The ministry of environment and forest on Wednesday issued a clarification allowing free import of compressors that do not pose any threat to the ozone layer.
This ends the concern among those car makers whose vehicles have imported compressors that their production will suffer once the compressor inventory run out.
Earlier this month, the ministry, in an internal communication to the customs department, had put an effective stop on import of compressors, whether they contain ozone depleting substance or otherwise.
This could have led to a stoppage of air conditioner supplies to car makers, thereby bringing the production of cars also to a stop. Close to 90 per cent of the cars made in India come with factory-fitted air conditioners.
However, this would not have affected car companies such as market leader Maruti Udyog which use domestically made compressors.
The clarification sought by customs officials in Chennai had listed four importers of compressors: Denso Kirloskar Industries, Toyota Kirloskar Motor, Visteon Automotives Systems and Volvo India.
The communication had, however, clarified that these compressors are not filled with refrigerants that are hazardous to the ozone layer. Industry sources said the move to curb import of refrigerant-free compressors could have hurt the production schedule of Hyundai Motor India and Ford India too.
A letter to the commissioner of customs (imports), Chennai, from the ministry of environment and forests (ozone cell) written on March 6, had said all importers of compressors have to be registered with the competent authority, which will be the environment ministry in this case.
This clarification note has been issued in response to a query raised by the customs department in Chennai on the legal validity of the imports.
The confusion over restricting import of compressors that apparently do not pose any threat to the ozone layer had risen over conflicting interpretation of the Ozone Depleting Substances (Regulation) Rules, 2000 and the schedules that accompany it.
The laws of the land currently do not specifically state that compressors that do not deplete the ozone layer need not be regulated.
The clarification issued by the MoEF as a letter to the Society of Indian Automobile Manufacturers today said that registration requirement will not be applicable for importing compressors using non-ODS or compressors which do not contain any refrigerant gas.Do you want to discuss stock tips? Do you know a hot one? Join the Stock Market Investments Discussion Group
