The Ministry of Transport and Highways (“Ministry”) notified the draft Motor Vehicles (Registration and Functions of Vehicle Scrapping Facility) Rules, 2021 dated March 15, 2021 (the “RVSF Rules”) in furtherance to comprehensive vehicle scrapping and incentive policies. The RVSF Rules, though presently a draft set of legislation, shall come into force upon its finalization and subsequent notification by the central government. Nevertheless, the RVSF Rules, in its present form, provides a credible framework to comprehend the direction and the manner through which the comprehensive goal of overhauling the vehicle scrapping and incentivization concerning vehicles in India shall be achieved. The RVSF Rules are one of many notifications, some of the others being various notifications towards amending Central Motor Vehicles Rules, 1989 (“CMVR”), intending to achieve the aforesaid larger goal.
The RSV Rules prescribes the procedure of establishment of vehicle scrapping facility, the procedure of scrapping of vehicles, the class of vehicles eligible for scrapping, and other ancillary provisions. The RVSF Rules shall be applicable to registered owners of the vehicles, automobile collection centres, automotive dismantling, scrapping and recycling facilities, and recyclers of all types of automotive waste products, that is to say, the application of the RVSF Rules shall be upon all kinds of entities engaged in the collection, dismantling, scrapping and recycling of vehicles and parts thereof.