Government plans incentives for surrender of old vehicles

The Government of India is considering offering incentives to owners of cars over 10 years of age for surrendering their vehicles.

The scheme could see people get benefits of up to Rs. 1.5 lakh after taking into account tax exemptions, etc. for scrapping large vehicles such as trucks. For small cars, incentives of up to Rs. 30,000 could be offered. This new policy will be applicable to vehicles over 10 years of age across India.

Under the new scheme, on scrapping an old car, the owner will get a certificate that will entitle him to a discount of up to Rs. 50,000 on the purchase of a new vehicle. The government is planning to set up about 10 industial units near ports, which will accept old cars, give certificates and recycle vehicles from India and abroad.

The National Green Tribunal (NGT) has banned plying of diesel vehicles which are more than ten years old in the national capital region.

Source: Times of India