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Plans afoot to set up 20 vehicle scrap centres: Steel Secy

Press Trust of India  |  New Delhi 

Plans are afoot to set up 20 vehicle centres once the government finalises its vehicle scrapping policy that proposes to 20-year old commercial vehicles, a ministry official said today.

Also, the ministry plans to formulate a policy by the end of this year.

"Our scrap policy is absolutely now at a final stage and the Ministry of Road, is coming up with end of life cycle policy for commercial we are going to have 20 such (vehicle scrap) centres," Secretary said today.

The proposed vehicle scrapping policy for mandatory disposal of more than 20-year old commercial vehicles will go for the Cabinet nod soon.

The policy was given in-principle' approval at a high-level inter-ministerial meeting at the PMO recently to pave the way for scrapping of 20-year old commercial vehicles (CVs) from April 1, 2020.

Addressing a seminar on Opportunities for Indian Steel Mills in Infrastructure sector,' jointly organised by the Ministry and a 'Steel Guru', Sharma said these centres would be set up either under private sector or on public private partnership mode.

She said, "The will introduce a this year which, in conjunction with the much-awaited vehicle scrappage policy by MoRTH , will lay out the rules and regulations for using scrap from old vehicles to produce steel.

She said once the end-of-life of commercial vehicles policy is in place, will start producing steel from scrap.

The Policy's target of 300 million tonnes (MT) of by 2030-31 includes steel made from both ore and scrap, she added.

Addressing the workshop through video conference, said, With targeting a 300 MT a capacity by 2030-31, the focus of is on domestic consumption and making the sector globally competitive...

"The has identified construction and like rural development, urban infrastructure, roads and highways, and railways for maximum consumption of steel.

The said steel is the backbone of construction and infrastructure sector which consumes almost half of the total steel produced.

Other sectors or areas where the demand for steel is bound to grow, the said, are the building up of commercial, residential buildings. He said the government's 'Housing for All' scheme can directly contribute in this.

for Steel Vishnu Deo Sai said, "We have to ensure that the produced in the country is used domestically. The new seeks to increase per to 160 kg by 2030 from the existing around 64 kg.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, May 17 2018. 18:50 IST