As per the new proposal, owners will have to pay Rs 5,000 for the renewal of the registration of their old cars, and Rs 1,000 for old two-wheelers once every 5 years
The Government of India is rigorously working on battling the air pollution problem, and now, the road transport ministry has issued a draft notification proposing a new hike for the re-registration of old vehicles. From October this year, be ready to shell out Rs 5,000 for renewing the registration of light motor vehicles older than 15 years, which is eight times higher than what you currently pay, i.e. Rs 600.
The registration fee for imported vehicles is currently Rs 5,000, but from October onwards, it will increase to a staggering Rs 40,000. On the other hand, the registration renewal of old bikes will now be increased to Rs 1,000 from Rs 300. Obtaining a fitness renewal certificate for a 15-year-old bus or truck will be increased to Rs 12,500, 21 times higher than the current fee.
This new hike comes as a part of the new vehicle scrappage policy. According to the proposal, a delay in renewing the registration of private vehicles would attract a penalty of Rs 300 – 500 per month, while a delay in renewal of fitness certificate for commercial vehicles would lead to a daily penalty of Rs 50.
The increase in the renewal of registration and fitness certificate of old vehicles is aimed at discouraging people from keeping their old vehicles. In the case of private vehicles, owners need to get the RC renewed every 5 years after the vehicle has completed 15 years. However, for commercial vehicles, the fitness certificate renewal is mandatory every year once every 8 years.
The Central Motor Vehicle (Amendment) Rules, 2021 will come in effect from October 1, 2021. As of now, the stakeholders have been asked to submit their feedback on the new draft, and 30 days have been given to submit their feedback. It is yet to be seen if the government will exempt old battery-powered and alternate fuel vehicles from this proposed hike.
The Government had also announced a new vehicle scrapping policy as a part of this fiscal year’s budget which will help curb pollution in the country. Under the new policy, the government will be offering financial or tax-based benefits to consumers who get their vehicles scrapped to purchase a new one.