Government Offers More Incentives for Scrapping BS-II, Older Vehicles
ECONOMY & POLICY

Government Offers More Incentives for Scrapping BS-II, Older Vehicles

In a bid to phase out high-polluting vehicles, the Ministry of Road Transport and Highways (MoRTH) has proposed doubling the rebate on Motor Vehicle tax to 50% for individuals purchasing new vehicles after scrapping BS-II or earlier emission standard vehicles. Currently, the rebate stands at 25% for personal vehicles and 15% for commercial vehicles. 

According to the draft notification issued on January 24, the enhanced 50% rebate will apply to all vehicles, both personal and commercial, that comply with BS-I standards or were manufactured before the introduction of Bharat Stage (BS) norms. It also extends to BS-II medium and heavy vehicles used for private or transport purposes. 

The BS-I emission norms were introduced in 2000, followed by BS-II in 2002. To address pollution concerns, the government launched the Voluntary Vehicle Modernisation Program (Vehicle Scrapping Policy), aiming to establish an ecosystem for retiring unfit vehicles through Registered Vehicle Scrapping Facilities (RVSFs) and Automated Testing Stations (ATSs). 

As of now, over 60 RVSFs are operational across 17 states and Union Territories, with more than 75 ATSs in 12 states. Additional facilities are under development to expand the program’s reach and efficiency in reducing vehicular emissions nationwide. 

(ET)                                

In a bid to phase out high-polluting vehicles, the Ministry of Road Transport and Highways (MoRTH) has proposed doubling the rebate on Motor Vehicle tax to 50% for individuals purchasing new vehicles after scrapping BS-II or earlier emission standard vehicles. Currently, the rebate stands at 25% for personal vehicles and 15% for commercial vehicles. According to the draft notification issued on January 24, the enhanced 50% rebate will apply to all vehicles, both personal and commercial, that comply with BS-I standards or were manufactured before the introduction of Bharat Stage (BS) norms. It also extends to BS-II medium and heavy vehicles used for private or transport purposes. The BS-I emission norms were introduced in 2000, followed by BS-II in 2002. To address pollution concerns, the government launched the Voluntary Vehicle Modernisation Program (Vehicle Scrapping Policy), aiming to establish an ecosystem for retiring unfit vehicles through Registered Vehicle Scrapping Facilities (RVSFs) and Automated Testing Stations (ATSs). As of now, over 60 RVSFs are operational across 17 states and Union Territories, with more than 75 ATSs in 12 states. Additional facilities are under development to expand the program’s reach and efficiency in reducing vehicular emissions nationwide. (ET)                                

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code