Union Road and Transport Minister Nitin Gadkari reveals plan to get old vehicles off the roads. The Centre is mulling a policy to scrap vehicles older than 15 years in an effort to reduce pollution
Soon, you will have 'incentive' to replace those 15-year-old car!
Will Borvili resident Raja Kadam have to part with his lovingly maintained 1968 Ambassador model? PIC/SNEHA KHARABE
Will you give up your gas-guzzling, fumes-belching over 15-year-old car if the government offered you incentives to buy a new one? The central government is mulling introducing a vehicle fleet modernisation policy to scrap vehicles — both commercial and private — older than 15 years in an effort to reduce pollution and support the automobile industry.
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Union Road and Transport Minister Nitin Gadkari revealed this at a recent function in Pune. The government is considering the carrot and stick approach. It may offer incentives, by way of a tax rebate in the purchase of new vehicles or discounts, to induce owners to voluntarily surrender their vehicles, Gadkari had said. As per some reports, the policy may offer tax exemptions of up to R30,000 for small vehicles, and up to R1.5 lakh for big ones (like trucks). And if that fails, the policy will anyway spell it out that junking old vehicles would be mandatory.
Gadkari was not available for comments. But, officials attached to the transport department confirmed that such a policy is in the works. According to them, nitty-gritty, like the quantum of incentives, is still being worked out.
“The issue has been discussed with the finance ministry and other departments concerned. As of now, commercial, heavy and medium vehicles are on the list. Later, private cars, too, would be brought under the ambit of the policy. The proposal has now been referred to the committee of secretaries for further action,” said a transport department official.
Retrofitted, reused
According to some reports, old vehicles in working condition can be retrofitted with lithium-ion batteries and resold in the market. Alternatively, automotive scrap may be recycled for industrial use. The retrofitted vehicles may be sold to fleet owners for eco-friendly taxis.
But will owners give up?
For car owners like Raja Kadam, though, no incentive can match the sentimental reasons for holding onto old vehicles. Kadam, a Borivli resident, still has a 1968 make of the Ambassador, despite having “the latest Mercedes model”. “My family has emotional ties with the Ambassador. It’s not just a car, but also an integral part of our lives,” he explained.
He suggested that the policy be made mandatory only for commercial vehicles but “flexible” for private car owners. “Commercial vehicles are the major contributor to air pollution. The same is not the case with private cars. That’s why there should be flexibility in the new rules,” he said.
Others have tried, too
Anant Sardeshmukh, director general, Maratha Chamber of Commerce, Industries and Agriculture, Pune, who attended the function where Gadkari revealed his plans, claimed that other countries have dabbled with a ‘cash for clunkers’ programme, too. “The latest models of cars offer better mileage and conform to the Euro [IV emission] norms.”
Mumbai-based traffic expert Ashok Datar, too, welcomed the plan. He, however, suggested that instead of offering incentives to buy a new car, the government should offer sops to set up industries to deal with vehicle scrap. “There is no proper mechanism to deal with scrap from old vehicles. The government should encourage entrepreneurs to set up industrial units where materials like rubber, glass or other parts that can be recycled and reused.”
On car owners attached to their vehicles for sentimental reasons, he said, “There are few people who use cars that are over five to seven years old. Maintaining an old car is an expensive task. Still, if there are people who want to maintain their old vehicles, the government should have separate rules and norms for them.”
The vehicle fleet modernisation policy is the brainchild of Gadkari himself, and has reportedly received an encouraging response from all sectors. Gadkari had played a crucial role in Mumbai’s transformation — through construction of flyovers and bridges — during the Shiv Sena-BJP rule from 1995-99.
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