14

Jul

Monday Matters: India’s Junk Policy

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India Junk Policy

By Prof Shivaji Sarkar
India has emerged as a $4-trillion economy — a milestone few developing nations reach. Yet behind this achievement lies a deeply flawed policy that is quietly eroding national wealth: the forced scrapping of vehicles deemed “end-of-life” (ELV). In what appears to be an unprecedented economic and environmental miscalculation, the country is preparing to junk around two crore vehicles annually, worth an estimated ₹18–30 lakh crore.This policy isn’t just economically reckless — it’s a war on the average Indian.
A Cruel Policy Disguised as Progress
In Delhi alone, over 62 lakh vehicles have been tagged as ELVs. Policemen are now assigned not to maintain law and order, but to impound vehicles that are 10 or 15 years old — often from people on their way to work, school, or hospitals. These are not abandoned or broken-down vehicles. Many are well-maintained, with less than 10,000 km on the odometer. Owners who’ve just finished years of EMI payments are being stripped of property — without compensation, and often without explanation.The worst part? These vehicles are deemed "waste" not by mechanics, but by bureaucrats, police officers, or scrap dealers. The concept of ELVs, supposedly to curb pollution, has turned into a weapon of harassment and an assault on private ownership.
Scrapping Wealth to “Grow” the Economy?
India’s so-called green transition is undercut by a simple economic reality: junking two crore vehicles annually — at an average value of ₹9 lakh each — means destroying ₹18 trillion in assets. Including commercial vehicles like trucks and buses, this could rise to ₹30 trillion. No economy, not even the richest, can afford to discard such capital year after year and hope to grow. Public transport is already suffering. Private bus operators in states like West Bengal cannot afford to replace aging fleets, worsening rural connectivity. Even the Delhi Transport Corporation has stopped running buses into neighboring states like UP, Rajasthan, and Himachal — all while the government keeps pushing scrappage targets.This isn’t policy. It’s lunacy.
Who Really Benefits?
The scrappage drive appears to be less about the environment and more about boosting car sales — and possibly helping a few corporate beneficiaries. The central government has allocated ₹5,000 crore to states to push scrappage, including in the Northeast. This is taxpayer money used to destroy functioning assets — an absurdity in any sane economic system     One of the most controversial aspects of this policy is its origin. The primary justification comes from a Centre for Science and Environment (CSE) report that was part-funded by Tata Trusts, linked to one of India’s biggest carmakers. This glaring conflict of interest has gone largely unchallenged, thanks in part to muted media coverage and powerful PR networks.
If India is to scrap public property based on reports funded by corporate entities that stand to gain, an independent investigation — even by the NIA — is warranted.
The ELV Myth: A Manufactured Crisis
The term “End of Life Vehicle” is a marketing invention, not a scientific or mechanical classification. In reality, machines do not have a fixed lifespan. Just as people age differently, so do vehicles. Many run perfectly well for 30 or 40 years if maintained. In Europe, the U.S., and Japan, there is no automatic age-based ban. In the UK, as veteran journalist Hasan Suroor notes, “no car is banned for age. If it fails a test, it’s repaired.”
So why is India going backward?
According to MoRTH, more than 51 lakh light motor vehicles in India are over 20 years old, and another 34 lakh are 15+ years old. The ministry claims these vehicles emit 10–12 times more pollutants than newer models — a claim that is not supported by real-world emission data. Most vehicles today meet Euro norms and emit less than 2 percent of total pollution — provided they are reasonably maintained. Meanwhile, actual major polluters are being ignored. Vehicular emissions account for just 12% of India’s pollution, while industry contributes a massive 51%. If pollution were truly the concern, why did India’s coal consumption increase to 1 billion tonnes in 2023–24?

Why are millions of trees being felled for highways?
New Cars, More Pollution
Ironically, manufacturing a new car creates more pollution than running an old one for years. In Indian families, a vehicle is often a generational asset — not a disposable gadget. Yet the scrappage policy demands that citizens buy a new car every 10–15 years, even if their current one is fully functional. For most, that’s financially impossible.
And what message does this send to families who carefully maintain their vehicles? That their care, investment, and pride in ownership are worthless — overridden by arbitrary age limits.
A Call for Policy Reversal
India must immediately repeal or overhaul the ELV policy. Vehicles should be evaluated based on roadworthiness and emissions, not age. Let them run for 30 or 40 years if maintained well — as they do in developed economies.This scrappage regime serves no genuine public interest. It punishes responsible citizens, destroys wealth, disrupts livelihoods, and turns India’s economic engine into a scrapyard for profit. If India truly wants to grow as a self-reliant economy, it must stop cannibalizing its own capital assets in the name of progress.

                                                                                                                                                                     

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