UPSC Notes

Vehicle Scrappage Policy (India)

PYQs

8

Articles

1

Momentum

21

Phase IFoundation

Background

Overview

Examines policy effectiveness, environmental governance, economic incentives, challenges in policy implementation, and the role of the informal economy in waste management and pollution control.

India's Vehicle Scrappage Policy aims to phase out old, polluting vehicles to reduce air pollution, improve road safety, and boost demand for new vehicles, aligning with circular economy principles. It offers incentives like road tax rebates for scrapping vehicles older than 15 years.

Phase IIStatic core

Facts & tables

Key facts

Objective

Phase out old, polluting vehicles to reduce emissions and promote new vehicle sales.

Eligibility

Vehicles older than 15 years (commercial) or 20 years (private).

Incentive Structure

Road tax rebate (4-6% of ex-showroom price) on new vehicle purchase after scrapping.

Implementation Status

Low adoption rate (only 3% of estimated End-of-Life Vehicles formally scrapped) due to weak incentives and regulatory gaps.

Reference table

Static syllabus anchors

TypeReference
Conceptual areaEnvironmental Governance
Conceptual areaSustainable Transport

Reference table

Institutions & roles

BodyRole
Ministry of Road Transport and Highways (MoRTH)Formulates and implements
Niti AayogEvaluates and advises
Phase IIIExam lens

Prelims angle

Overview

Prelims angle: Multi-statement analysis

Prelims angle: Conceptual understanding

Quick revision

  • Aims to phase out old, polluting vehicles.
  • Offers 4-6% road tax rebate on new vehicle purchase.
  • Low formal scrapping rate (3% of ELVs).
  • Challenges: weak incentives, large informal sector.
  • Impacts: air pollution, resource waste, road safety.

High-confidence PYQs

Topic timeline

Environmental GovernanceSustainable Transport

Retrofitting: the missing link in India’s vehicle scrappage policy

19 Aug 2026 · India's vehicle scrappage policy aims to remove old, polluting vehicles but faces low adoption due to weak incentives and regulatory gaps, leading to environmental and economic inefficiencies.

Read article

Related topics

Current topic

Vehicle Scrappage Policy (India)

Practice writing on this topic

UPSC has asked 8 linked questions on Vehicle Scrappage Policy (India) in Mains. Write an answer to one — and get it evaluated.

UPSC Prelims PYQs on Vehicle Scrappage Policy (India)

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