Dutch car scrap scheme is launched

A new car scrapping scheme has come into effect on Friday which is intended to both promote the use of less polluting cars and to help encourage growth in the flagging new car market.

Dutch Car-owners who trade their pre-1995 vehicle for a newer and cleaner model can apply for a 1,000 euro premium. The measure was introduced as part of the government’s crisis fighting package.

The premium for the scrapping of private cars is between 750 and 1,000 euros, and that for diesel vans 1,000 to 1,750 euros. The cabinet said it hopes that the scheme will result in the scrapping of some 80,000 ageing cars. The scheme is open-ended; it will run whenever the funds run out.

The Dutch scrapping rule is slightly more lenient than that of other European countries, where it only applies if the owner replaces his old car with a brand-new one. In the Netherlands, the new car can also be second-hand, as long as it fulfils the environmental requirements.

The scheme recognises the economic value of the motor industry and hope to make it a success.

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