In this article, we will have the vehicle scrappage law explained to you which turned out to be the biggest highlight of this year's budget of our country.
So what exactly do the laws mean for us and what provisions do they contain? Here are all the details.
For the starters, contrary to previous reports the vehicle scrappage is going to be purely voluntary and not mandatory for all. This comes as a relief for owners of many old vehicles that are slowly becoming classics as the days pass by.
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Secondly, the renewal of fitness certificates now stands at 15 years for commercial vehicles and 20 years for privately owned vehicles. For this purpose, automated fitness test centres would be set up in multiple areas across the country.
Thirdly, for the people who wish to get the fitness of their vehicles renewed will have to pay a certain amount of tax which will render the validity of their vehicles for the next 5 years. Monetary benefits will be given to those who decide to let go of their vehicles and send it to the scrap yard. This benefit is quite similar to the scrapping policies of many western countries.
So what exactly are the benefits of the scrappage law based on the information given so far?
The biggest benefit of the scrappage law is that older vehicles that are not roadworthy but are still running on the roads will be taken off and sent to the scrap yard. This will bring about a huge reduction in the air pollution levels which all the major cities have been facing since quite some time now.
Another benefit would be that a lot of materials from scrap vehicles will be recycled, which would bring down the cost of vehicles significantly compared to the current prices as the cost for procuring the raw material will come down.
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Current ambiguities that are causing doubts in the minds of people
While a lot of information was revealed regarding the scrappage law during the budget announcement, a lot of ambiguities remain at the moment. For instance, there has been no clarity on the amount of tax that one might have to pay at the time of fitness renewal. Also, another ambiguity that whether the Delhi-NCR car owners are still subjected to the current NGT rules that stipulate that no petrol car above 15 years of age and no diesel car above 10 years of age is allowed to ply within the aforementioned territory.
That was our article on the Vehicle Scrappage Law explained. Post your questions regarding the law in the comments section below. To stay updated with the latest news, join our 91Wheels Auto Enthusiast Telegram group (click via mobile to join) curated exclusively for the fans, enthusiasts and the owners. Further, subscribe to our YouTube channel for more such amazing motoring updates.
