What is the new vehicle scrappage policy 2021-22 in India | Pros, and cons explained

What is new vehicle scrappage policy 2021-22

Hello everyone, in this article, we are going to explain to you the new vehicle scrappage Policy 2021-22 in India and what are the pros and cons of the new vehicle policy. If you like our work then please share it with other too and if you have any question then ask us in the comment box below.

Also see: 6 Steps to Consider Before Buying a Used Car

What is the new vehicle scrappage policy 2021-22

After the announcement of the new Vehicle Scrap policy in the Union budget 2021-22, many types of questions have come to the mind of people especially those who have old vehicles like old cars and old bikes.

Many people are scared of what will happen to their old vehicles after the implementation of the new vehicle policy 2021-22. According to a survey, approximately 55% of vehicles in India are old and what will happen to them after this policy will take effect in 2022.

What is Vehicle scrapping

What is vehicle scrapping

Vehicle scrapping means if your vehicle has exceeded the expiry date of fitness registration or older than 20 years then it should be scrapped. You may have an emotional attachment with your old vehicle but for a better environment, it is recommended for you to scrap your old vehicle. 

The other option for your old vehicle is to convert it into an electric vehicle which will make your vehicle eco-friendly too. To know how to convert you old vehicle to electric read this –Old Car Converted To Electric Car | Old Sedan Petrol To EV

Also see: Old Motorcycle Electric Conversion In India | See How ?

How to scrap old vehicles in India

To scrap your old vehicle, you need to visit your nearest scrapyard and ask them for better offers. There are some of the points which you need to follow when scrapping your old vehicle.

  • First of all, you need to approach the authorized scrap dealer for scrapping your vehicle.
  • The scrap dealer should ensure that the vehicle should scrap in a safe manner without harming the environment.
  • When the vehicle sent for scrapping, the chassis number should be taken out before the scrap sent for recycling.
  • Then the car owner should approach the respective RTO and inform them about scrapping your vehicle.
  • There is an option to deregister your vehicle as well.
  • The dealer will perform a physical inspection of the car and quote a price for scrapping based on the weight of the vehicle.
  • Once an agreement is reached, the scrap dealer will remove the car parts and segregate them into rubber, plastic, iron, etc.
  • There you can negotiate for the price of various parts of the vehicle depending upon their condition.
  • If the car has a CNG unit fitted, then this can also be dealt with separately.
  • It is not compulsory to submit the original RC to the scrap dealer.
  • You can give him a photocopy of the RC.
  • You should take some pictures of your scrapped vehicle as evidence for the further procedure at the RTO.

One very important point you should remember while scrapping your vehicle is that the dealer has actually scrapped your vehicle or not. Because if your vehicle is not scrapped properly and used for illegal activities then you could face trouble because of that.

Also see: Royal Enfield classic 350 turned into bike ambulance in New delhi

What are the benefits of the new vehicle scrap policy

new vehicle scrappage policy 2021-22

The new scrapping policy is beneficial for the country in many ways. The automobile sector is facing losses for a couple of years and this new scrapping policy will help the automobile industry to recover its losses. some of the pros of the new policy are mentioned below..

  • It will help the environment.
  • Decrease the number of vehicles that caused high pollution and traffic.
  • Help automobile sector to recover fastly.
  • It will increase the number of vehicles which causes less pollution.
  • Manufacturing will accelerate.
  • India will be a big manufacturing hub.
  • It will increase the export of the country.
  • 55% steel will be removed from the scrap vehicle and it will greatly increase the production of steel.
  • The old car owner will get various benefits for scrapping their vehicle and for buying a new vehicle.
  • It will be a welcoming step for electric vehicles as well.

Also see: Expensive bike collection of Swaran paji worth Rs 5 crore in India.

What are the changes made on the new vehicle scrap policy 2021-22

Union Minister of Road, Transport, and Highways Nitin Gadkari has said the policy will offer benefits to buyers of new vehicles who opt to scrap their old vehicles. 

Nitin Gadkari also said that private vehicles that used to be scraped in 15 years will now be scrapped in 20 years. And for the commercial vehicle, it will be 15 years. 

He also added “Those going for the scrapping of their vehicles will get some benefits from the manufacturers. In fact, scrapping policy will prove to be a boon… not only it will boost the economy, benefit automobile sector but also check vehicular pollution”


New vehicle scrapping policy FAQ’s

When will the new vehicle scrap policy apply?

The new Vehicle scrap policy will be applicable from 2022

What is the new vehicle scrap policy?

In the new vehicle scrap policy, if your private vehicle has completed 20 years then it will be liable for scrapping and if your commercial vehicle has completed 15 years then it will be liable for scrapping.

Will our vehicles be seized based on new vehicle scrap policy?

If your vehicle is 15 years old then you need to get the fitness certificate from the nearest fitness certificate center.

How many years will the commercial vehicle be valid?

The commercial vehicles will be valid for 15 years

How many years will the private vehicle be valid?

The private vehicles will be valid for 20 years.

Will there be any incentive from the government in exchange for giving the old vehicle?

Yes, as per Nitin Gadkari Those going for the scrapping of their vehicles will get some benefits from the manufacturers. In fact, scrapping policy will prove to be a boon for them.

What will be the use of old vehicles?

The old vehicle will be scrapped and all the working parts will be sent for reselling and the remaining parts will be recycled.


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