- Vehicle Scrapping Facility to be set up in Ahmedabad
- Will have an annual recycling capacity of up to 36,000 vehicles
Tata Motors has signed a Memorandum of Understanding (MoU) with the Government of Gujarat to establish a Registered Vehicle Scrapping Facility (RVSF) in Ahmedabad. The carmaker will set up the scrapping centre in association with a partner that will have an annual recycling capacity of 36,000 vehicles.
The said MoU was signed at the Investor Summit in Gandhinagar, Gujarat with the Ports and Transport Department agreeing to facilitate necessary approvals in accordance with the guidelines laid down by ARAI. The facility will be equipped for both passenger and commercial vehicles. There is a possibility of an increase in new vehicle sales for OEMs, low operation cost for vehicle owners, safer and cleaner vehicles for consumers, and a sustainable environment for all, states Tata.
Last week, the Central Government also announced the Vehicle Scrappage Policy with a view to phase out unfit and polluting vehicles. Also, several benefits for owners scrapping their commercial or private vehicles were listed and you can know more about it here.
Commenting on the partnership, Girish Wagh, Executive Director & President – Commercial Vehicle Business Unit, Tata Motors, said, “We are delighted to support this initiative through a partner for the setting up of the scrapping facility (RVSF) in Ahmedabad. Appropriate scrapping of end-of-life vehicles will have sustained benefits for the ecosystem stakeholders and the environment alike. The scrappage policy by the MoRTH is a welcome move and a step in the right direction to promote safer and cleaner vehicles in India, and it is a crucial step in building a circular economy.”
