Forty-five days after the State Transport Authority (STA) gave the nod for setting up a vehicle-scrapping centre in the Industrial Area, Phase 1, as many as 200 vehicles, including government vehicles, have been scrapped under the National Vehicle Scrappage Policy.

The policy makes it mandatory to scrap vehicles that have reached their critical age – 15 years in the case of commercial vehicles and 20 years in the case of passenger vehicles – if they fail fitness and emission tests. It was rolled out to phase out pollution-causing vehicles with newer environment-friendly models.
Implementing the notification issued by the ministry of road transport and highways, the UT administration had already decided to grant a 25% rebate on road tax to those who register new vehicles under the policy. The scrapping centre has been set up by a private firm, Select Technical Services, in Industrial Area, Phase-1.
Out of the total 200 vehicles, 70 are private vehicles, while the remaining are government vehicles.
Gopal Krishan, owner of the firm, said, “For dismantling a car, it needs two to three hours while to dismantle a bus, it needs nearly two days. Once the vehicle is scrapped, we issue a certificate of deposit (COD), and registration of the vehicles will be de-registered. Once, you get COD, it is valid pan India. Also, if one wants to retain the number, he can do it on e-vaahan portal as there is an option.”
{{/usCountry}}Gopal Krishan, owner of the firm, said, “For dismantling a car, it needs two to three hours while to dismantle a bus, it needs nearly two days. Once the vehicle is scrapped, we issue a certificate of deposit (COD), and registration of the vehicles will be de-registered. Once, you get COD, it is valid pan India. Also, if one wants to retain the number, he can do it on e-vaahan portal as there is an option.”
{{/usCountry}}He said, “For four-wheelers, we pay around ₹25,000 to ₹30,000 according to the weight and condition of the vehicle. The vehicles which come to us are either 15-year-old or accidental vehicles. They can be brought for scrapping from any part of the country.” Every day around seven vehicles are scrapped.
A senior STA officer said, “As per the policy, beneficiaries will get a concession in the Motor Vehicle Tax on the purchase of a new vehicle after submitting a certificate of deposit, which will be issued by the registered vehicle scrapping facility (RVSF) when he or she deposits the vehicle.”
Up to 25% concession will be granted in case of non-transport vehicles and up to 15% in case of transport vehicles. The concession will be available for up to eight years in case of transport vehicles and up to 15 years in case of non-transport vehicles. At present, city residents would sell off vehicle parts to scrap dealers.
Why scrap your vehicle
1. Old registration number can be retained
2. Up to 5% discount on buying new vehicles from certain manufacturers
3. Owners can receive scrap value equivalent of 4% to 6% of the ex-showroom price
4. Concession in motor vehicle tax – up to 25% for non-transport vehicles, 15% for transport vehicles
5. The cost of a car or a bike without considering the charges paid for registering the vehicle at the RTO, road tax, and insurance