Scrappage Policy Will Help India Achieve Net-Zero Emissions: Gadkari

Union Minister Nitin Gadkari says that the commitment made by the Prime Minister at the 2021 United Nations Climate Change Conference (COP26) is important to the government. He is confident that scrappage policy is one of the solutions to achieve this goal.

By Seshan Vijayraghvan

1 mins read

Published on November 23, 2021

Highlights

India has made a commitment to reach net-zero emission by 2070 at COP26
Gadkari says scrappage policy is one of the solutions to reach that goal
Government aim is to have 3 to 4 scrapping centres in every district

Union Minister for Road Transport and Highways, Nitin Gadkari has said that the new vehicle scrappage policy will help the country achieve its goal of attaining net-zero emissions by 2070. Speaking at the inauguration of the new Maruti Suzuki Toyotsu Vehicle Scrapping facility in Noida, Gadkari said that India's commitment to achieving net-zero emission by 2070, made by Prime Minister Narendra Modi at the 2021 United Nations Climate Change Conference (COP26) is important to the government. And the minister is confident that vehicle scrappage policy is one of the solutions to achieve this goal. Also Read: Union Minister Nitin Gadkari Inaugurates The Maruti Suzuki Toyotsu Vehicle Scrapping Facility In Noida Union Minister Gadkari spoke about the benefits of the scrappage policy at the inauguration of Maruti Suzuki Toyotsu Vehicle Scrapping facility in Noida Addressing the media, Union Minister Gadkari said, "The commitment made by the Honourable Prime Minister at COP26, of net-zero emission by 2070, is very important." He further added, "I am 100 per cent confident that this scrappage policy is also going to be useful... as for the population problem we are facing, I am confident that this is one of the solutions for that." Also Read: MoRTH Releases List Of Incentives, Disincentives Under Vehicle Scrapping Policy The government also believes that the vehicle scrappage policy will lead to an increase in new car sales. Gadkari said, "This scrapping policy is going to boost automobile sales. We are expecting that there will be 10 to 12 per cent more sales because of scrapping policy, and that is a win-win situation for all the stakeholders." The minister further added that the scrappage policy has the potential to reduce raw material cost by 33 per cent, thus generating incremental GST revenue on vehicle sales of about Rs. 30,00-40,00 crore for the government. Union Minister Nitin Gadkari also said that the scrappage policy has the potential to reduce raw material cost by 33 per cent Gadkari also said that the government is expecting a fresh investment of over Rs. 10,000 crore in automotive fitness centres and scrapping centres. The aim is to have between 3 to 4 scrapping centres in every district, which will ultimately also help create more jobs.