Pune: Tata Motors, India’s largest commercial vehicle manufacturer, on Friday said it has joined hands with the Gujarat government to support setting up a vehicle scrapping facility in Ahmedabad.
As per the memorandum of understanding (MoU) signed by the two, the registered vehicle scrapping facility (RVSF) for end-of-life passenger and commercial vehicles will have a capacity to recycle up to 36,000 vehicles a year.
By the MoU, signed at the Investor Summit in Gandhinagar, the state’s Ports and Transport Department will facilitate the necessary approvals, as per rules.
The new vehicle scrapping policy and the facility will provide benefits such as low import bill for scrap and crude oil, job opportunities for MSMEs, the possibility of upside in new vehicle sales for vehicle-makers, low operation cost for vehicle owners, safer and cleaner vehicles for consumers and a sustainable environment.
Tata Motors will set up the scrapping centre in association with a partner.
“We are delighted to support this initiative through a partner for the setting up of the scrapping facility in Ahmedabad,” Girish Wagh, executive director & president–commercial vehicle business unit at Tata Motors, said.
He said appropriate scrapping of end-of-life vehicles will have sustained benefits for the ecosystem stakeholders and the environment alike.