Friday, June 24, 2016

Transforming Delhi - Pleasant Living Environment for Citizens - 3


Delhi adds about 5,60,000 vehicles an year now; about 2,00,000 are 4-Wh and the rest 2-Wh.
A recent survey by Center for Science and Environment, at the 9 key entry points to Delhi concluded that 3,07,000 cars and 1,27,000 2-Wh enter Delhi daily. These 9 entry points are assumed to constitutes 70% of all entries thru 124 entry points to Delhi. 
But it has not reported on the number of vehicles going out of Delhi, daily.

Similarly, Prof Dinesh Mohan one of the leading experts on logistics and traffic has pointed out that upto 50% of the vehicles registered in Delhi may not actually be on the road or exist.


So where do we begin? Let us first pick "Salvage or Junking ELVs"   

Almost every street in residential areas has few dead vehicles taking up valuable space. Obviously it is not convenient or cost effective for citizens to dispose them off. 
 
The Govt has spelt out Guidelines for End of Life Vehicles Policy, but follow-up is unknown.  Delhi continues to rely on Mayapuri salvage markets to take care of its 'dead vehicles".

The Proposal
The Govt must invite Private parties to set up Junk Yards - 2 in each of the 9 district of Delhi. The land to be leased to the Project.
     a.  Such  junk yards to have good facilities to cannibalize the vehicles and extract usable parts. It             must have a sales counter for old /used parts.
     b. It must have facilities to crush the skeleton and sell steel /metal scraps to melting furnaces.  
     c. The Parties must be allowed a return on investment of 16%-18% p.a. Parties will earn thru sale        of scrap and used parts. The Business Models for Toll Companies are well established.

 


2. NGT has decided that all vehicles older than 15 years be taken -off the roads / junked.
     a. The Insurance companies cannot issue Cover for such vehicle - must advise the RTO, citizen on      the 14th year renewal.  
     b. Citizens to be advised to handover the ELVs to the Yards.
     c. The Terms of Operation and Authorizations to collect, even pick-up old /junked vehicles be            given to the promoters.
3. The Citizens to be incentivized upon handing over the ELV. Yard issues a receipt, that is en-                  cashable at the dealer on purchase of a new vehicle or any suitable arrangement
4. The Yard electronically advises RTO about receipt of ELV, and cancellation of Registration is done     by RTO.

The Govt will benefit by bringing the business into open, which is then taxable. 
The employment will again be formalized leading to better jobs and working conditions.
Few revenue generating activities like : Furniture making and artifacts out of scrap will also be encouraged 

   










The next element in this series of steps would be Parking Solutions 

 

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