Tata Motors to Setup Vehicle Scrapping Facility in Maharashtra

• Published On: 17 December 2021
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The proposed facility will have annual capacity of recycling 35,000 passenger and commercial vehicles

Tata Motors has signed a Memorandum of Understanding (MoU) with the Government of Maharashtra to setup a Registered Vehicle Scrapping Facility (RVSF) in the state. The MoU was signed with Industries, Energy and Labour Department, Government of Maharashtra at the Conference on Investment Opportunities in Highway, Transport and Logistics in Mumbai, Maharashtra, in presence of Hon’ble Minister of Road Transport and Highways, Government of India, Mr. Nitin Gadkari and other delegates. The proposed facility by Tata will have annual capacity of recycling 35,000 passenger and commercial vehicles.

The role of Industries, Energy and Labour Department will be to secure the necessary approvals as per the rules and regulations of the State Government of Maharashtra and the draft vehicle scrappage policy released by the Ministry of Road Transport and Highways (MoRTH) for setting up of the RVSF. It will also help in addressing the several benefits of this scrappage facility to various stakeholders such as low import bill for scrap and crude oil, job opportunities for MSMEs, the possibility of upside in new vehicle sales for OEMs, low operation cost for vehicle owners, safer and cleaner vehicles for consumers and a sustainable environment for all. Tata Motors is hunting for a partner to set up the scrapping centre. For those asking, Tata had earlier signed a MoU with the Government of Gujarat for setting up a Registered Vehicle Scrapping Facility (RVSF) in Ahmedabad.

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Commenting on the partnership, Mr. Girish Wagh, Executive Director, Tata Motors, said, “We are happy to partner with the Government of Maharashtra to support in setting up a scrapping facility in Maharashtra. Besides the well-known benefits that appropriate vehicle scrapping offers – boosting the setup of a circular economy, this initiative will also help in reiterating our commitment to strengthen our leadership in sustainable mobility space. We are proud to partner with the policymakers on this initiative of setting up scrapping facilities across the country. It is the beginning of a new chapter and a step in the right direction for India’s transportation sector.”

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