Tata Motors joins hands with Maharashtra government to set up registered vehicle scrapping facility
The automaker has signed an agreement with the state government to assist in establishing the scrappage centre, which will have a recycling capacity of up to 35,000 cars per year for end-of-life passenger and commercial vehicles.
FollowTata Motors said on Friday that it has partnered with the Maharashtra government to promote the establishment of a registered vehicle scrapping facility (RVSF) in the state. The automaker has signed an agreement with the state government to assist in establishing the scrappage centre, which will have a recycling capacity of up to 35,000 cars per year for end-of-life passenger and commercial vehicles. According to the corporation, the state industries, energy, and labour departments will enable the required permissions according to the laws and regulations for the facility's establishment.
Girish Wagh, Tata Motors Executive Director, stated in a statement that, in addition to the well-known benefits of appropriate vehicle scrapping in promoting the establishment of a circular economy, this initiative will help reiterate our commitment to strengthening our leadership in the sustainable mobility space.
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It went on to say that they are happy to work with policymakers to establish scrapping facilities around the country. According to the statement, it marks the start of a new chapter and a move in the right path for India's transportation sector. Tata Motors has already agreed with the Gujarat government to establish a scrapping plant in Ahmedabad.
Tata Motors, India's largest automaker, is allegedly aiming to invest up to $2 billion (Rs 15,000 crore) over the next four years to introduce 10 new electric cars, while its passenger vehicle segment, which was in the red a few years ago, aims to improve and create free cash flow by 2022-23.. It is worth noting that EV usage in India has risen over the previous five years, and Tata Motors' strategic focus on EVs aligns with investor demand to support environmentally beneficial companies.
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