Union Budget: Voluntary vehicle scrapping policy announced to phase out old vehicles

Feb 01, 2021

New Delhi [India], February 1 : Union Finance Minister Nirmala Sitharaman on Monday announced a voluntary vehicle scrapping policy to phase out old and unfit vehicles under which the personal vehicles will undergo a fitness test in automated centres after 20 years while the commercial vehicles will undergo the test after 15 years.
"We are separately announcing a voluntary vehicle scrapping policy to phase out old and unfit vehicles. This will help in encouraging fuel-efficient, environment-friendly vehicles. Thereby, reducing vehicular pollution and oil import bill," said Sitharaman in the Parliament while presenting the Union Budget 2021-22.
"Vehicle should undergo a fitness test in automated fitness centres after 20 years in case of personal vehicles and after 15 years in case of commercial vehicles," she added.
In Part A of Budget 2021, the Union Finance Minister laid out a vision for Atmanirbhar Bharat to strengthen the vision of Nation First, doubling farmers' income, strong infra, women's empowerment, healthy India, good governance, education for all, inclusive development.
The Union Budget 2021-22 proposals rest on six pillars: Health and well-being, physical and financial capital and infrastructure, inclusive development for aspirational India reinvigorating human capital innovation and R&D minimum government, maximum governance.