This study is part of a larger research project on “Promoting Low-Carbon Transport in India”, a major initiative of the United Nations Environment Programme (UNEP), hereafter referred to as the Low Carbon Transport (LCT) project in this document. The overall context in which the LCT project has been undertaken is the critical role of the transport sector in reducing greenhouse gas (GHG) emissions. India is currently the fourth largest GHG emitter in the world, although its per capita emissions are less than half of the world’s average. Further, India’s transport sector accounts for 13% of the country’s energy related CO2 emissions (MoEF, 2010). It is evident that opportunities exist to make India’s transport growth more sustainable by aligning development and climate change agendas. India’s National Action Plan for Climate Change (NAPCC) recognizes that GHG emissions from transport can be reduced by adopting a sustainability approach through a combination of measures such as increased use of public transport, higher penetration of bio-fuels, and enhanced energy efficiency of transport vehicles. The key objectives for the LCT project are as follows: (a) Delineating an enabling environment for coordinating policies at the national level to achieve a sustainable transport system (b) Enhancing capacity of cities to improve mobility with lower CO2 emissions