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As cars age, they may face stricter regulations, and in India, vehicles that are 15 years old are now subject to specific rules that could affect their registration and use. The government has introduced these rules as part of an effort to reduce pollution and improve road safety.
If you own a car that’s nearing or has crossed the 15-year mark, understanding these new regulations is crucial. This guide will provide you with all the details you need to ensure your vehicle remains roadworthy and compliant with the law.
In November 2022, India's Ministry of Road Transport & Highways (MoRTH) proposed that, starting from 1st April 2023, vehicles older than 15 years would not be eligible for registration renewal. This policy aims to reduce pollution and improve road safety by removing older, less efficient vehicles from the roads.
For personal vehicles, a fitness test is required after 15 years of registration. If the vehicle passes this test, the registration is renewed for five years; if it fails, the vehicle must be scrapped.
In addition to the RTO regulations, the Government of India has implemented the Vehicle Scrappage Policy to further address the issue of vehicular pollution and promote the use of newer, more efficient vehicles. This policy targets vehicles over 15 years old, including both commercial and private vehicles, and encourages their voluntary scrapping through various incentives.
According to the Vehicle Scrappage Policy, here are the key rules and regulations you must follow:
RTO Rules for the Car Scrapping Process:
Notification
Submit a written notification to the concerned RTO about the intention to scrap the vehicle
Affidavit
Provide an affidavit stating that the vehicle is free from any bank loans, insurance claims, pending traffic challans, court cases, or theft records
Document Submission
Surrender the original vehicle documents, and ensure the Vehicle Identification Number (VIN) plate is removed after scrapping.
Scrapping Confirmation
Obtain a confirmation letter from the scrapping facility, including their complete address and photographs of the scrapped vehicle
RTO Rules for Deregistration of Old Vehicles:
Notification
Inform the RTO about the vehicle's scrapping
Document Submission
Submit the Registration Certificate and the chassis number plate removed during scrapping
Affidavit
Provide an affidavit with the deregistration application, confirming no pending legal issues, loans, or insurance claims
Document Verification
The RTO will verify submitted documents and conduct checks with the National Crime Records Bureau and traffic police
Deregistration
If all documents are satisfactory, the RTO will proceed with deregistration
The implementation of the 15-year car rule in India serves multiple objectives aimed at enhancing environmental quality, road safety, and economic growth:.
Here are some key reasons why the 15-year car rule is being implemented:
Reducing Pollution by Phasing Out Unfit Vehicles
Older vehicles often fail to meet current emission standards, contributing significantly to air pollution. By removing these vehicles from the roads, the policy aims to improve air quality and public health.
Enhancing Safety Standards
Vehicles over 15 years old may lack modern safety features, increasing the risk of accidents. Ensuring these vehicles are either upgraded or removed helps reduce road accidents and enhances passenger safety.
Creating Employment Opportunities in the Automotive Sector
Establishing vehicle scrapping centers and processing facilities generates jobs in the automotive recycling industry, supporting economic development.
Formalising the Vehicle Scrappage Industry
Transitioning from informal to formal scrapping operations ensures environmentally responsible recycling practices and proper disposal of vehicle components.
Lowering Fuel Consumption and Maintenance Costs
Newer vehicles are generally more fuel-efficient and require less maintenance, leading to reduced fuel consumption and cost savings for owners.
Providing Affordable Raw Materials for Various Industries
Recycling materials from old vehicles supplies affordable raw materials to industries like automotive manufacturing, steel, and electronics, promoting a circular economy.
Scrapping old vehicles under the Vehicle Scrappage Policy offers several advantages:
Reducing Emissions
Removing older cars that adhere to outdated pollution norms helps decrease overall vehicle emissions, improving air quality.
Boosting the Automotive Industry
Incentivising the scrapping of old vehicles encourages consumers to purchase new ones, stimulating demand and growth in the automotive sector.
Providing Cost-Effective Raw Materials for the Steel Industry
Recycling scrap from old vehicles offers a cheaper alternative for raw materials used in steel production, benefiting industries reliant on these resources.
