The National Green Tribunal (NGT) has ordered that diesel-run vehicles will not be registered in Delhi and there will be no renewal of registration of such vehicles which are more than 10 years old, reported the Press Trust of India today.

Apart from the decision to ban, the green panel also questioned the Delhi government's odd-even formula for vehicles to check pollution in the national capital, saying it may not achieve the desired purpose.

"In view of serious contribution of vehicular pollution to air quality of NCR, it is important that the government should take a serious view and a decision whether any diesel vehicle, old or new, should be registered in Delhi.

"As an interim measure and subject to hearing all parties in the case, we direct that diesel vehicles which are more than 10-year old and new diesel vehicles would not be registered in Delhi," a bench headed by NGT chairperson Justice Swatanter Kumar said.

The Tribunal also directed the Centre and state governments to consider not buying any diesel vehicles for their departments.

Casting doubts over the Delhi government's ambitious plan, the panel said that that the odd-even formula for vehicles may "encourage" people to buy two cars.

The Supreme Court on Thursday also agreed to examine the plea for banning diesel cars from plying on Delhi roads to tackle growing menace of pollution in the national capital.

Following today’s decision by NGT, stocks of key diesel vehicle manufacturers in the country tumbled.  Shares of Mahindra & Mahindra, Tata Motors, Ashok Leyland and Eicher Motors fell 2.5-3.0% during trade today.

Commenting on the order, auto analyst Abdul Majeed – Partner, Price Waterhouse said: “Emission is a key issue across some cities in India. Though this decision is welcome, the steps which one takes should be sustainable covering all industries including automotive. In India, awareness is also one of the weak areas when it comes to emission and here too all stakeholders need to work together.”

Earlier in April, the NGT had held that all diesel vehicles which are more than 10 years old would not be permitted to ply in Delhi-NCR.  The bench in November last year had banned all vehicles which were more than 15 years old and held that they would not be permitted to ply on the city roads.