Scrappage policy will play major role in removing unfit vehicles: Modi

"Vehicle Scrappage Policy will play a big role in the modernization of the vehicular population in the country, removing unfit vehicles from the roads in a scientific manner."

New Delhi: Vehicle scrappage policy will play a big role in the modernisation of the vehicular population in the country, removing unfit vehicles from the roads in a scientific manner, said Prime Minister Narendra Modi on Friday.

Addressing the Investor Summit in Gujarat via video conference, he said, “Vehicle Scrappage Policy will play a big role in the modernization of the vehicular population in the country, removing unfit vehicles from the roads in a scientific manner.”

The Summit was organised to invite investment for setting up vehicle scrapping infrastructure under the Voluntary Vehicle-Fleet Modernization Program or the Vehicle Scrapping Policy.
Union Minister for Road Transport and Highways Nitin Gadkari and Gujarat Chief Minister Vijay Rupani were also present on the occasion.

While launching the National Automobile Scrappage Policy, the Prime Minister said that this policy is going to give a new identity to the auto sector and to the mobility of New India.

He said that modernity in mobility, not only reduces the burden of travel and transportation but also proves to be helpful for economic development. The goal for 21st century India to be Clean, Congestion Free and Convenient Mobility, is the need of the hour, he said.

The Prime Minister said the new scrapping policy is an important link in the circular economy and in the waste to wealth campaign. “This policy also reflects our commitment to reduce pollution from the cities of the country and protect the environment and fast development. This policy by following the principle Reuse, Recycle and Recovery will also promote the country’s self-reliance in the auto sector and in the metal sector. The policy will bring in a fresh investment of more than Rs 10 thousand crores and will create thousands of jobs,” he added.

PM Modi said stressed that as India is about to enter the 75th year of Independence the next 25 years is very important. He said there would be many changes in the way of working the business and in everyday life in the next 25 years. He said in the midst of this change, it is equally important to protect our environment, our land, our resources and our raw material.

“We can work on Innovation and Technology in the future, but the wealth we get from Mother Earth is not in our hands,” he said.

The Prime Minister said that the general public will benefit greatly from this policy in every way.Pointing out the benefits, he said: “The first advantage will be that a certificate will be given on scrapping the old vehicle. Whoever has this certificate will not have to pay any money for registration on the purchase of a new vehicle. Along with this, he will also be given some exemption in road tax. The second benefit will be that the maintenance cost, repair cost, fuel efficiency of the old vehicle will also be saved in this. The third benefit is directly related to life.

There will be some relief from the high risk of road accidents due to old vehicles and old technology. Fourth, it will reduce the harmful impact of pollution on our health.”

PM Modi stressed the fact that under the new policy, vehicles will not be scrapped merely on the basis of age. “Vehicles will be scientifically tested through authorized, automated testing centres. Unfit vehicles will be scrapped scientifically. It will ensure that registered vehicle scrapping facilities all over the country are technology driven and transparent,” he said.

He also said that this new policy will give new energy and security to the scrap related sector.
“Employees and small entrepreneurs will get a safe environment and will get the benefits like the employees of other organized sectors. They will be able to work as collection agents for the authorized scrapping centres.”

The Prime Minister lamented the fact that we had to import Rs 23,000 crore worth of scrap steel during the last year as our scrapping is not productive and we are not able to recover energy and rare earth metals.

He informed that continuous steps are being taken to make Indian industry sustainable and productive for speeding the process of Aatmnirbhar Bharat. He emphasised that it is our effort to reduce dependence on imports with regard to the value chain of auto manufacturing.

The Prime Minister said that be it ethanol, hydrogen fuel or electric mobility, with these priorities of the government, active participation of the industry is very important. “From R&D to infrastructure, the industry has to increase its partnership. He asked them to have a roadmap for Aatmnirbhar Bharat for next 25 years. Whatever help you need for this, the government is ready to give it,” he assured.

The Prime Minister said that today when the country is moving towards clean, congestion-free and convenient mobility, there is a need to change the old approach and practices. “Today’s India is committed to provide global standard safety and quality to its citizens and this thinking is behind the transition from BS-4 to BS6,” he concluded.

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