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Registered Vehicle Scrapping Facility (RVSF) Programme Put Into Action!

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Ministry of Road Transport & Highways has notified draft rules for setting up Registered Vehicle Scrapping Facility (RVSF). The rules lay down the procedure for setting up, authorization and operation of RVSF. Key features are:

– These RVSFs shall be provided access to the VAHAN database and shall be authorized to make entries regarding scrapping of the vehicle & issuance of Scrapping Certificate.

– Other access to NCRB & police database will also be provided for verification of stolen vehicle or vehicle involved in criminal activity, before scrapping a vehicle.

– The rules specify the technical requirements and procedure to be followed by any legal entity for setting up RVSF.

– The Government of India will develop a portal for single-window clearance, on which the applicant will apply with documents and fee. State/UT governments would clear the proposal in a time-bound manner, that is, 60 days.

– The application process is proposed to be made seamless, transparent and time-bound for registration, inspection and audit of RVSF.

-The RVSF must take cybersecurity certifications for safe access to VAHAN database. The registration of an RVSF shall be valid for an initial period of 10 years, and renewable for 10 years at a time.

Registered Vehicle Scrapping Facility (RVSF) Programme

-Besides the requirement for having certified equipment for de-polluting, de-risking and dismantling End of Life Vehicle (ELV), the RVSF will have to comply with relevant health and safety legislation/regulation and environmental norms laid down by MoEF&CC and CPCB/SPCB for such operations.

– In case the RVSF does not have adequate capacity for recycling of hazardous waste (like e-waste, batteries, or for recovery of rare earth metals, etc.), then such materials can be sold to duly authorized recyclers.

– The RVSF, after verifying the original documents from the owner/representative and records of the vehicles, issues the ‘Certificate of Deposit’, which can be used to avail incentives and benefits for the purchase of a new vehicle.

– The RVSF shall keep safe custody of a cut piece of Chassis Number for a period of 6 months from the date of issue of ‘Certificate of Vehicle Scrapping’ and maintain a copy of all documents for record and examination during an audit. Objections and suggestions to these draft rules have been invited within 30 days’ time from the date of publication of these draft rules.

Nitin Gadkari had welcomed the Voluntary Scrappage Policy announced in the Union Budget and said that declaration of the details of the policy will be done within 15 days from today. In his post-budget interaction with the media at his residence, Sh. Gadkari said that the scrappage policy will lead to new investment of around Rs.10,000 crores, and create as many as 50,000 jobs.

The Minister said the policy would cover an estimated 51 lakh light motor vehicles (LMV) that are above 20 years of age, while another 34 lakh LMVs are above 15 years. It would also cover 17 lakh medium and heavy motor vehicles, which are above 15 years, and currently without valid fitness certificates. These vehicles are estimated to cause 10-12 times more pollution than the latest vehicles. Outlining the benefits of the policy, Sh. Gadkari said it would lead to the recycling of waste metal, improved safety, reduction in air pollution, reduction in oil imports due to greater fuel efficiency of current vehicles, and stimulate investment.

Sh. Gadkari had also welcomed the increased outlay for the highways sector, to Rs. 1,18,000 crores, with the highest-ever capital investment of Rs.1,08,000 crores. While welcoming the increased allocation, the Minister said that the Ministry’s increased stress on the monetization of highways will help in expanding the road network in the country.

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