Scrap License in Odisha-Procedure, Fees, and Documents Required

Updated on February 18, 2025 11:54:25 AM

Odisha, famous for its rich minerals and industrial work, is one of India's fastest-growing states. As industries grow, cities expand, and more people move in, the state produces a lot of leftover materials from different areas like metals, plastics, electronic waste, and cars. Managing this waste well and recycling it is very important for keeping things sustainable, and businesses that collect and recycle these leftovers need to follow certain rules.

A scrap license in Odisha is a special permission given by the Odisha State Pollution Control Board (OSPCB) and local officials to businesses that handle collecting, processing, recycling, and getting rid of leftover materials. This license makes sure that these businesses follow environmental rules and help in a circular economy by managing waste safely and effectively. Odisha has created a new policy called the Odisha Motor Vehicles (Registration & Functions of Vehicle Scrapping Facility) Policy, 2022. This policy helps manage the recycling of old, unusable vehicles in the state.

The goal of this policy is to lower air pollution by recycling old and unsafe vehicles, make roads safer, support a circular economy, and encourage the creation of Registered Vehicle Scrapping Facilities (RVSFs).

What is a Scrap License?

In India, the term ‘Scrap License ’ refers to a license that is needed to collect, purchase, sell, and process scrap of any kind. This license is among the legal structures that govern the sustainable management of scrap.

The main goals are to:

Control Waste Management: A related responsibility is to see that scrap and waste products generated in manufacturing are disposed of in an environmentally friendly manner.

Regulate Trade: Supervise and regulate the trade of scrap to minimize unlawful occurrences and promote safety measures.

Promote Recycling: Promote or support the recycling and reusing of products to enhance sustainable development. Scrap licenses can be easily procured through a formal application to the local municipal authority or the government, and scrap dealing companies or traders are required to fulfill certain legal formalities. Apart from legal formalities, environmental norms are also followed.

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Types of Scrap License in Odisha

In Odisha, companies that handle various kinds of waste materials need to get the right permit to work legally. The kinds of waste materials that usually need a license are:

Recycled Metals: This group includes metals like iron, steel, aluminum, copper, and brass, which can be either ferrous or non-ferrous. Recycling these metals is important for cutting down on the environmental harm caused by mining and making metals, and it also saves energy.

Recycled Plastics: Because plastics are used a lot in things like packaging, building materials, and everyday items, dealing with plastic waste has become a big environmental issue. Recycling plastic waste helps to lower plastic pollution, save resources, and reduce the need for making new plastic.

Recycled Electronics (E-Waste): E-waste is made up of old electronic gadgets like computers, cell phones, and home appliances. Properly recycling e-waste is important to get useful metals back and stop harmful substances.

Car Parts Recycling: This involves taking parts and pieces from cars that are no longer being used. Recycling these car parts is important because it helps us get useful materials back and stops harmful things like old batteries and oils from getting into the environment.

Paper and Cardboard Recycling: When we recycle paper and cardboard, it helps save trees and uses less energy to make new paper products. This makes the paper industry better for the environment.

Construction and Demolition Waste: This category includes materials like concrete, wood, and metal that are produced during construction or demolition. Recycling these materials helps lessen the environmental effects of construction projects and saves natural resources.

Hazardous Waste Handling Permit This permit is required for companies that deal with dangerous waste materials such as chemicals, asbestos, and lead-acid batteries. It guarantees that these businesses follow strict rules to protect the environment and ensure safety.

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Documents required for Scrap License in Odisha

Documents required for Scrap License in Odisha. Here is the following list.

  1. Duly Filled Application Form (Form-1)
  2. Incorporation Certificate, Shop Act Registration, or Udyam Aadhaar.
  3. Valid PAN
  4. Consent to Establish Proof
  5. Proof of technical requirements
  6. Proof of machinery
  7. Consent to Operate (CTO)
  8. Quality Certification Undertaking
  9. Proof of Occupation
  10. Approved layout plan
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Application process for obtaining a scrap license in Odisha

This is the application process for obtaining a Scrap License in Odisha. Here is the following list.

Step 01 - Application Submission

Form-1: The applicant has to complete an application form appropriately called Form-1 and hand it over to the Registration Authority of the particular state government or union territory.

Processing Fee: It is required that an application be accompanied by a non-refundable processing fee.

Step 02 - Documentation Requirements

Applicants are required to submit various documents, including Applicants are required to submit various documents, including any one of the business registration certificates, such as the incorporation certificate, shop act registration, or Udyam Aadhaar.

Step 03 - Single-Window Clearance Portal

It has set up a single window clearance mechanism for the submission of applications and renewals for FDI. This has been made easier by this portal, whereby the applicant can follow the status of his or her application.

Step 04 - Verification and Approval

After submission of the application and documents, the authorities shall peruse through all the documents submitted, conduct physical inspections as and when necessary, and ensure that all laws have been complied with.

Step 05 - License validity and renewal

The RVSF license is initially issued for ten years and may be renewed for further terms of ten years, subject to compliance with the current legal requirements.

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Fees for Scrap License in Odisha filling applications

The scrap license in Odisha is provided to scrap dealers involved in the collection, storage, and sale of scrap materials such as metal, plastic, paper, etc. Here is a summary of the fee structure and other general guidelines to get a scrap license in Odisha.

Particulars Government Fees (INR)
Application Fees ₹5,000 to ₹20,000
License Fee ₹15,000 to ₹1,00,000
Inspection Fees ₹10,000 to ₹25,000
Renewal Fees ₹10,000 to ₹50,000

Professional fee for a Scrap license starts from ₹ ₹99,000.

Note: The aforementioned fees are exclusive of GST.

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Conclusion

The scrap industry is very important for Odisha's economy because it helps recycle useful materials, save resources, and cut down on waste. But, to work legally and help the state be more sustainable, businesses that deal with scrap need to get a scrap license.

A Scrap License in Odisha makes sure that businesses follow environmental rules, keep people healthy and safe, and help the circular economy by recycling waste materials.

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Frequently Asked Questions

What is a Scrap License in Odisha?

A scrap license in Odisha is a legal document that businesses need if they collect, process, or recycle materials like metal, plastic, and electronic waste. This license makes sure that these businesses follow the rules and protect the environment.

Who needs to get a scrap license in Odisha?

Anyone or any company in Odisha that buys, sells, processes, or recycles scrap materials must have a scrap license. This applies to businesses that handle metal, plastic, electronic waste, car parts, and other recyclable items.

Can I relocate or transfer my scrap license?

Usually, scrap licenses are tied to a specific place and business. If you want to move the license to a new place or a new owner, you might have to get a new license or ask for permission from the Odisha Authority. Whether you can transfer the license depends on the rules that are in place.

What tasks come with having a scrap license?

If you have a scrap license, you must make sure your business follows all the rules about the environment and safety. This means you need to store, process, and get rid of scrap materials correctly and keep records of what you

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