Government publishes list of incentives and disincentives
The Ministry of Road Transport and Highways on Tuesday released a list of incentives and disincentives relating to the vehicle scrapping policy.
These combined incentives and disincentives aim to encourage vehicle owners to get rid of their old and polluting vehicles with higher maintenance and fuel consumption costs.
“As an incentive, there will be exemption from the cost of issuing the registration certificate for a new vehicle, purchased against the authority of the certificate of deposit (CoD) issued by a vehicle scrapping facility registered for a vehicle being scrapped “, read the ministry’s press release.
Disincentives include: 1). Increase in aptitude examination fees and renewal of the aptitude certificate for motor vehicles over 15 years old. 2). Increased cost of proficiency certification for transport vehicles over 15 years old. 3). Increase in the renewal of the registration fee for personal vehicles (vehicles excluding transport) over 15 years old.
Presenting the Union budget 2021-2022, Finance Minister Nirmala Sitharaman on February 1 announced a voluntary vehicle scrapping policy to phase out old and unfit vehicles under which personal vehicles will be tested suitability in automated centers after 20 years while commercial vehicles will be tested after 15 years.
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