produces less carbon monoxide,
    NOX and other toxic substances. BS VI fuels will reduce the efficiency of fuel due to sulphur
    content which in exchange will increase the cost of fuel at gas station. That is the main reason
    why most of the companies are investing in oil companies.

    Potential buyers are waiting for buying any new car and will wait until the new BS VI
    vehicles entered into the market. This can be the reason why automobile industry sales
    slowed down a in India since a year. It was quite logical for the customer to wait for a year
    and directly invest in BS VI vehicles. This waiting of the customer has been causing a trouble
    for manufactures because of BS IV stocks is been increasing.

    Effect on the Cost of the Vehicles Once BSVI Is Implemented-


    The technology will also be changing with new emission norms coming up. Petrol engines
    will be coming with upgraded Electronic Control Unit (ECU). Whereas diesel cars will
    require a massive change in their technology in order to reduce emissions. This will be the
    biggest reason which will lead to increase in prices of diesel cars. The prices between petrol
    and diesel cars also varied by 2 to 2.5 lakhs. The increase in the price of the diesel cars will
    be also due to adding up certain layers such as Diesel Particular Filter (DPF) and Selective
    Catalytic Reduction System (SCR).
    Manufacturers
    Maruti Suzuki the leading car manufacturer has already started manufacturing BS VI vehicles
    and announced their plans towards cleaner and greener environment. Maruti will have a
    upgraded hardware and software systems in alignment with upgraded exhausts which will be
    compliant to BSIV norms to run on BSVI fuels too.
    The leading companies have already started investing to upgrade the existing models and
    make them BS VI compatible. Most of the automobile firms are looking at the vehicles that
    do not require much changes before BSVI norms.

    Government
    The petroleum and the natural gas ministry passed a resolution in court that vehicles which
    are not compatible to BS VI emission standards won’t be allowed to run on Indian roads.
    Thus initially gave all the automobile manufacturers a window to sell all their BSIV stocks.
    Now as we all are going through lockdown, Supreme Court said that 10 days window will be
    given to all the manufacturers to sell their BS IV stock.

    Suppliers

    New Vehicle costs will see an increase in prices not only due to impose of BS VI norms but
    also due to mandatory safety packages coupled with forces and more and more comfort
    features necessary for OEM’s. The effect on suppliers would be varied based on product
    categories. Players which are involved in supply of modified components needed for BS VI
    would see a jump in revenues and profits. However with OEM’s will not be able to pass on
    the entire cost burden of BS VI on customers.

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