Team News Riveting
The Union Minister for Road Transport and Highways, Nitin Gadkari has approved a proposal to levy a “Green Tax” on old vehicles that are polluting the environment.
The proposal will now go to the states for consultation before it is formally notified. The main clauses of levying the Green Tax included transport vehicles older than 8 years could be charged Green Tax at the time of renewal of fitness certificate at the rate of 10 to 25 per cent of road tax; personal vehicles to be charged Green Tax at the time of renewal of Registration Certification after 15 years.
Besides, public transport vehicles, such as city buses, to be charged less while higher tax (50 per cent of Road Tax) for vehicles being registered in highly polluted cities.
The Minister also approved the policy of deregistration and scrapping of vehicles owned by Government department and PSU, which are above 15 years in age. It is to be notified, and will come into effect from April 1, 2022.
It is estimated that commercial vehicles, which constitute about 5 per cent of the total vehicle fleet, contribute about 65-70 per cent of total vehicular pollution. The older fleet, typically manufactured before the year 2000, constitute less than 1 per cent of the total fleet but contributes around 15 per cent of total vehicular pollution. These older vehicles pollute 10-25 times more than modern vehicles.
