Vehicles running on electricity and biofuels have now been given exemption from permits but fleet operators who benefit from the measure said the government needs to do more to see a shift from diesel to green energy.
Unlike private vehicles, the taxis and vehicles used for providing transport services or commercial purposes have to get permits and pay road tax due to the commercial nature of their operation.
In March 2016, the state government exempted all electric vehicles (EV) from paying road taxes. In a new notification, the government has exempted EVs and vehicles running on ethanol and methanol from the permit system.