The correct option is (c) - 2 only.
[as per provisional answerkey]The passage explicitly states: "The lesson from the transition to CNG is that people need alternatives for a ban to be effective. When diesel buses were stopped, CNG supply had to be assured." This directly validates Statement 2, confirming that the availability of the alternative fuel (CNG) was a prerequisite for the effectiveness of the ban on diesel vehicles. The passage emphasizes that for any ban to work, the alternative must be both available and cost-effective.
Critical reading and attribution: Distinguishing between different authorities (Supreme Court vs. Government) and specific conditions (clean up vs. shut down) mentioned in a text.