Vehicle scrapping policy: Nitin Gadkari lists tax incentives, benefits for EV

Under the government's vehicle scrapping policy, about 5 per cent rebate on new cars would be offered to buyers on scrapping of old vehicles, Union Minister Nitin Gadkari told Parliament on Thursday and termed it a "win-win" policy that will help improve fuel efficiency and reduce pollution. "The vehicle manufacturers are advised to provide a discount of 5 per cent on purchase of new vehicle against the scrapping certificate," Union Road Transport, Highways and MSMEs Minister Gadkari said. "The scheme shall provide strong incentives to owners of old vehicles to scrap old and unfit vehicles through registered scrapping centres, which shall provide the owners with a scrapping certificate," he said. Listing the incentives, Gadkari said, "Scrap value for the old vehicle given by the scrapping centre will be approximately 4-6 per cent of the ex-showroom price of a new vehicle". Watch the full video for more details.