Why Scrapping Your Old Car Makes Sense Today
Are you still driving a 15+ year-old car? India’s vehicle scrappage policy isn’t just about clearing space on the road—it’s about saving money, reducing emissions, and getting rewarded for responsible choices. Under this scheme, vehicle owners can enjoy multiple benefits including cash discounts and tax reliefs.
If you’re planning to scrap your old vehicle, start by reaching out to government-authorized vehicle scrapping companies in India that follow all compliance norms.
What is the Car Scrap Policy?
Initiated by the Ministry of Road Transport and Highways (MoRTH), the Vehicle Scrappage Policy is aimed at phasing out unfit and high-emission vehicles in India.
Key Highlights:
- Applicable to private vehicles older than 15 years
- Mandatory fitness test after 15 years for private cars
- Incentives available for owners who voluntarily scrap and replace vehicles
Top Car Scrap Policy Benefits
- Discount on New Vehicle Purchase
Automakers offer cash discounts (₹10,000–₹20,000) if you provide a valid scrappage certificate. - Road Tax Concession
States may offer road tax rebates of up to 25% when purchasing a new car post-scrappage. - Exemption from Registration Charges
Buyers are exempt from registration fees if they present a scrap certificate. - Environmental Benefits
Scrapping reduces carbon emissions and improves air quality by removing high-pollution vehicles. - Modern and Safer Vehicle Options
Scrapping enables you to replace outdated, unsafe cars with modern, fuel-efficient ones. - Better Fuel Economy
Newer BS6 vehicles offer higher mileage, leading to long-term savings. - Growth of Recycling Industry
The rise of vehicle scrapping companies in India is contributing to employment and material reuse. - Cleaner, Safer Roads
Scrapping eliminates potentially dangerous and breakdown-prone vehicles from Indian roads. - Support for Make in India & Circular Economy
Recyclable components from scrapped vehicles support local manufacturing and reduce resource consumption. - Transparent Digital Process
All procedures—from deregistration to scrap certificate issuance—are digitized on the Parivahan portal.
Key Stats You Should Know
| Metric | Value |
| Old vehicles identified for scrappage | Over 1 crore |
| Authorized scrapping centers | More than 200 |
| Discount on new vehicle | ₹10,000 – ₹20,000 |
| Road tax concession | Up to 25% (varies by state) |
| Scrappage certificate validity | Up to 4 years |
How to Scrap a Vehicle in India: Step-by-Step Guide
- Confirm Vehicle Age (Check if it’s over 15 years)
- Fitness Test (Failing it makes vehicle eligible for scrapping)
- Register on Parivahan Portalhttps://vscrap.parivahan.gov.in
- Submit Vehicle to Authorized Scrapper (RVSF)
- Receive Digital Scrappage Certificate
- Use Certificate to Claim Benefits
Which Cities Lead in Vehicle Scrapping?
- Delhi: Strict pollution laws drive compliance
- Mumbai & Pune: Key metro hubs for vehicle recycling
- Ahmedabad: Strong state-level implementation
- Bangalore & Chennai: Tech-enabled scrapping process and new centers
Scrapping vs Resale: What’s More Worthwhile?
| Criteria | Scrapping | Resale |
| Age of Vehicle | Ideal for 15+ years | Better for 5–10 year-old cars |
| Process | Digitally streamlined | Involves paperwork transfer |
| Eco-Impact | Reduces pollution | Older vehicles continue usage |
| Incentives | Government-backed | Market dependent |
Important Reminders Before You Scrap
- Scrapping is voluntary for private vehicles
- Mandatory only for unfit government and commercial vehicles
- Only authorized RVSFs should be used
- Keep your RC, ID, and address proof ready
- Scrappage certificate should be preserved for availing future benefits
Bonus: Scrappage Policy Supports EV Adoption
Many vehicle owners are using scrappage benefits to buy electric vehicles (EVs), which further qualifies them for state-level EV subsidies and incentives.
FAQs: Car Scrap Policy Benefits
- What benefits can I get under the vehicle scrappage policy?
You can receive up to ₹20,000 in discounts, road tax rebate, and registration fee exemption. - Is scrapping mandatory for all vehicles?
It is voluntary for private vehicles but mandatory for unfit commercial and government vehicles. - How do I check my car’s scrappage eligibility?
Check the age and fitness test status on the Parivahan portal. - Are there any documents needed for scrapping?
Yes—RC, valid ID proof, insurance copy (if available), and PAN or Aadhar are required. - Can I get benefits on an electric vehicle if I scrap my old car?
Yes, and in many cases, you also get additional EV-specific subsidies.
Final Thoughts
The car scrap policy is your chance to clear out old, inefficient vehicles and replace them with safer, eco-friendly alternatives—all while saving money. With a streamlined digital process and support from reputed vehicle scrapping companies in India, there’s no better time to act.
