Vehicle Scrappage Policy India 2025 – Full Benefits and New Deadlines

India is stepping into a cleaner, greener future with the Vehicle Scrappage Policy 2025. This initiative encourages vehicle owners to dispose of old and polluting vehicles, replacing them with new, safer, and more fuel-efficient alternatives. Backed by a series of ...

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India is stepping into a cleaner, greener future with the Vehicle Scrappage Policy 2025. This initiative encourages vehicle owners to dispose of old and polluting vehicles, replacing them with new, safer, and more fuel-efficient alternatives. Backed by a series of deadlines and financial incentives, this policy aligns with India’s broader goal of reducing emissions and boosting the automobile and recycling industries.

This guide explains everything you need to know — from deadlines to benefits and what steps to take if your vehicle is due for scrapping.

Vehicle Scrappage Policy India

What is the Vehicle Scrappage Policy?

Introduced by the Indian government, the Vehicle Scrappage Policy aims to phase out vehicles that are over-aged, polluting, or unfit for the road. It encourages owners to voluntarily surrender such vehicles for scrapping in exchange for benefits.

The scrappage policy latest update India defines the lifespan and testing requirements for vehicles to remain road-legal, especially as the country works to reduce vehicular pollution.

New Deadlines Under Scrappage Policy 2025

Here’s a look at the key deadlines for different vehicle categories:

Vehicle Type
Scrappage Deadline
Details
Government Vehicles
April 1, 2023 (Active)
All 15+ year-old government vehicles must be scrapped
Private Vehicles
June 1, 2025
Vehicles older than 15 years must undergo fitness tests
Commercial Vehicles
April 1, 2024
Must be scrapped after 15 years if deemed unfit

These deadlines are particularly relevant in the context of the old car ban India 2025, which prohibits the use of private vehicles that fail mandatory fitness tests post-15 years of service.

Vehicle Scrappage Benefits

Scrapping your old vehicle can offer you a range of financial and convenience-based benefits. This policy is designed not just for environmental protection but also to ease the transition for individual vehicle owners.

Key Benefits Include:

  • Monetary Incentives

    • Up to 5% discount on the purchase of a new vehicle

    • State-specific concessions on road tax (up to 25% in some cases)

  • Registration Fee Waiver

    • No registration charges on the new vehicle purchased using the scrappage certificate

  • Certificate of Deposit

    • Issued after successful scrapping; used to claim benefits while purchasing a new vehicle

  • Lower Maintenance Costs

    • New vehicles are more reliable, with reduced fuel consumption and fewer repair needs

The scrappage policy latest update India has made it clear that all eligible vehicles will be processed through authorized scrapping centers and owners will be rewarded for timely compliance.

Why is This Policy Important?

The Vehicle Scrappage Policy is not just about removing older vehicles; it’s part of a nationwide plan to reduce air pollution, improve road safety, and stimulate economic growth across key industries.

Environmental and Economic Impact

Area of Impact
Expected Outcome
Air Quality
Major reduction in harmful emissions (CO2, NOx, PM)
Road Safety
Safer vehicles on roads with modern safety features
Automotive Sector
Higher sales of new vehicles, spurring manufacturing and employment
Recycling and Scrap Industry
Growth in recycling of metals, plastics, and auto parts

The focus isn’t just individual vehicle replacement but transforming the way India handles end-of-life vehicles on a national scale.

How to Check If Your Vehicle Needs Scrapping

You can verify your vehicle’s eligibility by checking its registration date or undergoing a fitness test. Vehicles older than 15 years (private) or 8–15 years (commercial) must pass this test to continue operating.

Steps to check your vehicle’s status:

  • Visit the official VAHAN portal

  • Enter your vehicle registration number

  • Check for alerts or mandatory fitness test requirements

Steps to Scrap Your Vehicle in India

If your vehicle qualifies for scrapping, here’s how to proceed:

  1. Fitness Test

    • Visit the nearest Automated Testing Station (ATS) to assess the vehicle’s condition.

  2. Approach an Authorized Scrapping Center

    • Book a slot at a scrapping facility registered with the government.

  3. Receive Certificate of Deposit

    • After the vehicle is dismantled, you’ll receive an official certificate.

  4. Claim Benefits

    • Present this certificate to avail benefits on the purchase of your next vehicle.

FAQs 

1. What is the latest update on the scrappage policy in India?

As per the scrappage policy latest update India, private vehicles older than 15 years must undergo a fitness test starting June 1, 2025. Vehicles failing the test will be deregistered and marked for scrapping.

2. Will 15-year-old cars be banned in India in 2025?

Yes, under the old car ban India 2025, private vehicles older than 15 years that fail fitness tests will not be allowed to operate on public roads.

3. What benefits do I get for scrapping my old vehicle?

Benefits include a discount of up to 5% on a new vehicle, a waiver on registration fees, road tax concessions, and a Certificate of Deposit to redeem these incentives.

4. Is vehicle scrapping mandatory in India?

Scrapping is mandatory for vehicles that fail the fitness test after 15 years (private) or 8–15 years (commercial). If your vehicle is unfit, it cannot be legally driven and must be scrapped.

Conclusion

The Vehicle Scrappage Policy India 2025 is a significant move towards environmental sustainability, better public safety, and industrial modernization. Whether you’re a private car owner or a fleet operator, understanding the policy can help you make informed decisions — especially as the old car ban India 2025 comes into effect.

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