In view of the huge investment in the automotive sector, it is important to be aware of the laws relating to and the regulation governing the automotive sector.
The Indian automobile industry is the tenth-largest in the world. It has an annual production of approximately 2 million units. There has been sustained growth in the automotive sector of India following the economic reforms of 1991 which opened up 100 percent Foreign Direct Investment in this sector. The competitiveness in the automotive sector has been increasing since then. The industry has been growing annually at 20 percent. India is set to be a key player in the automotive sector.
The automotive regulations in India are governed by the Ministry of Shipping, Road Transport & Highways (MoSRT&H) which is the nodal ministry for the regulation of the automotive sector in India. Along with MoSRT&H, ministries such as the Ministry of Environment & Forests and the Ministry of Petroleum & Natural Gas also have a vital role in the formulation of automotive regulations and standards in India.
The principal instrument governing the automotive sector in India is the Motor Vehicles Act, 1988 (MVA) along with the Central Motor Vehicles Rules 1989 (CMVR). The Act governs emission norms and safety standards in India and consolidates the law pertaining to motor vehicles. The CMVR provides the rules that explain the MVA in detail.
AISC is a committee set up by MoSRT&H. The purpose of establishing this committee was to review the safety standards with regard to motor vehicles in India on a periodic basis and to give recommendations. The Chairman of this committee is the Director of Automotive Research Association of India (ARAI) which is one of the testing agencies constituted under CMVR-TSC. The AISC safety standards are formulated and prepared by separate Panels comprising of representatives of various stakeholder associations such as the Department of Heavy Industries, Department of IPP, Department of RT&H, BIS, Vehicle Research and Development Establishment (VRDE), SIAM, ACMA, and ARAI. The representative of ARAI is the member secretary of this committee.
The National Standards for Automotive Industry are prepared by the Bureau of Indian Standards (BIS). These standards are submitted for approval to the CMVR-TSC. After approval, the CMVR-TSC sends it to MoSRT&H for final approval. The standards formulated by AISC are also converted into Indian Standards by BIS. The standards formulated by both BIS and AISC are considered by CMVR-TSC for implementation.
Standing Committee on Implementation of Emission Legislation (SCOE) is another committee along with CMVR-TSC that was formulated under the MoSRT&H. This committee was established for the purpose of recommending emission norms. This committee is established to discuss the future emission norms and to recommend norms for in-use vehicles to MoSRT&H. This committee finalizes the test procedures and the implementation strategy for emission norms and advises MoSRT&H on any issue relating to the implementation of emission regulations.
The Indian standards and norms are at par with international standards to the extent that there is sustained growth in the automotive sector. But there is a need to consolidate the laws further by bringing a master legislation in force that would govern and regulate all committees in force in India rather than the committees being governed by various Ministries.
This Article Does Not Intend To Hurt The Sentiments Of Any Individual Community, Sect, Or Religion Etcetera. This Article Is Based Purely On The Authors Personal Views And Opinions In The Exercise Of The Fundamental Right Guaranteed Under Article 19(1)(A) And Other Related Laws Being Force In India, For The Time Being.
Tags : Automobile industry