Due to the increasing pollution levels in the country, the government of India is pushing the owners of old vehicles to either scrap them or convert them to EVs. As of recent, the government has announced various EV conversion policies along with scrapping policies to help the cause. And in order to expedite this process, the government also announced that it will become a lot costlier for vehicles older than 15 years to be re-registered.
It was publicized that the cost of re-registration of the vehicle crossing the age of 15 years will cost up to eight times more from next month. The only exception to this new fee hike will be in Delhi as petrol and diesel-powered vehicles are already deemed deregistered after 15 and 10 years, respectively in the city.
According to media reports the cost of renewing all 15-year-old automobile registrations will be Rs 5,000, compared to the current cost of Rs 600. The owners will have to pay Rs 1,000 instead of Rs 300 for their ageing two-wheeler from next month onwards. Imported automobiles, on the other hand, will cost Rs 40,000 instead of Rs 15,000 to be re-registered. It was also reported that for every month that the owners of such vehicles delay to re-register, it will cost them an additional penalty of Rs 300 per month. Meanwhile, the same penalty for commercial vehicles is Rs 500 per month for every month delayed. Additionally, the re-registration for every private vehicle older than 15 years will have to be done in the interval of 5 years.
Furthermore, starting in April, the cost of fitness tests for old transport and commercial vehicles will also increase. From April 1, the cost of a fitness test for taxis will be Rs 7,000 instead of Rs 1,000, according to the revised rates set by the transport ministry. For buses and trucks, it would be Rs 12,500 instead of Rs 1,500. Furthermore, for commercial vehicles older than eight years, a fitness certificate will be required.
The reason behind this hike in the fees for the compliance of old automobiles is that the government is trying to encourage owners of such vehicles to scrap them and buy newer less polluting vehicles. According to statistics, it was found that around 1 crore vehicles in the country are qualified for scrapping. In its attempt to increase the amount of scrapping the government has also made the process online to make it easier for car owners to scrap old vehicles.
Recently the government notified the draft rules for the vehicle scrapping policy. According to the proposed guidelines, the responsible authorities must react to a voluntary application within six days, otherwise, the vehicle would be automatically awarded a no dues certificate, allowing the owner to proceed with scrapping. All no-dues certificates will be valid for 30 days after they are issued. The car owner can request voluntary revocation of the certificate of vehicle registration after receiving a no dues certificate. Changes to the requirements for registering car scrapping facilities have also been recommended by the ministry. For secure access to the Vahan database, a registered vehicle scrapping facility (RVSF) must have the requisite cyber security certifications for its IT systems before it can begin operations.