Patna: The Bihar government has approved amendments to simplify the process of scrapping old non-government vehicles and expand tax benefits for owners, in a move aimed at improving road safety and reducing environmental pollution.
The decision aligns with the Ministry of Road Transport and Highways guidelines and revises the Standard Operating Procedure (SOP) for Registered Vehicle Scrapping Facilities (RVSFs) in the state.
Policy Changes and Scrapping Mechanism
Under the revised framework, scrapping of non-government vehicles will be carried out only through authorised Registered Vehicle Scrapping Facilities. The system is designed to ensure scientific disposal of end-of-life vehicles and reduce the environmental impact caused by ageing and polluting automobiles.
Officials said the updated mechanism is intended to make the scrapping process more structured, transparent and accessible for vehicle owners.
Tax Benefits Linked to Certificate of Deposit
Vehicle owners scrapping their old vehicles will receive a Certificate of Deposit (COD), which can be used to avail motor vehicle tax concessions while purchasing a new vehicle of an equivalent category.
At present, the policy provides tax rebates of 25 per cent for non-transport vehicles and 15 per cent for transport vehicles. In specific cases involving medium and heavy goods or passenger vehicles manufactured under Bharat Stage-1 and Bharat Stage-2 norms, concessions can go up to 50 per cent.
Push for Cleaner and Safer Transport
The government has stated that phasing out old vehicles is expected to reduce air pollution, improve fuel efficiency, and enhance road safety across Bihar. The scientific scrapping process is also aimed at minimising environmental damage caused by improper disposal practices.
Government’s Position on Implementation
Transport Minister Damodar Rawat said the state is working towards building a modern and eco-friendly transport system. He added that the scrapping framework will support both environmental conservation and road safety goals.
The government has also emphasised that the entire process will be made transparent and user-friendly to encourage wider adoption among vehicle owners.
