Ahmedabad: Gujarat has witnessed a significant increase in vehicle scrapping applications under the govt’s vehicle scrapping policy, with 8,113 applications received since its implementation in April 2023, according to the Ministry of Road Transport and Highways.
The state has approved 95% of these applications, with Registered Vehicle Scrapping Facilities (RVSFs) issuing certificates of deposit to the applicants. While only 1,276 applications were received in the first month, the numbers improved considerably in 2024 following the announcement of incentives and policy clarifications.
According to govt data, Gujarat accounts for approximately 8% of the total vehicles scrapped nationwide, with 7,705 vehicles out of the total of 85,741 approved for scrapping from across the country. The state’s six RVSFs, particularly those near Ahmedabad and Surat, have been generating the highest number of certificates of deposit.
The govt’s new circular is expected to boost the scrapping of commercial vehicles, especially older autorickshaws in urban areas. The govt plans to give maximum benefits to them as the rickshaws can be converted into electric vehicles. “The rickshaw drivers in Ahmedabad have the maximum challans issued against their vehicles,” said an officer.
In 2023, when the rules were published, vehicle owners were allowed rebates of up to Rs 15,000 for cars and Rs 900 for two-wheelers during new vehicle registrations, payable in two annual instalments. The maximum scrap value was also set at Rs 10 lakh for cars and Rs 60,000 for two-wheelers.