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46m ago

India Doubles Renewal Fee for 20-Year-Old Vehicles Under New Motor Rules

The notified 2025 rules raise costs to discourage use of older, higher‑polluting vehicles.

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These changes were affected by amending the Central Motor Vehicles Rules, 1989 and a draft notification was issued in February for the same proposing these changes. (HT PHOTO)
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Overview

  • The Ministry of Road Transport & Highways finalized the Central Motor Vehicles (Third Amendment) Rules, 2025 on August 21, issuing a gazette notification that sets new renewal charges exclusive of GST.
  • Renewal now costs Rs 10,000 for light motor vehicles older than 20 years, Rs 2,000 for motorcycles, and Rs 5,000 for three-wheelers and quadricycles, with Rs 12,000 specified for other categories.
  • Fees for imported vehicles are steeply higher, at Rs 20,000 for imported two- or three-wheelers and Rs 80,000 for imported vehicles with four or more wheels.
  • Officials and coverage describe the hikes as a policy lever to push owners away from older, more polluting vehicles toward scrappage or cleaner alternatives.
  • The rollout follows a recent Supreme Court interim order halting coercive action against older petrol and diesel vehicles in Delhi-NCR, and some reports vary on age thresholds, though the notification details increases for vehicles over 20 years.