Vehicle scrappage policy India 2021 |vehicle scrappage policy India 2021 pdf | Full Details , Benefits , Rules , commercial vehicle

Agenda

Prime Minister Narendra Modi launched the Vehicle scrappage policy India 2021 while addressing virtually at the Gujarat Investor Summit on Friday, 13 August 2021. Today we will know about the vehicle scrappage policy in full detail. Vehicle scrappage policy India 2021 , vehicle scrappage policy India 2021 pdf , Full Details , Benefits , Rules , commercial vehicle.

After the implementation of vehicle scrappage policy, there was a boom in the automobile industry in India. The launch of Vehicle Scrappage Policy today is a significant milestone in India’s development journey. Vehicle scrapping will help phase out unfit and polluting vehicles in an environment-friendly manner. Our aim is to create a viable circular economy and bring value for all stakeholders while being environmentally responsible,” PM Modi said.

What is the Vehicle scrappage policy India 2021 ?

As the name suggests, the policy will help in phasing out old, unfit vehicles. The scrappage policy will come into effect immediately after the registration period of a vehicle is over; it would then have to undergo a mandatory fitness test. As per motor vehicle laws in the country, a passenger vehicle has a life of 15 years and commercial vehicles have a lifespan of a decade.

Vehicles plying on the roads beyond these durations are considered to pollute the environment at a greater pace compared to newer cars. They are likely to feature old technology, making them unsafe for usage on roads. The vehicles also consumer more fuel compared to newer vehicles. The policy will help individuals dump their old vehicles systematically and even offer incentives

What is the commercial vehicle scrappage policy India 2021 ?

The scrappage policy will come into effect after the expiry of this 10 or 15 year period. The vehicle will then have to undergo a mandatory fitness test. As per the motor vehicle law, renewal of fitness certificate annually is mandatory for a commercial vehicle once it is older than eight years.

vehicle scrappage policy India 2021 Pdf Download

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Vehicle scrappage policy India 2021 ,Full Details , goal to achieve?

The objective of the Vehicle Scrappage Policy is simply to phase out and recycle old vehicles through a systematic process. The ultimate goal of the policy is to reduce environmental pollution caused by old vehicles that have surpassed their lifecycle and run without a valid fitness certificate. At the time of announcing the policy during the Union Budget 2021, Finance Minister Nirmala Sitharaman said the scrapping of old vehicles would result in more benefits than just reducing air pollution. Recycling old vehicles will help in reusing key materials like steel, plastic and copper. This will result in reducing the cost of manufacturing. The policy also aims to provide a boost to vehicle sales in the country, given the incentives offered for buying a new car.

What is the process of vehicle fitness test ?

As mentioned earlier, the fitness test will determine if an old car is fit to run beyond its technical lifespan. Simply put, a fitness test is detailed examination that will determine the roadworthiness of a vehicle. It will also check whether the vehicle is causing greater level of environmental pollution. But that’s not all. As part of the fitness test, an old car will also have to undergo a series of safety examinations including braking, engine performance and other tests. All fitness tests will be conducted at automated fitness test centres , which are believed to make the process extra stringent. For instance, even if the vehicle has misaligned headlamps or if the headlamps are not powerful enough, the computer will give it a ‘fail’

Vehicle scrappage policy India 2021

How often fitness ?

This certificate has to be taken every 5 years after 15 years. A maximum of 3 times can be taken then scrappage

Benefits of Vehicle scrappage policy

Owners who scrap their old vehicle and plan to buy a new one will get incentives as part of the Vehicle Scrappage Policy. A value of the ex-showroom price of the old vehicle, ranging from 4 per cent to 6 per cent, will be given to the owner when they choose to scrap the car.

A rebate of up to 25 per cent of road tax will be given to a person when he buys a new personal vehicle after scrapping an old one; the rebate will be up to 15 per cent for commercial vehicles. In addition, vehicle manufacturers have been advised to give a 5 per cent discount on new vehicle purchases to individuals who produce a scrapping certificate and a waiver on the registration fee.

While PM Modi launched the Vehicle Scrappage Policy today, the implementation will take some time. The tentative date for the implementation of the policy is October 1, 2021. Meanwhile, scrapping of government and PSU vehicles above 15 years will be undertaken from April 1, 2022.

When will the new policy come into force?

Under the new policy, the country’s first vehicle scrap plant will start in Alang (Gujarat) from October 1. 2021. Meanwhile, scrapping of government and PSU vehicles above 15 years will be undertaken from April 1, 2022.

More than 1 million vehicles in the state under scrap policy, auto industry to grow by 10%

There are more than 60 lakh commercial and passenger vehicles in Gujarat. In which more than seven lakh vehicles are likely to come under the scope policy.

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