FEABRUARY, 20259GOVERNMENT DOUBLES TAX REBATES FOR SCRAPPING VEHICLESJSW GROUP VENTURES INTO COPPER MINING AS PART OF DIVERSIFICATION STRATEGYThe Ministry of Road Transport and Highways has proposed to double the rebate on one-time motor vehicle tax for buyers who scrap their BS-II or older emission standard vehicles and purchase new ones. At present, the government offers a discount of 25 percent in motor vehicle tax on the purchase of a new vehicle to those who scrap their old personal vehicles. For commercial vehicles, the rebate is capped at 15 percent.In a draft notification issued on January 24, the ministry said up to 50 percent discount will be applicable for all vehicles, both commercial and personal, that are BS-I compliant or were manufactured before the BS norms were introduced. This discount will also be applicable for BS-II vehicles that fall under medium and heavy private and transport vehicle categories.The BS-I carbon emission norm for vehicles became mandatory in 2000, while the BS-II came into effect in 2002. This proposed change comes at a time when the government is putting in place multiple measures to get rid of older vehicles which significantly add to vehicular pollution.The government hopes that the enhanced rate of discount could compel people to even sell their junk vehicles, which have been lying unused. The scrapping certificate can be sold or traded for availing benefits on new registration certificates.Experts, however, feel this may not be enough to incentivise people on a large scale to scrap their vehicles and much more needs to be done. JSW Group said it would invest Rs 2,600 crore to develop and operate two copper mines and set up a copper concentrator plant in Jharkhand. The development marks JSW Group's foray into the copper business as part of its commitment to diversification and growth."With a planned investment of Rs 2,600 crore, this marks a significant milestone in strengthening India's position in critical resources", it said in a statement.JSW Group said it has made a significant expansion into the mining of non- ferrous metals by winning the mine operator and developer (MDO) contract of two blocks of copper mines in Jharkhand from state-owned Hindustan Copper Ltd (HCL)."The project involves operationalising the two mines and setting up of a copper concentrator plant, with the total capital investment estimated to be 2,600 crore", it said.On full-scale ramp-up the mines will have an ore capacity of three million tonnes per annum (MTPA). The mines are likely to become partly operational in the second half of 2026-27.JSW Group secured the contract through a competitive bidding process of the copper mines of HCL for 20 years and further extendable for the next 10 years.Under the terms of the agreement, JSW will be responsible for the development of mines through capital expenditure and operational management including the installation of a concentrator plant of the same capacity.In return, HCL will provide technical support and receive a percentage of the revenue generated. TOP STORIESFEABRUARY, 20259
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