‘Significant milestone towards Aatmanirbhar Bharat’: PM Modi launches National Automobile Scrappage Policy

In his virtual address at the Investor Summit in Gujarat, Prime Minister Narendra Modi said that the policy will provide a ‘new identity’ to the country's auto sector.

Prime Minister Narendra Modi on Friday virtually addressed the Investor Summit in Gujarat, launching the National Automobile Scrappage Policy on the occasion. The scrappage policy, he said, is a “significant milestone” towards Aatmanirbhar Bharat.

PM Modi launches National Vehicle Scrappage Policy (ANI)

“The scrappage policy will provide a new identity to the country's auto sector. It will play a huge role in removing unfit vehicles from roads, and bring a positive change in all sectors and not just auto sector,” Prime Minister Modi said. The central government, he explained, has taken this step as the country, in the 21st century, needs “clean, congestion-free and convenient mobility.”

Describing it as a “waste-to-wealth mission,” the Prime Minister further remarked that the policy is an important part of the circular economy. “It will reduce pollution from our cities and also reflects the government's commitment towards rapid development. The policy will bring investments worth more than ₹10,000 crore and, in the process, create employment opportunities for thousands of youngsters,” he said.

“In two days, we will celebrate our 75th Independence Day, but the next 25 years will also be very important as, during this period, our day-to-day lives will undergo significant changes due to technology,” PM Modi further said, adding that the government's effort is to ensure that development is “sustainable and environment-friendly.”

He then listed out five ways in which the scrappage policy will be beneficial to the common man. “Firstly, a certificate will be given on scrapping of the old car, which will ensure that an individual does not have to pay registration fees while buying a new car. He will also get discount in road tax. Secondly, a person will save money on maintenance cost, repair cost and fuel efficiency of the old car,” PM Modi elaborated.

The third and fourth benefits, he said, are that it will reduce road accidents and offer protection from effects from pollution, respectively. “A vehicle will not be scrapped just because it is old. Fitness tests will be conducted at scrappage centres and only after that will it be scrapped, that too, as per scientific methods,” PM Modi said, describing the fifth and final benefit.

The Investor Summit has been jointly organised in Gujarat's Capital city of Gandhinagar by the Union ministry of transport and national highways and the state government. Union minister of transport Nitin Gadkari and Gujarat chief minister Vijay Rupani also spoke at the event.