Voluntary Vehicle Fleet Modernization Program (V-VMP)

The Voluntary Vehicle Fleet Modernization Program or V-VMP has been introduced by the Government of India as a significant step towards modern and green mobility. This program aims to create a robust ecosystem for scrapping old and unfit vehicles from Indian roads.

Key Objectives of V-VMP:

• Reduce pollution by scrapping around 1 crore old vehicles without valid fitness and registration
• Improve road, passenger and vehicular safety
• Enhance fuel efficiency and reduce maintenance costs for vehicle owners
• Boost automobile sector sales and generate employment opportunities
• Formalize the currently informal vehicle scrapping industry in India
• Increase availability of low-cost raw materials like steel, plastic, glass etc. for the automobile and allied industries by scientific scrapping and processing of old vehicles

Scrapping old commercial and private vehicles under this policy can potentially reduce vehicular air pollution by 15-20%.

Scrapping Criteria:

For commercial vehicles like trucks and buses - Failing the automated fitness test will lead to the vehicle being declared as end-of-life vehicle (ELV). One re-test is allowed after repairs.

For private vehicles - Failing the fitness test at the time of renewal of registration after 15 years will make the vehicle an ELV.

Disincentives for Old Vehicles:

• Increased fitness testing fees for commercial vehicles older than 15 years
• Increased re-registration fees for private vehicles older than 15 years
• Vehicle road tax concessions revoked for old vehicles

Incentives for Scrapping Vehicles:

• Scrap value of 4-6% of new vehicle price offered by scrapping centers
• Waiver of registration fees for new vehicle purchase against scrapping certificate
• Motor vehicle road tax concessions up to 25% for non-transport personal vehicles
• OEMs to offer discounts up to 5% on new vehicle purchase against scrapping certificate

Supporting Infrastructure:

• Automated Testing Stations (ATS) will be set up for automated fitness testing and identifying ELVs
• Registered Vehicle Scrapping Facilities (RVSFs) will enable safe and eco-friendly disposal of ELVs

The vehicle scrapping policy aims to take unfit and polluting vehicles off the road through incentives for voluntary scrapping and stricter automated fitness testing norms. This will boost road safety, reduce pollution and formalize the scrapping industry.

The Indian government has announced a vehicle scrapping policy that will lead to the deregistration and scrapping of all vehicles owned by the Central and state governments, transport corporations, and public sector undertakings that are older than 15 years.

The policy aims to promote a greener future and reduce pollution by encouraging the use of electric vehicles.

Policy Overview- All vehicles owned by Central and state governments, transport corporations, and public sector undertakings that are older than 15 years will be deregistered and scrapped.- The policy aims to promote a greener future and reduce pollution by encouraging the use of electric vehicles.- Special purpose vehicles used for defense and law enforcement purposes are exempt from the policy.

Implementation Challenges- The implementation of the policy has been delayed, and there are currently only a few scrapping centers in operation.- The haphazard and hazardous nature of current scrapping practices raises concerns about environmental damage.- The success of the policy relies on the collaboration and incentives provided by state governments.

Scrapping Facilities- Currently, there are nine registered vehicle scrapping centers in operation, with 10 more nearing completion.- The government aims to have around 75 registered vehicle scrapping facilities across the country.- The scrapping facilities will adhere to eco-friendly practices and follow specified guidelines.

State Government Collaboration- The success of the policy depends on the collaboration of state governments.- State governments are expected to provide incentives and tax rebates for the purchase of new vehicles after scrapping the older ones.- Coordination between the center and the states is crucial for the effective implementation of the policy.

Auto Industry Involvement- The auto industry has been eagerly awaiting the scrapping policy to promote vehicle modernization and improve environmental conditions.- Manufacturers are willing to explore options for providing rebates and discounts for customers who scrap their vehicles and purchase new ones.- Discussions are ongoing to find ways to incentivize vehicle owners to participate in the scrapping program.

Conclusion:The vehicle scrapping policy in India aims to promote a greener future by deregistering and scrapping older vehicles. However, challenges in implementation, the need for more scrapping facilities, and the involvement of state governments and the auto industry are crucial for the success of the policy. Incentives and coordination between stakeholders are necessary to encourage vehicle owners to participate in the program.