The Union Minister for Road Transport and Highways Nitin Gadkari called upon all stakeholders to come forward and support the Vehicle Scrapping policy.
He was addressing a Stakeholder Consultation in New Delhi can said it was a win-win situation for all. Gadkari said the Ministry has undertaken multiple initiatives to build resilient demand for vehicles such as building a world-class network of highways, electrification of buses, and mandatory automated fitness testing of vehicles.
He urged auto manufacturers to work towards increasing their production capacity and support the nation to become the largest auto industry in the world. He emphasised that since the auto industry is the biggest beneficiary of this policy, they must come forward and support on 3 main pillars of more investment in setting up Automated Testing Stations (ATSs) and Registered Vehicle Scrapping Facilities (RVSFs), more awareness amongst citizens about the policy benefits through their dealer network and a finalised discount percentage against certificate of deposit obtained by citizens on scrapping vehicles.
Secretary Anurag Jain encouraged the auto industry to set up vehicle scrappage centres and automated testing stations across the country. It was emphasised that Vehicle Scrapping Policy is expected to increase auto sales by about 8 percent and contribute about 0.5 percent to the country’s GDP and hence, auto OEMs must extend unconstrained support to the policy.
This stakeholder consultation aimed to seek support from the automobile industry to expedite the implementation of vehicle scrapping policy in the form of investment in vehicle scrapping infrastructure of Registered Vehicle Scrapping Facilities (RVSFs) and Automated Testing Stations (ATSs), generation of awareness among citizens and extension of discounts to vehicle owners for scrapping vehicles at RVSFs.
The meeting was attended by representatives from all major automotive OEMs including – Tata Motors, Mahindra & Mahindra, Maruti Suzuki India, Kia India and Hyundai Motor India among others, auto dealers and used car aggregators (including Car Dekho, Cars24) attended the event and shared their perspectives on the challenges and actions required to expedite implementation of the vehicle scrapping policy.
The Society of Indian Automobile Manufacturers, the apex body represent auto manufacturers in India, also presented its views on the incentives for citizens through this policy and good inputs were provided by all other auto industry stakeholders.
Vikram Chopra, CEO and Co-Founder, Cars24: “Cars 24 fully supports car scrapping as a crucial step towards sustainability in the automobile sector. Our meeting today with Union Minister Nitin Gadkari emphasised the significance of this policy. We are dedicated to partnering with the government to make car scrapping a success, promoting a cleaner, greener future for the industry.”
