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vehicle scrappage policy: what is Vehicle Scrappage Policy: first unit of scrapping of junk vehicles started in Noida

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vehicle scrappage policy: what is Vehicle Scrappage Policy: first unit of scrapping of junk vehicles started in Noida

Highlights

  • Scrap policy announced in the budget of the central government landed on the ground
  • Vehicles older than the prescribed limit will go in the junk
  • Know what is Vehicle Scrappage Policy in detail

Noida
In the budget this year, the central government had claimed to bring in the vehicle scrappage policy in the country. It has started from Noida on Tuesday. Union Road Transport and Highways Minister Nitin Gadkari inaugurated the first scrap unit set up by Maruti Suzuki Toyotsu India Private Limited (MSTI) in Sector-80. On this occasion, he said that in the next two years, 200-300 such units would be set up across the country through various companies.

Prime Minister Narendra Modi has been talking about this for a long time, which seems to be coming true now. But what will be the benefit to the common people, which vehicles will have a fitness test and which vehicles will be sent in junk and after all what is this vehicle scrap policy, let us know.

The biggest reason for pollution is believed to be the absence of any system for plying and disposal of old and sour vehicles on the roads. Due to this, this year the central government had included this policy prominently in its budget. On Tuesday, Union Minister Nitin Gadkari has said that due to the disposal of old vehicles, the sales of vehicles in the automobile sector will also increase by 10-15 percent. It is estimated that from this sector, we will be able to provide employment to about two lakh people in the next two years.

This unit will work like this in Noida
Built with an investment of Rs 44 crore, this scrap unit has the capacity to scrap 2400 vehicles per annum i.e. 2000 vehicles in a month. One can apply for scrap along with all the documents of the vehicle by contacting the helpline number 18004193530, msti.co.in. You can also take the car yourself or the company’s vehicle can also come to pick up the car according to the scheduled time from there.

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According to the condition of the vehicle, you will also get the money in return. Also, the most useful thing is that you will get a Certificate of Distraction, on the basis of which you will get some financial relief from buying a new vehicle to its registration in the Transport Department. How much this financial relief will be, it has not yet been decided in UP, it is in the process.

What is scrap policy?
Prime Minister Narendra Modi had been talking about bringing a vehicle scrap policy for a long time. On February 1, when Finance Minister Nirmala Sitharaman announced this in the budget, it became clear that the policy of sending old vehicles to junk in the country will come at the earliest and now it has started from Noida. Under this policy, now vehicles that are older than a certain limit in the country will have to undergo their fitness test. The test will be done on several parameters like engine condition of the vehicles, their emission status and fuel efficiency, safety. Vehicles that fail the test will be canceled and will be sent to scrap.

When will your old car become junk? Know the new rules related to scrapping policy
Which vehicles will be checked
Now the question is also that which vehicles will be tested under this policy. So let us tell you that according to the vehicle scrap policy, commercial vehicles older than 10 years and private passenger vehicles that are 15 years old will have to give this fitness test. This will be necessary for all old vehicles falling in this limit even if these vehicles pass the fitness test.

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What happens if the fitness test fails?
Now the answer to the most important question whether it will benefit or harm the common man. The government has named the vehicle scrap policy as the Voluntary Vehicle Modernization Program (VVMP). Under this, if someone’s vehicle fails in the fitness test, then he has to deposit his car in 60-70 registered scrap facilities across the country.

What will you get if you give away an old car?
In lieu of giving the old car, the customer will get a certificate of deposit which will give many benefits when buying a new vehicle. The scrap value of the used vehicle will be equal to 5 percent of the ex-showroom price of the new vehicle. Auto companies will give you a discount of up to 5% of the ex-showroom price at the time of buying a new vehicle in lieu of the certificate of deposit you will get for discarding the old vehicle. Apart from this, the registration fee of the new vehicle will be zero. At the same time, state governments can give road tax rebate to customers up to 25% for private vehicles and up to 15% for commercial vehicles.

Nitin Gadkari with the employees of Maruti Suzuki Toyotsu India Pvt Ltd.

Nitin Gadkari with the employees of Maruti Suzuki Toyotsu India Pvt Ltd.

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