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Vehicle scrapping policy announced: Will your old car be scrapped? All you need to know

The government has proposed that commercial vehicles be de-registered after 15 years in case of failure to get the fitness certificate.  

India TV News Desk Edited by: India TV News Desk
New Delhi Published on: March 18, 2021 14:55 IST
Vehicle scrapping policy, what is vehicle scrapping policy,vehicle scrapping policy details
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Around 17 lakh medium and heavy commercial vehicles are older than 15 years without a valid fitness certificate, Union Minister Nitin Gadkari said in Lok Sabha.

The much awaited vehicle scrapping policy was announced by Union minister Nitin Gadkari in Lok Sabha on Thursday. Speaking in the House, Gadkari said that the policy will be a 'win-win' situation for all as it will reduce pollution and increase fuel efficiency. 

The Road Transport, Highways minister also pointed out that the policy will lead to an increase in the country's automobile industry turnover to Rs 10 lakh crore from the current Rs 4.5 lakh crore.

Rebate on new vehicles 

Gadkari said he has asked automobile companies to offer five per cent rebate to those buying a new vehicle after producing a scrapping certificate.

ALSO READ: Around 17 lakh medium and heavy commercial vehicles are older than 15 years without a valid fitness certificate

Fitness test for vehicles must

Announced in the Union Budget 2021-22, the policy provides for fitness test after 20 years for personal vehicles, while commercial vehicles would require it after the completion of 15 years.

A vehicle failing the fitness test or failing to get a renewal of its registration certificate may be declared as End of Life Vehicle.

15-year-old commercial vehicles to be de-registered 

The ministry has proposed that commercial vehicles be de-registered after 15 years in case of failure to get the fitness certificate.

As a disincentive measure, increased fees for fitness certificate and fitness test may be applicable for commercial vehicles 15 years onwards from the date of initial registration, according to the minister.

Rule for 20-year-old private vehicles

Another proposal is that private vehicles be de-registered after 20 years if found unfit or in case of a failure to renew the registration certificate.

As a disincentive measure, increased re-registration fees will be applicable for private vehicles 15 year onwards from the date of initial registration.

(With PTI inputs)

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