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Tata Motors, India's largest commercial vehicle manufacturer has announced its intent to construct an environmentally friendly scrappage center for end-of-life passenger and commercial vehicles in Ahmedabad. The facility will be capable of recycling up to 36,000 vehicles a year. This announcement comes just after Gujarat signed off on this memorandum with Tata Motor's support for setting up the Registered Vehicle Scrapping Facility (RVSF). The Honorable Minister of Road Transport and Highways, Government of India Mr. Nitin Gadkari signed the Memorandum Of Understanding (MoU) with Gujarat Chief Minister Vijay Rupani in Gandhinagar during an Investor Summit conference.
The Ports and Transport Department will assist in facilitating the necessary approvals as per the rules and regulations of the Gujarat State Government. The draft vehicle scrappage policy released by MoRTH for setting up RVSF addresses intent from all stakeholders with benefits such as low import bill, job opportunities to MSMEs, upside potential on new vehicle sales for OEMs which has been seen recently on a global level; it's also expected that this would lead to lower operating costs while providing safe vehicles for consumers leading to sustainability at the end line!
Commenting on the partnership, Mr. Girish Wagh, Executive Director & President - Commercial Vehicle Business Unit, Tata Motors, said, "We are delighted to support this initiative through a partner for the setting up of the scrapping facility (RVSF) in Ahmedabad. It is indeed a historic step for Tata Motors as the company announces its participation in the vehicle scrapping space. Appropriate scrapping of end-of-life vehicles will have sustained benefits for the ecosystem stakeholders and the environment alike. The scrappage policy by the MoRTH is a welcome move and a step in the right direction to promote safer and cleaner vehicles in India, and it is a crucial step in building a circular economy. As a responsible corporate, Tata Motors is committed to a sustainable future and looks forward to supporting this initiative through this association with the Government of Gujarat."
Thoughts on Vehicle Scrappage
This is a question that has been the subject of much debate and will probably continue to be for some time. Many people still don't have an answer they are 100% happy with or agree on. What if the government rewarded you for scrappage of old vehicles "cash for scrappage", and encouraged people into new vehicles on the road today, that are known as ultra-low emission vehicles (ULEV). The ULEV class of vehicles includes: Compressed Natural Gas (CNG) and Liquefied Petroleum Gas (LPG) powered vehicles Hybrids Electric Vehicles (EVs)
What if there is a scheme that helps reduce carbon dioxide emissions and congestion by persuading people to ditch their older vehicles for cash and upgrade to newer, cleaner vehicles. Would you take advantage of this offer? There's no doubt about the fact that ULEV vehicles produce less CO2 than petrol/diesel-powered cars but does vehicle scrappage actually benefit the environment? or do you believe our natural resources will get abused as there is no proper scheme and these scrapped vehicles will most likely end up in landfills where they can affect the environment once again. Your thoughts?