Gov’t should relook at Cash for Clunkers scheme to help dispose old cars, says PJ MP Lee Chean Chung

Gov’t should relook at Cash for Clunkers scheme to help dispose old cars, says PJ MP Lee Chean Chung

Remember the Cash for Clunkers scrappage scheme programme that was proposed as part of the Vehicle End of Life policy, which never got off the ground? Well, a member of parliament has suggested that the government revisit the topic to see if it can be implemented.

In a post on his Facebook page, Petaling Jaya MP Lee Chean Chung suggested that the programme, in which vehicles beyond a certain age can be scrapped in exchange for cash rebates, should be looked at again, as it would help tackle the issue of disposing of old cars that were no longer in use or roadworthy.

“I suggest that the government seriously study this proposal and consult with relevant industry players. In addition to solving the problem of abandoned vehicles and stimulating the automotive industry, it will also ensure that the average age of vehicles is at a safe-use stage while implementing the goal of carbon reduction and environmental protection,” he wrote in his post.

Gov’t should relook at Cash for Clunkers scheme to help dispose old cars, says PJ MP Lee Chean Chung

The CFC topic has been around for a good while, although it started out in different fashion. Initially brought up in 2009 as a Vehicle End of Life policy, the plan required owners of vehicles aged 15 years or older to bring them for mandatory annual inspections as a requirement for road tax renewal, with Failure to pass the inspection requiring the vehicle to be repaired until it was certifiable.

The policy was scheduled to be implemented in 2014, but fell through due to unfavourable response from the public, with then minister of international trade and industry Datuk Seri Mustapa Mohamed saying at the time that “the public is not ready” for such a move.

In 2015, the Malaysia Automotive Institute (later MARii) suggested the policy be changed to follow a Cash for Clunkers scrappage scheme. Under the scheme, owners of vehicles aged 10 years and above could obtain a rebate of up to RM5,000 when they traded in their vehicle (regardless of brand) for a new one from any local OEM producer.

Gov’t should relook at Cash for Clunkers scheme to help dispose old cars, says PJ MP Lee Chean Chung

While that also never materialised, talk of the programme never went away, resurfacing in 2018 when transport minister Anthony Loke, who was also transport minister at that time, remarked that the government was looking at the matter. That didn’t progress very far, as the plan was called off following concerns raised by the public over the benefits of such a programme.

Given the response to it on both occasions, restarting the Cash for Clunkers programee to reduce the number of old vehicles on the road looks to be a very long shot, despite Lee’s call to revisit the policy. Do you think an End of Life policy, or for that matter, a CFC scheme, could ever take off here? Share your thoughts with us in the comments section.

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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • the plan required owners of vehicles aged 15 years or older to bring them for mandatory annual inspections as a requirement for road tax renewal, with Failure to pass the inspection requiring the vehicle to be repaired until it was certifiable.

    If this plan involves free mandatory annual inspections, then yes. I support

    Like or Dislike: Thumb up 19 Thumb down 4
  • newme on Sep 23, 2024 at 4:51 pm

    Before look into Vehicle EOL, the gov should solve vehicle abandonment on public spaces especially B40 infested area.

    Like or Dislike: Thumb up 7 Thumb down 0
  • Bieight8 on Sep 23, 2024 at 7:17 pm

    5k not attractive needs at least 10k

    Like or Dislike: Thumb up 8 Thumb down 6
    • Squid on Sep 24, 2024 at 9:00 am

      That is silly. There are hundreds if not thousands of road worthy cars on sale for below RM10k. How are you expecting RM10k for beaten up old junks?

      Like or Dislike: Thumb up 6 Thumb down 0
  • opmanmy on Sep 23, 2024 at 8:32 pm

    Program is flawed. Look at the car prices. You think the B40 can afford a new car?! Loan payment already stretch too far and thin. Makan roti kosong. Summore want to “force” ppl to change cars. Makan otak sikit lah…menteri…cakap senang…lihat lah inflasi baru cakap. Pakai common cent sikit!

    Like or Dislike: Thumb up 10 Thumb down 4
  • possibly a good policy, if done right. The keyword is choice.

    Rather than having a 13 year old car (hard to sell), some would rather dispose their car and have 5k cash than leave it rotting. However, give people a choice coz some still choose to drive their 20 year old wira not out of choice but necessity. Give free inspection to make sure the car is maintained well but not force people to dispose and have no means of transportation

    Like or Dislike: Thumb up 10 Thumb down 1
  • Wilfred on Sep 24, 2024 at 9:14 am

    I’m ok with the proposed Cash_for_Clunker ONLY if this is done on a voluntary basis.
    Also, instead of only limiting this RM5,000 as a discount for a NEW car purchase, perhaps that amount could be paid out as cash as not everyone is looking to purchase a car, more so a new car.
    Personally I would like to scrap my car as the repair made to the car after an accident was done very poorly (to read chassis damaged and badly repaired). I could mask it all up and sell it off at a cheap price but that would not sit well with my conscience.

    Like or Dislike: Thumb up 6 Thumb down 0
  • “I suggest that the government seriously study this proposal and consult with relevant industry players. In addition to solving the problem of abandoned vehicles and stimulating the automotive industry, it will also ensure that the average age of vehicles is at a safe-use stage while implementing the goal of carbon reduction and environmental protection,” he wrote in his post.”

    The only portion of this proposal I support is the removal of abandoned cars although they are not always cars aged over 15yrs. However having 2 abandoned cars in my own fully residential neighborhood, cash-for-clunkers would be an encouragement to these irresponsible people instead.

    As for reducing carbon footprint, MP Lee, how do YOU and family commute around? And as a leader, please push for viable ‘green’ and cost effective alternatives first before even hinting the Rakyat where many service 7-9yrs of hire&purchase then asking them to take up another loan for a new vehicle. Instead your intention is better off by placing a donation box outside each “automotive industry player’s” office marked “Donate to stimulate our industry”

    Like or Dislike: Thumb up 3 Thumb down 1
  • Ben Yap on Sep 24, 2024 at 10:23 am

    if cars above 15 years of age needs to be scrapped, my neighbour who likes to reserve parking outside will have all his old cars scrapped. I will be laughing my pants out.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Burden on Sep 24, 2024 at 12:46 pm

    They should call it Policy to burden
    Just finish paying car for 9yrs, then have to continue payment some more, never ending loop.

    Like or Dislike: Thumb up 3 Thumb down 0
  • unless they give free cars for everyone who are ordered to dispose of their old junks, nothing else will work. force the move and the government gets toppled by b40 tomorrow morning

    Like or Dislike: Thumb up 4 Thumb down 1
  • Recycling on Sep 24, 2024 at 6:06 pm

    Many years back when there is the RM5k incentive in place, many good old cars was actually been recycled via second hand dealers, sold back to the market again.

    Like or Dislike: Thumb up 2 Thumb down 0
 

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