PRIME Minister Narendra Modi on Friday launched the National Automobile Scrappage Policy and said the initiative will promote a circular economy and make the process of economic development more sustainable and environment-friendly.

The policy, aimed at recycling old and unfit vehicles, will give new identity to India’s mobility and auto sector, Modi said in his address while virtually launching the initiative during ‘Investors Summit’ organised in Gandhinagar.

The summit, which saw participation of potential investors and industry players, was organised to attract investment for setting up vehicle scrapping infrastructure under the Voluntary Vehicle-Fleet Modernisation Programme, an official release said. The policy will give a new identity to India in the mobility and auto sector, Modi said.

“This policy will play a major role in removing unfit vehicles from our roads in a scientific manner. It will modernise the vehicular population on our city roads,” he added.