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Vehicle scrapping policy was officially announced last month in order to promote better recycling of raw material. Now, the Ministry of Road Transport & Highways has announced rules to setup a new vehicle scrapping facility. Apart from the rules for setting up scrapping facilities, the ministry has also come up with rules to set up vehicle fitness centres or Automated Testing Stations.

These new rules are applicable to all automobile collection centres, automobile dismantling centres, scrapping and recycling facilities and recyclers.

Registration Process

The govt will set up a single-window clearance portal for Registrated Vehicles Scrapping Facility (RVSF). This portal will also be used for the renewal of registration. The govt has claimed that the portal will be ready within 60 days, by the respective States. 

Facility Registration Period

The validity of registration for an RVSF shall be 10 years (renewable for 10 years at a time). RVSF shall be provided access to the VAHAN database and shall be authorized to make entries regarding scrapping of the vehicle and issuance of Certificate of Deposit la tradeable certificate) and Certificate of Scrapping, RVSF will be required to obtain the necessary cyber security certifications for their IT system for safe access to the VAHAN.

Vehicle Verification

Access to NCRB database will be provided to RVSF (for stolen vehicles), and it shall be the obligation of RVSF to carry out verification of the person/representative handing over the vehicle for scrapping & verification of the vehicle. The RVSF will have to tally the details with the NCRB record of the stolen vehicles as well as the pending dues in respect of traffic challans etc., before scrapping the vehicle. 

Documents and Certificates

In order to get the vehicle scrapped, the owner will have to provide certain documents before being issued the "Certificate of Deposit (COD). This is the certificate that can also be used to avail incentives and benefits on the purchase of a new vehicle. 

Additionally, the RVSF shall keep safe custody of cut piece of Chassis Number for a period of 6 months from the date of issue of  Certificate of Vehicle Scrapping and maintain a copy of all documents for record and examination during its mandatory annual audit.

Since the whole process is IT driven the vehicle registered in any State can be scrapped in the RVSF established in any of the States.

Minimum Requirement for RVSF

The RVSF must have an adequate area in the Orange Zone, for movement and storage of vehicles and for installing equipment for de-polluting, de-risking and dismantling ELV and must comply with all relevant environmental norms 

In case the RVSF do not have adequate capability/provisions for responsible recycling of hazardous waste (like e-waste, lead-acid batteries, lithium-ion components, or for recovery of rare-earth metals, etc.). recycling. of scrap material, then such materials are to be sold to duly authorized recyclers agencies.

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