Alternative fuels such as CNG, electric and hybrids collectively overtook petrol variants in passenger vehicles (PVs) for the first time, in the monthly sales during last month, the Federation of Automobile Dealers Associations (FADA) said on Monday adding that this was also the biggest-ever August in Indian auto retail with the industry registering 24,23,201 units.The total automobile (across all categories) retail sales grew by 17.51 per cent year-on-year (y-o-y) in the country as compared with 20,62,038 units, it said.Going forward, the automobile sales expectations rest on the proper festive season, now beginning with Ganesh Chaturthi, the Onam sales spillover and the onset of Navratri, with dealers reporting festive booking pipelines already building, Sai Giridhar, President, FADA, said while sharing the monthly data.“For the September-October-November 2026 period, 81.62 per cent of dealers expect growth, 17.09 per cent a flat market and just 1.28 per cent de-growth — a strong reading, though moderated from the 87.85 per cent recorded a month ago. The festive heart of the year sits squarely in this window, running from Ganesh Chaturthi and Navratri through Dhanteras and Diwali, which fall in November this year,” Giridhar said.Two-wheelers should draw support from festive demand and the alternative-fuel shift, though rural cashflows remain hostage to late-season rainfall, he said, adding that PVs enter September with fresh launches and healthy pipelines but must convert them against elevated inventory and a demanding base.In the commercial vehicles (CVs) segment, sales should firm up as post-monsoon freight, infrastructure and harvest movement resume, he added.On monthly retail sales, FADA report indicated PV sales grew 16.1 per cent y-o-y to 4,02,398 units during the month as compared with 3,46,468 units in August 2025.