If you're considering scrapping your personal vehicle in India, following the proper procedure ensures compliance with legal requirements and supports environmental sustainability.
Here's a step-by-step guide:
Step 1: De-register Your Vehicle
Notify the RTO
Submit a written application to the Regional Transport Office (RTO) where your vehicle is registered, informing them of your intent to scrap the vehicle.
Provide necessary documents such as the vehicle's Registration Certificate (RC), insurance papers, Pollution Under Control (PUC) certificate
Step 2: Contact a Registered Scrapping Agency
Locate Authorised Centers
Reach out to authorised Vehicle Scrapping Facilities (VSFs) listed on the Ministry of Road Transport and Highways (MoRTH) website
Schedule an Appointment
Contact the chosen agency to schedule a visit for vehicle assessment and scrapping
Step 3: Submit Documents to the Scrapping Agency
Provide Necessary Documentation
Submit copies of the de-registration certificate, PUC certificate, original RC book, proof of identity, and proof of address to the scrapping agency
Step 4: Receive a Quote
Vehicle Assessment
The scrapping agency will inspect your vehicle and offer a quote based on its condition and recyclable components
Agree on Terms
Review and agree upon the quoted amount before proceeding
Step 5: Handover the Vehicle
Transfer Ownership
Sign over the vehicle's ownership to the scrapping agency
Vehicle Dismantling
The agency will dismantle the vehicle, recycle reusable parts, and responsibly dispose of non-reusable components
Step 6: Receive Payment
Payment Processing
After the vehicle is scrapped, the agency will issue the agreed payment, typically via bank transfer or cheque
If your vehicle is over 15 years old, it must undergo a fitness test to assess its roadworthiness and environmental compliance. Vehicles that fail this test are deemed unfit and are subject to scrapping under the Vehicle Scrappage Policy.
This policy offers incentives such as discounts on new vehicle purchases, registration fee waivers, and road tax concessions to encourage owners to scrap old vehicles and transition to newer, more environmentally friendly models.
By adhering to these procedures and understanding the Vehicle Scrappage Policy, you can ensure compliance with regulations, contribute to environmental sustainability, and potentially benefit from various incentives when replacing your old vehicle.
When replacing or upgrading your old car, several financing options are available:
Car Loans
You can take a personal or used car loan from a bank or financial institution. You can also get a used car loan on Bajaj Markets. These loans offer flexible repayment terms and are based on the car’s value and your credit score.
Loan Against Existing Car
If your current car has value left, you can take a secured loan against it. This can help fund a down payment on a new car.
Dealer Financing
Car dealerships often offer financing with special deals like lower interest rates or flexible terms. It's worth comparing with other options before deciding.
Personal Loan
If you prefer more flexibility, a personal loan can be used to buy a new or used car. Though interest rates may be higher, it doesn’t require collateral.
Cash Purchase
If you have enough savings, paying in cash is a simple option that avoids loans, interest, or monthly payments
Scrapping your old vehicle not only helps in reducing pollution but also offers financial incentives and supports the automotive recycling industry. By following the outlined steps, you ensure that your vehicle is disposed of responsibly, contributing to a cleaner and safer environment.
Yes, you can, provided it passes the mandatory fitness test and adheres to emission standards.
There's no specific limit; however, vehicles over 15 years old must pass fitness tests to remain operational.
Yes, commercial vehicles face stricter age limits and must undergo fitness tests to continue plying.
The Ministry of Road Transport and Highways (MoRTH) oversees and enforces vehicle scrapping policies.
Yes, informing the RTO is necessary for proper deregistration and to avoid future liabilities.
Your vehicle may be deemed unfit for road use, and you could face penalties.
Yes, diesel vehicles often have shorter permissible ages compared to petrol vehicles, especially in regions like Delhi-NCR.
It's an official document certifying that your vehicle meets safety and emission standards.
Yes, you can sell it, but ensure all regulatory compliances are met to facilitate the transfer.
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