Government Increases Renewal Fees for Vehicles Over 20 Years Old

New Fee Structure for Older Vehicles

In an effort to decrease the number of vehicles older than 20 years on the roads, the Ministry of Road Transport and Highways has significantly raised the registration renewal fees.

As per the recent announcement, the renewal fee for light motor vehicles (LMVs) that are over 20 years old has been doubled from Rs 5,000 to Rs 10,000. Motorcycles have seen their renewal fee increase from Rs 1,000 to Rs 2,000, while three-wheelers and quadricycles will now pay Rs 5,000, up from Rs 3,500.

Imported vehicles face even steeper increases. The renewal fee for two or three-wheeled imported vehicles is now set at Rs 20,000, while those with four or more wheels will incur a fee of Rs 80,000.

The draft for these changes was initially proposed in February and finalized on August 21. This is not the first instance of fee hikes; similar increases were implemented in October 2021 for motorcycles, three-wheelers, and cars.

Recently, the Supreme Court ruled against enforcing strict penalties on owners of older diesel (10 years) and petrol (15 years) vehicles in the Delhi-NCR region. This decision was influenced by an appeal from the Delhi government, advocating for assessments based on vehicle usage rather than age.