Patna: In a move to curb vehicle-related pollution and promote sustainable mobility, the Bihar government has rolled out a series of financial incentives for scrapping old and unfit vehicles. Under the initiative, owners who scrap private vehicles over 15 years old can avail a one-time waiver on all pending dues, along with up to 25% concession on the registration of new vehicles.
According to the state transport department, two authorised scrapping centres—Nilium Scrapping Centre in Patna and SK Enterprises in Vaishali—are currently operational. Since the scheme began in January 2023, a total of 1,557 applications have been submitted for vehicle scrapping. These include 747 defence vehicles, 308 government vehicles, and 522 privately owned vehicles.
To encourage participation, the government is offering a Certificate of Deposit (CoD) to owners who scrap their vehicles. This certificate can be used to claim tax reductions when registering a new vehicle. Private vehicle owners are eligible for a 25% discount, while commercial vehicle owners can receive a 15% rebate. Additionally, registration fees, fitness charges, and other levies are also being waived.
The concessions are valid until March 31 2026. Notably, scrapping of government-owned vehicles older than 15 years has been made mandatory under the policy.
Transport Minister Sheela Kumari said the state has made significant progress in implementing vehicle scrappage over the past year. “We want to ensure that people who retire their old vehicles do not face financial setbacks,” she stated. “The department is committed to easing the process and reducing the economic burden on citizens purchasing new vehicles.”
Vehicle owners can apply for scrapping through designated digital platforms. For government vehicles, e-auctions are conducted via the Metal Scrap Trade Corporation Limited (MSTC) https://www.mstcindia.co.in and the Government e-Marketplace (GeM) https://gem.gov.in. Private vehicle owners must apply through the Ministry of Road Transport and Highways (MoRTH) portal, where authorised Registered Vehicle Scrapping Facilities (RVSF) will handle the purchase and dismantling process.
