Why Skoda Isn’t Launching CNG Cars In India

Bhubaneswar: Czech carmaker Skoda is betting big on its turbo-charged petrol engines. Like parent Volkswagen, Skoda’s range is now devoid of any diesel vehicle, post BS-6 norms.

While the company will be facing diesel rivals such as the Hyundai Creta and Kia Seltos for its upcoming model SUV Kushaq, it is still confident to cruise smoothly on just petrol engines.

Skoda has pointed out that the fuel economy numbers of its 1.0-litre TSI engine will be similar as diesel engines. The Kushaq will also have an option of 1.5-litre TSI engine. Going by Skoda’s optimism, one can expect ARAI certified numbers around 20 kmpl.

Skoda uses the 1.0-litre TSI engine in the Rapid sedan which is selling as much as before, when a diesel option was available.

About CNG options, Managing Director of Skoda Auto India Gurpratap Boparai told Financial Express that taxation is preventing that. In fact, factory fitting of CNG kits attracts 43 per cent tax, and they are not very comfortable with dealer fitting, he added.

Skoda has heavily localised production of the Kushaq, with 92 per cent. It will go up to 95 per cent at the end of 2021. The company will be importing electronic components such as semi-conductors.

The company is also betting big on lower service costs, a factor the brand has earlier been infamous for.