Economy, asked by anupsinghhagmailcom, 4 months ago

Suggest any two policies initiatives that the government can take through the market to decrease the
consumption of diesel in the country, so that the environmental pollution is reduced.

Answers

Answered by kilanikomali9
1

Answer:

Demand for diesel can be decreased in two ways, as under:

(i) Use of Substitute Fuel (CNG): The CNG (Compressed Natural Gas) is a substitute of petrol and diesel. It is much more environment-friendly than the diesel. The government should encourage the use of CNG through subsidies.

(ii) High Taxation on Diesel Vehicles: Excise duty on the production of diesel vehicles may be raised. So that, their market price rises to curb their demand.

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