Tata Motors Inaugurates Second Vehicle Scrapping Facility, Reinforcing Commitment to Sustainable Automotive Industry
7/25/2023 • India • Reviews
Tata Motors launches its second Registered Vehicle Scrapping Facility in Bhubaneswar, Odisha, partnering with Empreo Premium to recycle end-of-life vehicles. With plans for twelve facilities nationwide, it aims to promote sustainability and generate job opportunities. The Indian government's scrappage policy offers incentives to vehicle owners, fostering eco-friendly practices. Other automakers like Mahindra and Maruti Suzuki Toyotsu also run scrapping facilities in India.
Tata Motors has taken a significant step towards promoting sustainable practices in the automotive industry by launching its second Registered Vehicle Scrapping Facility in Bhubaneswar, Odisha. This facility is operated in collaboration with Tata Motors' partner, Empreo Premium, and aims to responsibly recycle and scrap both passenger and commercial vehicles from all brands that have reached the end of their lifecycle. With plans to establish a total of twelve facilities, Tata Motors is committed to having at least one unit in each state before further expansion.
The inauguration of this facility was graced by the presence of Tukuni Sahu, the honorable minister of Water Resources, Commerce, and Transport, Government of Odisha. She emphasized that this initiative will play a vital role in reducing the environmental impact of the transportation sector. Besides providing a safe and convenient way to dispose of old vehicles, it will also encourage the adoption of cleaner and more efficient modes of transportation.
Rajesh Kaul, the business head for Trucks at Tata Motors, explained that the decentralized nature of these scrapping facilities aims to benefit customers, promote economic growth, generate employment opportunities, and contribute to eco-friendly vehicle scrapping practices.
The Indian government estimates that there are approximately 51 lakh light motor vehicles older than 20 years and an additional 34 lakh vehicles older than 15 years. Moreover, there are around 17 lakh Medium and Heavy Commercial Vehicles (M&HCVs) older than 15 years without a valid fitness certificate. The vehicle scrappage ecosystem is expected to attract substantial investments of around Rs 10,000 crore and generate 35,000 job opportunities, according to government estimates.
In line with the vehicle scrapping policy introduced in early 2021, vehicle owners will be eligible for approximately 4-6 percent discounts on the ex-showroom price of new vehicles. Additionally, they can avail discounts of up to 25 percent and 15 percent on road taxes for personal and commercial vehicles, respectively.
Apart from Tata Motors, other automobile giants like Mahindra and Maruti Suzuki Toyotsu also run scrapping facilities in India, demonstrating the industry's collective commitment to sustainable practices and environmental responsibility.
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Arushi Jain
Progressing designer. Part time auto blogger.