New Delhi: A new policy which is to be effected from next July will steeply increase the fees for the re-registration of vehicles, which are older than 15 years. The fees may witness an increase from 10-fold up to 40-fold. The aim is to reduce the use of old vehicles and thereby ensure environmental protection.
The user would have to pay Rs 15,000 for renewing the registration of the car and other non-transport vehicles. The road tax for old vehicles is also likely to be changed.
The scrappage policy is also likely to be implemented next month. It would ensure a more steady supply of processed scrap to the steel industry. Along with it, a vehicle scrappage scheme, encouraging the sale of old vehicles, would also be brought in. A draft policy on this has already been circulated among the departments. It would soon be submitted for approval to the cabinet.
The centre hopes that the new policy would revive the auto industry, which recorded a huge drop in sales. The scrappage units would be given more incentives. Various vehicle manufacturers plan to set up scrappage units to reuse the disposed vehicle parts. Mahindra has already started such a unit, Axelo.
The government has made it clear in the proposed motor vehicle policy that those who produce certificate that the old vehicle has been scrapped and disposed, would get a waiver on the registration of the new cars.
Educational clause removed
The central government has issued a notification, removing the criteria that asked for a minimum educational qualification of clearing class VIII to drive transport vehicles.
However, it has instructed to conduct a strict practical test. The test for licence would be made more stringent.