India is accelerating its push toward cleaner mobility, and one of the strongest signals came with the government’s latest proposal: additional incentives (sops) for owners who scrap BS-II and older emission-standard vehicles. These vehicles — mostly 20+ years old — are among the highest contributors to urban pollution, and removing them from the roads is now a national priority.
The move aims to make the scrappage policy more attractive, easier to comply with, and financially rewarding for vehicle owners across India.
BS-II vehicles were manufactured before 2005, at a time when emission-control technology was minimal. Compared to modern BS-VI vehicles, they emit:
These emissions worsen:
With over 1.8 crore BS-II and older vehicles still registered in India, the government is now offering more benefits to encourage scrapping.
Here’s what the government is considering to make scrapping more appealing:
Manufacturers may be asked to increase the scrappage-linked discount (depending the OEM Dealer), making new vehicle purchases more affordable for those discarding old ones.
Instead of the current rebate of up to 25% (varying to state-to-state RTO/RTA) for private vehicles and 15% (varying to state-to-state RTO/RTA) for commercial vehicles, the government is reportedly considering higher tax concessions for those scrapping BS-II and older vehicles.
This may continue or expand, (varying to state-to-state RTO/RTA) allowing vehicle owners to save even more when they purchase a new car or two-wheeler after scrapping an old one.
New green mobility initiatives, EV adoption programs, and subsidy schemes may give priority eligibility to people who scrap their old vehicles under the official scrappage program.
Efforts are underway to integrate scrapping centers, RTOs, and OEMs digitally to ensure faster:
If you own a BS-II or older vehicle, the proposed sops mean:
Government benefits work best when the scrapping is done legally through an registered facility.
This is where Carbasket steps in.
Carbasket ensures your old BS-II or older vehicle is scrapped safely, legally, and profitably.
The proposal aligns with India’s long-term goals:
Scrapping BS-II and older vehicles could cut urban emissions significantly, especially in cities like Bengaluru, Delhi, Chennai, and Mumbai.
The government’s plan to offer more sops for scrapping BS-II and older vehicles is a major push toward a greener, safer India. With higher financial benefits and an easier process, there has never been a better time to replace old, polluting vehicles with modern, efficient ones.
And with Carbasket, vehicle owners get a trusted, smooth, and transparent scrapping experience — from pickup to RC cancellation help.
BS-II vehicles were manufactured before 2005, when emission control technologies were minimal. Anything older than that (BS-I or pre-BS) falls under “older emission standards.” These vehicles emit significantly higher pollutants compared to modern BS-VI vehicles.
BS-II and older vehicles emit 10–20 times more pollutants, causing severe air pollution and health risks. To fast-track their removal from roads, the government is proposing extra incentives, making scrapping financially attractive and easier for owners.
Under the proposed sops, you may receive:
You can continue using it only if it passes the mandatory fitness test after 15 years. Older vehicles often fail, leading to:
Your vehicle is dismantled scientifically by an Authorised Vehicle Scrapping Facility (AVSF).
Usable parts are recycled, hazardous waste is processed safely, and the RC is permanently cancelled to prevent misuse.
This is an official document issued after scrapping your vehicle. It allows you to claim:
Yes. If your RC is lost, you can still scrap your vehicle with:
Carbasket is a registered scrapping service company, under process an RVSF.
We work with verified, authorised scrapping partners to ensure RC cancellation, recycling compliance, and a safe, transparent process.
Most BS-II vehicles are processed within 2–4 hours after documents are approved.
CoD and RC cancellation status are shared by Carbasket for complete peace of mind.
All BS-II, BS-I, and pre-BS vehicles qualify. This includes:
Because Carbasket ensures: