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Maruti rules out price hike for making cars Euro-fit, hails SC Euro-1directive

Maruti Udyog Limited has ruled out any hike in prices of its cars which would be Euro-I compliant from June 1, 1999, in compliance of the Supreme Court order today.

MUL managing director RSSLN Bhaskarudu stated that the company has already prepared contingency plans to immediately upgrade to Euro-I norms while preparing for full transition to Euro-II norms by April 1, 2000.

''There is an economic cost for complying with Euro-I norms, which in the case of Maruti Udyog Limited works out to be around Rs 5,000 - Rs10,000 per vehicle, depending on the model.

"Keeping in view the interests of our customers and the large number of pending bookings, we have decided to absorb the entire cost ourselves,'' Bhaskarudu said in a statement issued here.

As per the Supreme Court directive today, car manufacturers can sell and register Euro-I compliant vehicles in the NCR without any restriction from June 1, 1999.

Maruti, Bhaskarudu said, is fully equipped with both the technology and the components required to comply with the Euro-I emission norms. While the Esteem and the Zen (diesel) were always Euro-I compliant, the Maruti 800 and the Zen (petrol) will be compliant from June 1, 1999 ''and we are simultaneously working on the Omni and the Gypsy''.

''Over the past fortnight, we have been working assiduously towards compliance with the Supreme Court directive.''

Bhaskarudu further claimed that the company was well on its way to meet the Euro-II norms by April 1, 2000 and investments of Rs 6 billion have already been made in this regard.

Further, the company said, the clarification on the issue of apportioning vehicles between the 21 regional transport offices of the NCR and the four states in the region and also between the dozen-odd automobile manufacturers from now till May 31, 1999, is still awaited.

The company welcomed the apex court's order which allowed free registration of CNG-fitted vehicles. Bhaskarudu said, ''Maruti has been proactively encouraging the use of CNG in its vehicles. We recently launched CNG-driven cabs in Delhi and most of our dealers in the capital are equipped to fit and maintain CNG kits.''

The company also claimed that it was holding over 11,000 bookings in the NCR, of which less than one per cent had been cancelled during the last fornight. ''The minuscule number of cancellations vindicates the faith shown by customers in Maruti and its products.''

The company has assured early delivery of vehicles to its customers in the region and said that it would try and make up for the lost time.

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