Budget 2023: FM emphasises scrapping of old vehicles, centre to allocate funds
1 min read . Updated: 01 Feb 2023, 01:18 PM IST
Premium- In her budget speech for this year FM Sitharaman said, In addition to vehicle scrappage policy announced in Budget 2021-22, more funds have been allocated now to support efforts to scrap old vehicles under the central government. States will also be supported to help them scrap old vehicles and old ambulances.
Finance Minister Nirmala Sitharaman has announced the Budget 2023. She has stressed upon the scrappage vehicle policy. According to the minister, more funds will be allocated towards scrapping of old vehicles by the central government. She also said that the central government will support state governments to scrap old vehicles and ambulances.
In her budget speech for this year FM Sitharaman said, “In addition to vehicle scrappage policy announced in Budget 2021-22, more funds have been allocated now to support efforts to scrap old vehicles under the central government. States will also be supported to help them scrap old vehicles and old ambulances."
To recall, the Scrappage Policy was announced in the previous budget and it was aimed to phase out vehicles older than 15 years in a bid to boost clean-energy vehicles and new automobiles sales. The government also announced the plans to scrap nine lakh vehicles owned by the central and state governments, transport corporations and public sector undertakings from April 2023.
As per the Scrappage Policy 2022, the centre and state governments will provide 25 percent tax rebate on the road tax for vehicles that are purchased by scrapping older vehicles, Moreover, the government is planning to setup a scrapping facility within 150km from each city centre across the country to facilitate accessibility.
