Scraping Policy: Gadkari announced scraping policy in Lok Sabha, know how much you will benefit

Scraping Policy: If you scrap your old vehicle in the scraping policy then you will get a rebate of up to 5 percent on buying a new vehicle. With this, the government will get a rebate of 15 to 25 percent on road tax.

Road Transport and Highways Minister Nitin Gadkari announced a scraping policy in Losabha on Thursday. After the implementation of this policy, 15-year-old commercial vehicles and 20-year-old private vehicles will need a fitness certificate. If these vehicles fail the fitness test, then these vehicles will be junked under the scraping policy. Let’s know everything about the scraping policy.

8-year-old vehicles will have to pay Green tax:
After the scraping policy comes into force, 8-year-old commercial and private vehicles will have to pay green tax. This tax will be 15 to 20 percent of road tax and the money collected from this tax will be spent on the prevention of pollution.

Discount on buying a new vehicle
If you scrap your old vehicle in the scraping policy, then you will get a rebate of up to 5 percent on buying a new vehicle. With this, the government will get a rebate of 15 to 25 percent on road tax. With this, the registration fee will be waived. At the same time, you will also get 4 to 6 percent of the value of the scrap vehicle as an incentive.

Also, Read This: From April 1, A penalty of up to 1 crore will be imposed on the manufacturer, If a defect is found in the vehicle

Demand will increase in the auto sector 
According to Nitin Gadkari, the implementation of the policy will reduce the price of new vehicles by up to 10 percent. Which will increase the demand for new vehicles in the new country and accelerate the auto sector. Due to this, about 35 thousand people will get employment.

The shortage of raw materials will go away
After the scrapping policy is implemented, auto companies will not have to import steel, plastic, rubber, and many other essential things from abroad for the manufacture of vehicles. Because the old vehicles will be junked in the scraping policy. The auto sector will use steel, plastic, and rubber by recycling them. Which will automatically reduce the price of new vehicles.

The fitness center will be set up in a PPP Mode
Fitness centers will be set up in public-private-partnership in the country to check the fitness of vehicles. This will make it easier for vehicles to get fitness certificate and this will increase employment opportunities in the country.