Phasing out old Vehicles

Phasing out old Vehicles

The Ministry of Road Transport & Highways is considering a programme to replace old polluting medium and heavy vehicles with fuel efficient vehicles. A concept note on Vehicle Fleet Modernization Programme was placed on 26th May, 2016 for stakeholders comments. In this it was inter-alia proposed that old vehicles would get following financial benefits:-

The scrap value of the vehicle.

Incentives from Original Equipment Manufacturers (OEMs) and incentives from government.

It has now been decided to place the matter for consideration of Committee of Secretaries (CoS).

This programme will ensure phasing out of older polluting vehicles and enable their replacement with fuel efficient and environment friendly vehicles. According to a study instituted by MoRTH and carried out by M\s AT Kearney, MHCVs (trucks and buses) account for just 2.5% of total fleet however they contribute over 60% of pollution. The vehicle emission standards were introduced for the first time in India in 2000. Over a period these norms have been tightened. The resultant effect is that the older vehicles emit higher degree of harmful pollutants as compared to newer vehicles. Older vehicles also have lower fuel efficiency as compared to new vehicles, leading to significant loss in energy efficiency (one of the key focus areas currently being pushed through multiple initiatives like Prakash Path, LED program of the government). Committee of Secretaries for Energy Conservation constituted by the Honble Prime Minister has identified replacement of heavy duty vehicles as a key initiative. In light of above, it is proposed to launch a targeted vehicle modernization program to provide a major thrust to the countrys green initiatives.

This information was given by Minister of State for Road Transport & Highways, Shri Pon. Radhakrishnan in a written reply to a question in Lok Sabha today.

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UM/NP