Vehicle Scrappage Policy

Vehicle Scrappage Policy

Auto majors to offer 1.5-3 % discount on purchase of new vehicles against scrappage certificate

  • Announced by the government in March 2021
  • Aim –
    • Reduce the population of old and defective vehicles.
    • Bring down vehicular air pollutants.
    • Improve road and vehicular safety.
  • Fitness Test – Vehicles older than 15 years (commercial) and 20 years (personal) must pass a fitness test before re-registration.
    • Authorized centers assess emission, braking, and safety components.
    • Emission test, braking system, safety components will be tested and the vehicles which fail in the fitness test will be scrapped.
    • If the old vehicle passes the test, the owner can continue to use it, but the charges for reregistration will be steeper.
  • Road Tax Rebate – State governments may offer up to 25% road tax rebate for personal vehicles and up to 15% for commercial vehicles to incentivize scrapping.
  • Vehicle Discount – Manufacturers provide a 5% discount to those producing a ‘Scrapping Certificate’ when purchasing a new vehicle.

Source: Press Trust of India


Previous Year Question

Consider the following statements:
1. Gujarat has the largest solar park in India.
2. Kerala has a fully solar powered International Airport.
3. Goa has the largest floating solar photovoltaic project in India.
Which of the statements given above is/are correct?

[UPSC Civil Services Exam – 2022 Prelims]

(a) 1 and 2
(b) 2 only
(c) 1 and 3
(d) 3 only

Answer: (b)
Explanation:
India’s Bhadla Solar Park in Rajasthan is the largest solar power park in the world. Tamil Nadu Chief Minister, M K Stalin has inaugurated India’s largest floating solar power plant constructed at a cost of ₹150.4 crores.


Practice Question

Consider the following statements regarding the Vehicle Scrapping Policy announced by the government in March 2021:

  1. It is applicable only to commercial vehicles, and not personal vehicles.
  2. It enables the manufacturers to provide a certain percentage discount to those producing a ‘Scrapping Certificate’ when purchasing a new vehicle.

Which of the above statements is/are correct?

 
 
 
 

Question 1 of 1

Leave a Reply

Your email address will not be published. Required fields are marked *