Vehicle Scrapping Policy 2025 - Summary
The Vehicle Scrapping Policy is an important initiative that comes into effect once a vehicle’s registration is complete. Generally, a passenger vehicle has a lifespan of 15 years, while a commercial vehicle lasts around 10 years. After these periods, they become outdated and start polluting the environment more than before. This policy aims to address that issue.
Understanding the Vehicle Scrapping Policy
In western countries, old vehicles are often sent to scrapyards where they are carefully dismantled. The steel used for the vehicle body is crushed and recycled. However, India previously lacked a system for this. Many old vehicles continue to pollute the environment, either still on the road or abandoned on the streets.
ऑटोमोबाइल स्क्रैपेज पॉलिसी (National Automobile Scrappage Policy) के तहत ऐसी गाड़ियों को स्क्रैप यानी कबाड़ करने का प्रबंध होगा जो रजिस्ट्रेशन से 15 साल से ज्यादा पुरानी हैं। इसमें सरकारी और कमर्शियल दोनों गाड़ियां शामिल हैं। इसी तरह प्रायवेट गाड़ियों के लिए टाइम लिमिट 20 साल की दी गई है।
अगर पुरानी गाड़ियों को फिर से रि-रजिस्ट्रेशन करने के लिए उसका फिटनेस सर्टिफिकेट लेना होगा. इस फिटनेस टेस्ट में गाड़ी से निकलनेवाले धुंए, गाड़ी की हालत और सेफ्टी से जुड़े पहलुओं की जांच करने के बाद ही फिटनेस सर्टिफिकेट दिया जाएगा। अगर गाड़ी फिटनेस टेस्ट पास नहीं कर पाती है तो इसे स्क्रैप करने के लिए कहा जाएगा।
National Automobile Scrappage Policy Details
The Policy proposes the following:
- Commercial vehicles may be deregistered after 15 years if they fail to obtain a fitness certificate. Increased fees for fitness certificates and tests may also apply after this period.
- Private vehicles will be deregistered after 20 years if found unfit or if the registration certificate is not renewed. Higher re-registration fees will be charged for private vehicles from the 15th year.
- Vehicles owned by the Central Government, State Government, Municipal Corporations, Panchayats, and other bodies may also be scrapped after 15 years of registration.
- The scheme aims to encourage owners of old vehicles to scrap them at registered centers, which will provide scrapping certificates. Various incentives are part of this initiative.
Vehicle Scrapping Policy 2025 – Objectives
- The primary goals of the policy are to reduce the number of old and defective vehicles.
- To lower vehicular air pollutants in line with India’s climate commitments.
- To enhance road and vehicle safety, improve fuel efficiency, transform the informal vehicle scrapping industry, and ensure the availability of low-cost raw materials for sectors such as automotive, steel, and electronics.
Vehicle Scrapping Policy – Benefits
Nitin Gadkari has shared the financial benefits available through this policy:
1) Owners can receive a scrap value of 4-6% of their vehicle’s ex-showroom price when they opt to scrap it.
2) Road Tax rebates of up to 25% will be provided.
3) Manufacturers may offer a 5% discount on new vehicles against a scrapping certificate.
4) There will be no registration fees for the new vehicles.
Vehicle Fitness Test – What You Need to Know
A fitness test, similar to the Pollution Under Control (PUC) test, will assess if a vehicle is roadworthy and not causing environmental harm. This includes checks on various aspects such as brakes and engine performance. According to Nitin Gadkari, these fitness tests will be carried out at automated centers.
These centers will be developed under the PPP model. It is estimated that each fitness test may cost between Rs 30,000-40,000, and a green cess will also be applied during vehicle registration renewal. The government hopes these additional costs will encourage vehicle owners to dispose of their old vehicles responsibly.
Here’s a tentative timeline for implementing the Scrapping Policy:
- Rules for Fitness Tests and Scrapping Centres: 01st October 2021
- Scrapping of Government and PSU vehicles over 15 years of age: 01st April 2022
- Mandatory Fitness Testing for Heavy Commercial Vehicles: 01st April 2023
- Phased Mandatory Fitness Testing for other vehicle categories: 01st June 2024
You can download the Vehicle Scrapping Policy PDF using the link below for more details.