New Delhi, Sept. 8 -- For the first time, the sale of alternative fuel vehicles has outpaced petrol cars in India's passenger vehicle market. According to the monthly retail registration data of the Federation of Automobile Dealers Associations (FADA), in August out of the 24,23,201 units retailed in India, compressed natural gas (CNG), hybrid and electric vehicles together accounted for 41.95 per cent.

Out of this, CNG vehicles contributed 25.28%, while Hybrid accounted for 9.04% and EV 7.63%. In contrast, petrol vehicles accounted for 40.85 percent of the of passenger vehicles sold in the same time period. Notably, petrol continues to remain the largest single fuel in the market.

But according to industry observers, the shift in custo...