VEHICLE SCRAP YARD (PV–100%)

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Vehicle recycling is the dismantling of vehicles for spare parts. At the end of their useful life, vehicles have value as a source of spare parts and this has created a vehicle dismantling industry. The industry has various names for its business outlets including wrecking yard, auto dismantling yard, car spare parts supplier, and recently, auto or vehicle recycling. Vehicle recycling has always occurred to some degree but in recent years manufacturers have become involved in the process. A car crusher is often used to reduce the size of the scrapped vehicle for transportation to a steel mill.

The process of recycling a vehicle is extremely complicated as there are many parts to be recycled and many hazardous materials to remove. Briefly, the process begins with incoming vehicles being inventoried for parts. The wheels and tires, battery and catalytic converter are removed. Fluids, such as engine coolant, oil, transmission fluid, air conditioning refrigerant, and gasoline, are drained and removed. Certain high value parts such as electronic modules, alternators, starter motors, infotainment systems – even complete engines or transmissions – may be removed if they are still serviceable and can be profitably sold on; either in “as-is” used condition or to a remanufacturer for restoration. This process of removing higher value parts from the lower value vehicle body shell has traditionally been done by hand. As the process is labour intensive, it is often uneconomical to remove many of the parts.

A technique that is on the rise is the mechanical removal of these higher value parts via machine based vehicle recycling systems (VRS). An excavator or materials handler equipped with a special attachment allows these materials to be removed quickly and efficiently. Increasing the amount of material that is recycled and increasing the value the vehicle dismantler receives from an end-of-life vehicle (ELV).

After all of the parts and products inside are removed, the remaining shell of the vehicle is sometimes subject to further processing, which includes removal of the air conditioner evaporator and heater core, and wiring harnesses. The remaining shell is then crushed flat, or cubed, to facilitate economical transportation in bulk to an industrial shredder or hammer mill, where the vehicles are further reduced to fist-sized chunks of metal. Glass, plastic and rubber are removed from the mix, and the metal is sold by multiple tons to steel mills for recycling.

Recycling steel saves energy and natural resources. The steel industry saves enough energy to power about 18 million households for a year, on a yearly basis. Recycling metal also uses about 74 percent less energy than making metal. Thus, recyclers of end-of-life vehicles save an estimated 85 million barrels of oil annually that would have been used in the manufacturing of other parts. Likewise, car recycling keeps 11 million tons of steel and 800,000 non-ferrous metals out of landfills and back in consumer use.

It is intended to prepare a Feasibility Report to install a Vehicle Scrap Yard Facility for Processing 7500 Scrap Vehicles (PV) per year as a Green Field Project.

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Description

• INTRODUCTION
• VEHICLE SCRAPPAGE POLICY
• RTO RULES FOR SELLING OF CARS AS SCRAP IN INDIA
• CHALLENGES FOR INDIAN ECONOMY
• IMPORTANT DEFINITION REGARDING SCRAPING OF VEHICLE
• POWERS AND OBLIGATIONS OF RVSF
• CONDITIONS OF ELIGIBILITY OF RVSF
• REGISTRATION OF RVSF
• CRITERIA FOR SCRAPPING OF VEHICLE
• CERTIFICATE OF VEHICLE SCRAPPING
• APPLICABLE RULES/ACTS
• BENEFITS OF SCRAPING POLICY
• USES AND APPLICATION
• BIS SPECIFICATION
• OPERATION OF VEHICLE SCRAP YARD
• UTILITIES PER MONTH (ESTIMATED)
• SUPPLIERS OF PLANT AND MACHINERY
• PROJECT CYCLE
• PRINCIPLES OF PLANT LAYOUT
• PLANT LOCATION FACTORS
• GENERATION AND MANAGEMENT OF WASTES
• HEALTH SAFETY AND ENVIRONMENT
• ANTICIPATED ENVIRONMENTAL IMPACTS
• MITIGATION MEASURES (PROPOSED)
• HSE REQUIREMENT
• PROPOSED IMPLEMENTATION SCHEDULE
• PROJECT FINANCIALS
• PRELIMINARY PLANT LAYOUT

APPENDIX – A:

01. PLANT ECONOMICS
02. LAND & BUILDING
03. PLANT AND MACHINERY
04. OTHER FIXED ASSESTS
05. FIXED CAPITAL
06. RAW MATERIAL
07. SALARY AND WAGES
08. UTILITIES AND OVERHEADS
09. TOTAL WORKING CAPITAL
10. TOTAL CAPITAL INVESTMENT
11. COST OF PRODUCTION
12. TURN OVER/ANNUM
13. BREAK EVEN POINT
14. RESOURCES FOR FINANCE
15. INSTALMENT PAYABLE IN 5 YEARS
16. DEPRECIATION CHART FOR 5 YEARS
17. PROFIT ANALYSIS FOR 5 YEARS
18. PROJECTED BALANCE SHEET FOR (5 YEARS)

Additional information

Plant Capacity

25 Nos./Day

Land & Building

(4965 sq.mt.)

Plant & Machinery

US$ 270000

Rate of Return

47%

Break Even Point

41%