Owning vehicles older than 15 years could actually turn into a legal nightmare for residents in Delhi as the government plans to tighten its grip on increasing number of overaged vehicles in the city. In order to encourage owners of old vehicles to scrap them, the state government may come up with a scheme to offer incentives to them on buying a new car. According to sources, a discount benefit plan for those scrapping old vehicle to purchase a new one has been proposed and awaits for final approval.

The proposal comes days after the Delhi government sent out stern warning against those keeping vehicles older than 15 years. Any such vehicles parked in public spaces will now be impounded while the owners will face action. The owner could face a penalty of up to ₹10,000 penalty while two-wheeler owners could end up paying ₹5,000 before they are released. Delhi has already de-registered more than 5.5 million vehicles but is struggling to get rid of several others which are past the usage restriction on petrol and diesel cars.

Delhi Transport Department plans to offer discount on motor vehicle tax for those who scrap their old vehicles and buy a new one. According to news agency Press Trust of India, a source within the department said the benefits may range between 10 and 20 per cent. For those who own overage petrol vehicles like cars and bikes can get maximum discount while overaged diesel vehicle owners could be eligible for a 15 per cent discount. The source also said that the concession on motor vehicle tax will not exceed 50 per cent of the overall scrap value.

Under the vehicle scrappage policy, old vehicle owners in Delhi can pick any of the authorised scrappage centres. Once scrapped, the vehicle owners will get a certificate which will remain valid for up to three years. If the owner decides to buy a new vehicle within this time, the government will offer the proposed incentives.

India currently has more than 50 lakh old vehicles plying on the roads which need to scrapped. To help promote scrapping of old vehicles, carmakers like Maruti Suzuki and Tata Motors have started to set up centres across the country. Rosmerta, the agency which makes High Security Registration Plates for vehicles, also plans to launch 10 vehicle scrappage centres in next three years.

Vehicle scrappage policy

In 2018, the Supreme Court had ruled that diesel vehicles over 10 years and petrol or CNG vehicles older than 15 years will not be allowed to ply on the streets of Delhi to curb pollution. The National Green Tribunal (NGT) has banned parking of overaged vehicles at public places in Delhi in 2014. The Centre had introduced vehicle scrappage policy to push owners to discard their old vehicles and purchase new ones with benefits and incentives. The Voluntary Vehicle Scrapping Application can be found on the government's Parivahan website. One can also choose not to scrap old vehicles by applying for renewal of fitness certificate. They can also choose No Objection Certificate (NOC) and sell it off in other state within a year.

Read Also: indian oil corporation launches high-octane fuel for racing cars and bikes