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ACMA - SIAM Interaction. 9 th June 2003 Chennai. Agenda. Harmonisation with International Standards Evolving a process of formulating Regulations Formation of a Technical Cell in MoRTH. SIAM. Harmonisation with International Standards. India has joined WP-29 as an observer
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ACMA - SIAM Interaction 9th June 2003 Chennai
Agenda • Harmonisation with International Standards • Evolving a process of formulating Regulations • Formation of a Technical Cell in MoRTH SIAM
Harmonisation with International Standards • India has joined WP-29 as an observer • Indian delegation to participate in its first meeting from 24th – 27th June 2003 at Geneva • Delegation to be led by Mr Alok Rawat, Joint Secretary, MoRTH SIAM
Harmonise with ECE regulations • Adopt/ modify to suit Indian Conditions, to the extent essential • Availability of Test Facilities • Market Acceptance • Socio- economic considerations SIAM
Objective of Formulation of an SIAM Road Map on Safety • To lay down an action plan for implementation of safety regulations over the next decade taking into consideration the approach followed internationally • To provide a mechanism for bridging the gap between Indian and international regulations. • To enable Government to put in place necessary policies for all stake holders. • Road Map has been finalised at the last CMVR Technical Standing Committee meeting on 21-23 May 2003 in Pune SIAM
Principles • Harmonisation with International Standards & well laid-out Road Map for Safety Standards • Specify Norms, not Technology • Market forces are best way to influence change SIAM
Market forces are best way to influence change Positive Response from the Government: • Accepted SIAM argument: not to mandate but let superior technology gain its own momentum • 2 Stroke vs 4 Stroke - increasing sales of 4S over 2S • Golden Quadrilateral – increased containerisation – Multi-axle vehicles • However, at times, interventions are necessary to correct market distortions • Retractable Seat Belts • Need for well defined Road Maps. Eg.: Emission Road Map (Mashelkar Committee), Safety Road Map, Bus/ Truck Body Code, Inspection & Certification Systems, etc. • Vehicle retirement policy : SIAM recommendations • Auto policy has underlined the need for terminal Life policy SIAM
Specify Norms, not Technology Positive response from the Government: • Guiding principle of Expert Committee on Auto Fuel Policy chaired by Dr R A Mashelkar “As elsewhere in the world, the Government should decide only the vehicular emission standards and the corresponding fuel specifications without specifying vehicle technology and the type of fuel. . . ” SIAM
Specify Norms, not Technology (Contd…) • Indigenous manufacturing capabilities & cost sensitivity of society ignored • Mandating of Rear View Mirror size, even if vision requirements are met • Steering Effort • The current standards are at par with ECE • Mandating of Technology not justified • COP of components being suggested without ensuring adequate testing facilities SIAM
Harmonisation with International Standards and Well Laid out Road Map for Safety Standards Positive response from the Government: • Joined WP 29 as Observer • Final stage discussions within Government on suggested Safety Roadmap SIAM
Current Contentious Issues • Technology being mandated for meeting Standards • This is against worldwide principles • Some ad-hoc regulations are formulated to address enforcement lacunae • Suggested Regulation which in effect lead toMandating Tyre specifications may act as a fuse for over loading • Lack of enforcement against overloading is being addressed by mandating increase in engine power SIAM
Current Contentious Issues (Contd…) • In sectors like CVs, specific Technology being mandated without addressing the basic issues : • Bus & Truck Body Code • Accreditation of Body Builders • Enforcement against overloading • Lack of Inspection & Certification Systems • Utility of mandatory requirements are not being evaluated in totality resulting in wasteful expenditure: • Warning Triangle • First aid kit • Fog Lamps SIAM
In Conclusion • SIAM’s mission is to work as a catalyst towards the sustainable development & growth of the Automotive Industry • SIAM believes in standing by a set of principles which have evolved through collective wisdom & consensus over the years. These principles have to be borne in mind whenever contentious issues are proposed • Automotive Industry proactively working towards harmonisation with more stringent standards & norms. What is required is, adequate lead time for gearing up supply chain & productionising (Eg. Emission & Safety Road Map) • Active Participation of Auto & Auto Component industry is imperative in all policy making processes as is practiced world-wide (Proposal for Technical Cell) SIAM
Background • India has decided to participate in UN ECE WP-29 as observer • Later become a signatory to either 1958 agreement or 1998 agreement or both • Need to support and enhance the regulation formulation capabilities of Ministry. • Full-fledged Secretariat for WP-29 and harmonisation activities required in Ministry. SIAM
Genesis • Structure similar to JASIC to be adopted in India • This body to act as a secretariat for regulations formulations in the country and regulation harmonisation activities under WP-29. SIAM
Adoption of Technical cell in Stages • Stage –I Since India is participating in WP-29 as an observer, initially a small cell to be created in Ministry. One member each from Automobile Manufacturers and Component Manufacturers on deputation to this cell till the full Secretariat for the Cell is formed. SIAM will act as Principal Secretariat. • Stage –II Based on JASIC structure a Technical Cell to be formed and jointly funded by the Government and the Industry. SIAM
Proposed Structure • A six to seven member fulltime secretariat to be formed. • Industry to nominate two experts to work on deputation in the secretariat • Working Groups to be formed to work on various regulations and grouped in a similar fashion as under the WP 29. SIAM
Proposed Structure SIAM
Budget for Technical Cell • Industry Contribution:- • Two experts @ Rs 15-20 lakhs/year = Rs 40 Lakhs/year • 0.5% cess collection = Rs 40 Lakhs/year
Thank You! Society of Indian Automobile Manufacturers Core-4B, Zone IV 5th Floor, India Habitat Centre New Delhi - 110 003 Tel.: 011- 24647810/11/12 Fax: 011- 24648222 Email: siam@vsnl.com