An Assessment of Drivers and Barriers to Implementation of Circular Economy in the End-of-Life Vehicle Recycling Sector in India

Abstract

The circular economy (CE) has been frequently in the news recently, as it offers a regenerative system that substitutes the end-of-life concept with restoration. Despite several benefits yielded by the CE from a triple-bottom-line perspective, India’s end-of-life vehicle (ELV) recycling sector is striving against numerous impediments to implementing the CE approach. Therefore, this paper attempts to shine a spotlight on India’s ELV recycling sector, to identify the potential drivers and barriers to CE implementation. This study has employed an explorative approach to determine the impediments and drivers regarding implementing CE in India’s ELV recycling sector. This research reveals that economic viability (25 percent), environmental degradation (17 percent), and global agenda (15 percent) are the three leading primary drivers. In contrast, limited technology (18 percent), financial constraints (15 percent), and a lack of knowledge and expertise (12 percent) are significant barriers that thwart CE implementation in India’s ELV recycling sector. This paper has made the first attempt to explore the drivers and barriers to implementing CE in the ELV recycling sector in India. Therefore, besides advancing our understanding of opportunities for and threats to implementing CE, this investigation may assist the Indian authorities in devising appropriate policies and strategies and developing a regulatory and legal framework that is conducive to CE and sustainability.

What are the best practices for End-of-Life Vehicle management – A practical assessment of estimates, perceptions and policies

“…There have been obstacles to ELV legislation in India, the prominent being the handling and subsequent disposal of hazardous waste (Giannouli et al, 2007). However, studies have delved into these factors to provide a critical and insightful interpretation that can contribute to the development of an effective legislative policy and framework (Molla et al, 2022). The ELV management proposed in the report outlines the difficulties and precautions in managing the whole process.…”

“…, 2007). However, studies have delved into these factors to provide a critical and insightful interpretation that can contribute to the development of an effective legislative policy and framework (Molla et al. , 2022).…”

“…If the vehicles are dismantled and scrapped, the resulting scrappage must be further processed for recycling or reuse. Recycling or reusing resources can promote environmental conservation, advance technology and encourage a circular economy (Arora et al, 2019;Molla et al, 2022;Saidani et al, 2018;Tian and Chen, 2014). Those vehicles that have become unusable and unworkable and are ready to be scrapped are called End of Life Vehicles (ELVs).…”

“…Recycling or reusing resources can promote environmental conservation, advance technology and encourage a circular economy (Arora et al. , 2019; Molla et al. , 2022; Saidani et al.…”

How is India's End-of-Life Vehicle Recycling System Responding to the Sustainability Paradigm? An Explorative Study

“…The recycling of ELVs in India is at the nascent stage and is highly chaotic and poorly managed because of the absence of legal and technical frameworks 31 . Consequently, informality in this sector prevails, which causes the bleeding of resources to waste and aggravates environmental quality 32 . The effective and practical legal and technical frameworks for ELV recycling can expedite the value extraction from ELVs in environmentally friendly ways.…”