Everything You Need To Know About Bharat Stage VI Norms

by Vinaya HS on March 14, 2017

in Finance

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Your first car helps you learn a lot about various aspects and technicalities pertaining to an automobile. You get to learn, to begin with, how to drive and park a car, how to prep your car for an oil change, how to change a flat tyre, motor insurance, and the list goes on. Ever wondered what the sticker on the car that reads “BS Compliant” or just “BS IV” implicates or what it translates to? Let’s find out.

What are BS norms?

BS is an acronym that stands for Bharat Stage. It is typically followed by a numerical, say three or four, depending on the car manufacturing date and model. BS norms are basically a set of regulatory standards concerning the emissions from automobiles or four wheelers in India. These norms are conveyed and regulated by the Central Government as needed, from time to time. This is an exercise that is implemented by the Central Pollution Control Board as a measure to curb air pollution from car emissions. This board comes under the purview of Ministry of Environment, Forests and Climate Change. With the increased sale of private cars causing the number of cars on Indian roads to rise greatly, the air pollution levels have reached a record high. Hence, the BS norms and standards have acquired a lot of importance in the hope of tackling this issue.

Difference in BS-IV and BS-VI standards

As mentioned earlier, the number followed by ‘BS’ is the stage number that indicates the version of BS norm compliance. The latest one that is employed with the current crop of car models is BS IV. The number keeps ascending as and when the new norms are enforced according to the government’s directive. Till now the BS norms have been based upon its European counterparts and the trend is expected to continue with BS VI. The BS IV will enforce tighter regulations which will force the oil companies to produce fuel i.e. both, petrol and diesel that is compliant with the new regulations.

Impact of BS VI norms on car insurance

As per a directive by the central government, it will be mandatory for all four wheelers to be BS VI compliant by 2020. This has created quite a stir in the industry since this entails skipping a number, going directly to BS-VI from BS-IV. This is because it will cost a lot to both, the oil as well as the car manufacturing companies to produce fuel and cars that meet the new BS VI standards. This new standard is slated to affect your vehicle insurance premium too! Here’s why. In order to make the cars BS VI compatible, car manufacturers will increase their prices. Due to the increased price tag, the sum insured of the car will increase in tandem. Since the automobile insurance premium is directly proportional to the sum insured, the premium amount is bound to rise. As per industry experts, a rise of around 20% is expected. Because of this, the leading players of the automobile industry are trying hard to extend the deadline for BS IV to 2023.

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