The Indian Finance Minister, Nirmala Sitharaman, today presented the Union Budget 2021-2022. While presenting the budget, the Finance Minister confirmed that the much-awaited vehicle scrappage policy will be announced soon. Keeping the announcement brief, the Minister said more details about the policy will be announced shortly. The new vehicle scrappage policy will be beneficial in curbing air pollution. This vehicle scrappage policy is claimed to bring Rs 43,000 crore business opportunity by boosting consumption in the auto industry and helping the environment. 2021 Renault Kiger Sub-Compact SUV Unveiled in India; Check Launch Date, Features & Specifications Here.

Sitharaman said, "We are separately announcing a voluntary vehicle scrapping policy to phase out old and unfit vehicles. This will help encourage fuel-efficient and environment-friendly vehicles, thereby reducing vehicular pollution and oil import bills. Vehicles would undergo fitness tests in automated fitness centres after 20 years in case of personal vehicles, and after 15 years in case of commercial vehicles." “Details of the scheme will be separately shared by the ministry," said Sitharaman.

Vehicles older than 15 years have very low resale value and polluting the environment at a large scale, so sending them to scrapyards will provide the owners with monetary compensation that will help them to buy a new vehicle. A few days ago, Union Minister for Road, Transport and Highways, Nitin Gadkari had approved the scrappage policy of Government department and PSU vehicles that are older than 15 years.

(The above story first appeared on LatestLY on Feb 01, 2021 12:04 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).