27/08/2009
Vehicle dismantlers wary of post scrappage scheme
|
|
|
Vehicle dismantlers have raised concerns that they could face a shortage of end-of-life vehicles (ELVs) when the government's £2,000-a-vehicle scrappage scheme comes to an end, by March 2010 at the latest.More than 150,000 cars and vans have been returned to dealers to be scrapped as ELVs under the scrappage scheme since it was officially launched in May 2009.Their comments come just days after the department for business, innovation and skills (BIS) revealed that over half of the 300,000 ELVs expected to be dealt with under the initiative had been scrapped, less than three months after it was formally introduced.While the scheme, which began on May 18, could run until March 2010, it will end before then if the £300 million the government has committed to the initiative - an amount matched by vehicle manufacturers - runs out earlier, as is expected to be the case.Vehicle dismantlers were generally positive about the scheme's impact.The only minus people are talking about is whether when this comes to an end we might get a void.Duncan Wemyss, secretary of trade body the Motor Vehicle Dismantlers' Association (MVDA) and Graham Price, manager of Cartakeback represent the two service providers who offer a network of licensed vehicle dismantlers, which are known as authorised treatment facilities (ATFs), allowing vehicle manufacturers to meet their recycling and recovery obligations under the EU ELV Directive.However, dismantlers were positive about the sector's ability to weather any dip in ELVs when the scheme ended.The scheme among car buyers had raised hopes that vehicle manufacturers could look to continue some form of scrappage incentive after the government-backed initiative ended.When the scheme was launched, some in the sector had raised concerns that only the 300 or so of the UKs 1,000-plus ATFs.
|
|
|
|