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New Policy to Incentivize Discarding of Old Cars: A Policy with Long Sighted Vision

NEWS:

Government is considering giving financial incentives to those willing to discard their old cars under a new policy.Government is  formulating a new policy that whoever will surrender the old car we will give some incentive to them. Government will process the old cars in any industrial area and recycle their parts.Some money to them to encourage people to sell off their old cars. On one new vehicle purchase government is benefited by Rs 95,000. 

Source: ET

SNP Insights:

The proposed policy is expected to decongest Indian roads where the growth of vechicle population surpassed the road infrastructure to accomodate them. This may also help to phase out the old fuel guzzler vechicles from roads which in long term will have a positive impact on the fuel imports. More over  the atmospheric pollution can also be controlled with the replacement of aged vehicles with new ones.

Source: SNP Infra Research