Scraping Policy: Scrap an old car, get a 5% discount on a new purchase

If your car is old and thinking about buying a new car, then you have good news. Under Vehicle Scraping Policy, if you buy a new vehicle after scraping an old vehicle, you will be given a 5% discount. This was announced by Union Road Transport and Highways Minister Nitin Gadkari himself.

Gadkari told news agency PTI, “Instead of scraping old vehicles, auto companies offer customers a discount of about five percent on the purchase of new vehicles. Explain that the Scrapping Policy (Voluntary Junk Policy of Vehicles) has been announced in the Union Budget of 2021-22. There are 4 steps in this policy, one of which is said to be exempt.

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Fitness testing of older vehicles
Explain that older vehicles also have to undergo a fitness test under the policy. Accordingly, personal vehicles must undergo fitness testing after 20 years and commercial vehicles after 15 years. Gadkari, ‘There are four main stages of this policy. Apart from the exemption, pollutant vehicles are allowed green taxes and other tariffs. They must undergo compulsory fitness and pollution tests. We need an automated fitness center in the country and we are working in this direction.

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How much does a fitness test cost?
According to reports, the fitness test can cost up to Rs 40,000, which is in addition to the road tax and green tax. This fitness certificate is valid for only 5 years. Your old vehicle has passed a fitness test, and only then is it allowed to drive on the road. If the vehicle fails on the belt, it cannot be registered and there is no other option than to send it in scrap.

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