In a bid to encourage owners of vehicles aged 20 years or above, the Ministry of Transport has launched a matching grant programme with the aim of getting these cars off the roads and being replaced by newer, safer cars from our national carmakers. An allocation of RM10 million will fund the programme, targeting around
In a bid to encourage owners of vehicles aged 20 years or above, the Ministry of Transport has launched a matching grant programme with the aim of getting these cars off the roads and being replaced by newer, safer cars from our national carmakers.
An allocation of RM10 million will fund the programme, targeting around 5,000 cars with each eligible owner receiving a grant up to RM2,000, that will be matched by participating local carmakers, potentially giving owners up to RM4,000 off a new car purchased.
The ministry stated that older vehicles lack modern safety features and fail to meet modern crash standards. Therefore, every older vehicle taken off the road and replaced with a newer one is one less potential safety risk to road users.
Furthermore, the programme also aims to help owners of non-running or low-value cars to potentially upgrade to something newer if they feel that the grant will return more for their cars than the used car market.
Proton announced that all its models except for the new Saga and eMas 5 are eligible for the grants totalling up to RM4,000, representing RM2,000 from the government and same amount matched by the carmaker.
As for the new Saga and eMas 5, these two models will only be eligible for a grant amount of just RM1,000, which Proton will then match with RM1,000 on its own for total of RM2,000.
Perodua has yet to announce the details from its end but will do so very soon.
Under the Road Transport Department (JPJ), every older vehicle surrendered via its Online Vehicle Deregistration System (e-Dereg) will be disposed of legally through what they label as authorised automotive treatment facilities (AATF). These are centres that scrap the cars legally and with compliance to environmental standards. The matching grant programme is also applicable in Sabah and Sarawak and will begin soon once the budget has been approved.