Govt to digitise vehicle scrapping process for all stakeholders

Processes have been made time-bound to ensure ease of doing business. (HT_PRINT)
Written by Publishing team

Ministry of Road Transport and Highways has issued the draft notification, pertaining to Motor Vehicles (Registration and Functions of Vehicle Scrapping Facility Amendment) Rules, 2022.

These are amendments to the Motor Vehicles (Registration and Functions of Vehicle Scrapping Facility) Rules dated 23rd September 2021, which lay down the procedure for establishment ofRegistered VehicleScrapping Facility (RVSF).

These amendments have been done to simplify and digitalize the process of vehicle scrapping for all stakeholders in the ecosystem, such as vehicle owners, RVSF operators, dealers, regional transport authorities etc. These amendments have been done on the basis of feedback received on the rules, a ministry statement said.

Processes have been made time-bound to ensure ease of doing business. The draft notification provides for vehicle owners to apply digitally for vehicle scrapping and all applications for vehicle scrapping have to be submitted digitally.

RVSFs will act as facilitation centers to help vehicle owners apply digitally to scrap their vehicles. Moreover, necessary checks to be done from “Vahan ” database before submission of application by vehicle owner have been specified. These checks include the surrender of hire-purchase, lease or hypothecation agreement of the vehicle, no criminal record against the vehicle in records of the National Crime Records Bureau, no pending due on the vehicle, and no record of blacklisting of the vehicle by regional transport authorities. Application for vehicles failing any of these checks shall not be submitted.

Also, the draft notification provides for the introduction of undertakings by vehicle owner and RVSF operators at the time of vehicle submission to ensure that there is transparency in the responsibility of the vehicle before and after submission for scrapping. Inclusion of more details in the Certificate of Deposit pertaining to the vehicle submitted for scrapping to enable transparency in trading of the said certificate. The said certificate will be available to the vehicle owners digitally and shall be valid for a period of 2 years.

The notification has also introduced Transfer Certificate of Deposit to ensure that consumers obtaining the certificate of deposit through electronic trading have digital proof of the transaction.

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