Fri, 09 Dec 2022

New Delhi [India], September 30 (ANI): With the aim to reduce congestion on Delhi's roads and bring down the number of polluting and aged vehicles, the Delhi government led by Chief Minister Arvind Kejriwal today gave in-principle approval to provide concession on road tax to new vehicle buyers after scrapping of their old vehicles.

The policy will come into effect after its final approval by the Lieutenant Governor of Delhi and promote the scrapping and replacement of old polluting vehicles with new vehicles with upgraded fuel standards.

The policy will pave the way for the scrapping of old vehicles and the introduction of new vehicles with upgraded pollution norms. It will also help with the establishment of a circular economy in the transportation sector, reducing vehicle scrappage and those old vehicles which are lying unutilised.

The government has decided to offer a maximum concession of 25 per cent in the case of non-transport vehicles and 15 per cent in the case of transport vehicles upon production of a certificate of scrapping (certification of deposit) by new vehicle buyers. The 'certificate of deposit' will be issued at the registered scrapping facilities of the government upon scrapping of old vehicles.

The government has introduced concessions to new buyers in three vehicle categories, for non-transport vehicles, the concession will range from 8 per cent to 25 per cent based on the cost of a new vehicle and fuel type, the new vehicles registered under the BH (Bharat) series are liable to deposit the motor vehicle tax for two years as per the Ministry of Road Transport and Highway guidelines and the motor vehicle tax concession on purchase of new transport (commercial) vehicles on the production of a certificate of deposit will be 15 per cent of total motor vehicle tax paid at the time of registration of new vehicles.

The concession in road tax granted under the policy will be allowed only for the same category of vehicles i.e. the category of vehicles for which the certificate of deposit will be produced to the registration authority. The concession will be available for upto eight years in the case of transport vehicles and upto fifteen years, in the case of non-transport vehicles and there will be no concession available after these periods.

Speaking at the occasion, Delhi's Transport Minister Kailash Gahlot stated, ''We have to find every possible way to promote a circular economy and establish mobility infrastructure which is environmentally sustainable. A lot of cities in the world are struggling with waste disposal and looking for efficient solutions. I am confident that the policy will encourage vehicle owners in Delhi to replace and scrap their old vehicles with new vehicles of higher emission standards. I would rather urge them to buy an EV than any other type of vehicle to help our city become clean.'' (ANI)

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