Delhi Scrapping of Vehicles Rules, 2018 to fuel aluminium scrap recovery in India

India is set to witness a surge in aluminium scrap recovery as Delhi prepares to scrap all old vehicles by the end of 2018. Delhi became the fifth largest passenger vehicle market in 2016, and since then PV sales in the state has been rising sharply. After the recent pollution alert in the capital, Delhi government decided to move urgently with the scrapping policy.

Aluminium scrap recovery, although less significant in quantity than other global economies, largely remains undocumented in India. Implementation of a policy such as this one would provide a boost to the overall volume, industry insiders feel.

Under the ‘Delhi Scrapping of Vehicles Rules, 2018’ all old vehicles, including two-wheelers, will be sent for dismantling to empanelled scrap dealers. Owners of the vehicles will be paid a scrapping charge by the dealer, the rate for which has not been decided yet.

The old vehicle scrapping rules, which are yet to get the central government’s final approval, have been framed to implement a 2014 National Green Tribunal order which said that vehicles older than 15-years should neither be allowed to ply on the roads nor allowed to be parked in public spaces.