The Road Transport Ministry has issued a draft notification proposing a hike in the registration renewal fee.
According to a report by Times of India, starting October, more than 15-year-old cars will incur Rs 5,000 for renewal of registration, eight times that of the current requirement.
Similarly, the charges for registration renewal of old bikes would be Rs 1,000 compared to the current fee of Rs 300. Obtaining a fitness renewal certificate for a 15 year plus bus or truck would be Rs 12,500, which is nearly 21 times higher than what is paid now, said the TOI report.
The development comes as part of the vehicle scrappage policy.
After the vehicle scrapping policy announced by the Union Budget 2021 comes into effect, holding on to 15-year-old vehicles will anyway become expensive. The cost of getting a fitness certificate for such commercial vehicles will go up by up to 62 times. Also, states will now impose green tax over and above the road tax that every vehicle owner needs to pay.
As per the motor vehicle law, renewal of fitness certificate is mandatory annually once it is more than eight years old. On top of this, states can levy a green tax, which can be 10-25 per cent of the annual road tax. This will be in addition to the normal road tax a vehicle owner pays.
Currently, only seven out of the 25 sanctioned automated fitness test centres are operational and there are only two authorised scrapping centres, including one in Noida.
The ministry has also been tasked to explore the possibility to come out with voice messages about the benefits of the scrapping policy in the mobile phones of vehicle owners and drivers at petrol pumps, dealers and service centres. The ministry will also come up with measures to prohibit any misuse of policy for scrapping any stolen vehicle.