The government will provide a scrap value of 6% of the ex-showroom price in exchange for the owner’s new vehicle.
To phase out old vehicles from the roads, the Odisha Cabinet, chaired by Chief Minister Naveen Patnaik, approved the Registered Vehicle Scrapping Facility Policy-2022. Pramila Mallick, Odisha Revenue and Disaster Management Minister, announced this in the Assembly on Wednesday.
This policy, aimed at reducing vehicular pollution, recommends mandatory scrapping of vehicles older than 15 years at a scrapping facility. Owners will also receive incentives to purchase new vehicles, she said.
Vehicles that have not renewed their Certificate of Registration, have not been granted a certificate of fitness, have outlived their utility, are 15 years old or older, are owned by government agencies/autonomous councils, etc. will be scrapped at designated RVSF centers, according to policy guidelines.
Vehicles 15 years old and older will be scrapped at designated scrapping facilities.
If the owner of a scrapped vehicle wishes to purchase a similar type of vehicle, the government will provide a tax break.
The government will provide a scrap value of 6% of the ex-showroom price in exchange for the owner’s new vehicle. The policy will also provide incentives to investors who establish Registered Vehicle Scrapping Facilities (RVSF) in Odisha. The Registered Vehicle Scrapping Facilities will be treated as industrial units, and IDCO will provide investors with industrial lands in accordance with the industrial policy guidelines.
The new Odisha Tourism Policy, 2022, has also been approved by the state cabinet. The policy aims to make investing in tourism and hospitality more appealing to investors. The state has increased capital incentive subsidy (CIS) from 20-25% in the previous policy to 30% in this policy in order to encourage investment in the tourism sector in the state.
According to an official, health, wellness, and medical tourism have been designated as eligible tourism units, and incentives have been made available to interested investors. This initiative is intended not only to encourage the establishment of advanced and super-speciality health establishments within Odisha, but also to encourage inbound travel of people seeking such services from outside the state and other countries, he said.
Prasanta Patnaik