200 vehicles scrapped in Chandigarh

Tribune News Service

Dushyant Singh Pundir

Chandigarh, May 30

Within two months of implementation of the National Vehicle Scrappage Policy, nearly 200 vehicles have been scrapped at the centre set up in Industrial Area, Phase 1, here.

According to the policy, commercial vehicles over 15 years old and passenger vehicles over 20 years old will have to be mandatorily scrapped if these do not pass the fitness and emission tests.

Of the 200 vehicles scrapped so far, nearly 50 per cent were government vehicles, said Gopal Krishan, owner of the centre. He said a car could be dismantled in two or three hours while it took nearly two days to dismantle a bus. “Once a vehicle is scrapped, a certificate of deposit (COD) will be issued and the vehicle de-registered,” he said, adding that the COD is valid across the country. Also, the vehicle owner can retain the registration number of the scrapped vehicle after visiting the e-vaahan portal.

The value of the scrap is calculated on the basis of the weight of the vehicle, he said. The owner is paid as per the current rate of the scrap, which is calculated on the basis of the steel recovered from the vehicle. Of the total weight of the vehicle, nearly 65 per cent is estimated to be steel and after removing 10% as wastage, the amount is paid for the remaining weight, he added.

Apart from 15-year-old vehicles, they also get accidental ones. The vehicles can be brought for scrapping from any part of the country.

Nearly 100 more government vehicles were expected to arrive for scrapping by mid-June, he said, adding that the number of vehicles to be scrapped is likely to increase in coming months.

Following a notification of the Union Ministry of Road Transport and Highways, all government vehicles, including buses of the Chandigarh Transport Undertaking and vehicles attached with the Municipal Corporation, which have completed 15 years, have to be scrapped, said an official of the Transport Department.

To phase out unfit and polluting vehicles, the UT Administration implemented the National Vehicle Scrappage Policy here from April 1. Under the policy, the administration will provide up to 25 per cent rebate on road tax on the registration of new vehicles that are purchased after scrapping old vehicles. The policy has a provision of concession in the motor vehicle tax on the purchase of a new vehicle against the submission of the Certificate of Deposit (CoD), which will be issued by the registered vehicle scrapping facility (RVSF) to the owner when he/she gives the vehicle to it for scrapping. However, it is optional for the general public.

If the general public wants to scrap their vehicles after the completion of the life span of vehicles, benefit regarding tax exemption for new vehicles (in the same category) would be granted after submitting the CoD.

The concession in tax up to 25 per cent will be given in case of non-transport vehicles and up to 15 per cent in case of transport vehicles. However, the concession will be available for up to eight years in case of transport vehicles and for up to 15 years in case of non-transport vehicles.

The policy extends many benefits that can help reduce the price of new vehicles such as a manufacturer can give up to 4 per cent discount on a new vehicle, zero registration fee on the purchase of a new vehicle and the owners can receive scrap value equivalent to the weight of the steel in the vehicle.

Why scrap your vehicle

• Old registration number can be retained
• Up to 4% discount on buying new vehicles in the pipeline
• Owners can receive scrap value on the basis of the weight of steel
• Concession in motor vehicle tax – up to 25% for non-transport vehicles and 15% for transport vehicles

What policy says

Commercial vehicles over 15 years old and passenger vehicles over 20 years old will have to be mandatorily scrapped if these do not pass the fitness and emission tests.

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