Auto Scrap Facility Draft Norms Drive Home ‘Green' Point
Steel 360|November 2019
Auto Scrap Facility Draft Norms Drive Home ‘Green' Point
However, ambiguities keep stakeholders at crossroads

The much-awaited vehicle scrapping policy, which is likely to be a gamechanger for the auto scrap generation industry, could soon be a reality with the Ministry of Road Transport & Highways (MoRTH) unveiling for public circulation the draft guidelines for setting up, authorisation and operation of Authorised Vehicle Scrapping Facilities (AVSF) in the country. These norms will be applicable to vehicles which are no longer validly registered under Section 41 of the Motor Vehicles Act, 1988 or where the owners are desirous of scrapping their vehicles, or the enforcement authorities, in exercise of their statutory powers, have to scrap the vehicles impounded or seized by them, or in accordance with the directions of any court of law.

The guidelines aim to ensure a safe and regulated disposal procedure for vehicles in public interest, and for the protection of the environment and promotion of a legally compliant vehicle dismantling and scrapping industry.

An AVSF will be an establishment which holds an “authorisation for vehicle scrapping” issued under the guidelines for carrying outdismantling and scrapping operations”.

Access To Vahan Database

Industry stakeholders laud the access to the Vahan database which means they can access vehicles only from legal owners. As per the guidelines, “If a motor vehicle is not having a valid registration then the authorised scrapper or its designated centre shall match the identity of the registered owner as per the Vahan database with the person handing over the vehicle and receive the vehicle and issue a receipt through the digital platform linked to the Vahan database.”

This is a positive clause and can separate the vehicles involved in accidents, said one auto scrap dealer.

The area of 8,000 sqm of dismantling area that has been stipulated for managing different various kinds of vehicles has found favour with the industry too.

Sections Need A Relook?

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November 2019