PUTRAJAYA, June 27 — The Transport Ministry has refuted claims that the government was implementing a “cash-for-clunkers” programme to scrap vehicles over a decade old.

Minister Anthony Loke said his earlier remarks on the matter may have been misinterpreted, clarifying that the ministry was only studying its feasibility.

“However, since my remark have triggered public outcry, I have decided to call the study off and postpone it indefinitely because it seems like we are not ready,” he said at the ministry’s post-Cabinet meeting today.

He said the decision to call off the study proved the government listened to the public’s feedback and it was a waste of time to continue the study after the majority had voiced their concerns.

On June 13, Loke reportedly said the cash-for-clunkers programme may be revived to reduce the number of old vehicles on the road.

Cash-for-clunkers is a government-driven rebate system to scrap old cars on the road and provide car owners with a cash voucher to trade-in old cars — usually more than 10 years old — for new ones.

Meanwhile, Loke said the ministry was studying the feasibility of implementing deregistration certificates for registered abandoned vehicles following numerous public complaints received by the local governments authorities, especially in Kuala Lumpur and Selangor.

“Many of these vehicles, which are still registered, are left abandoned in housing areas, causing eyesores and potential health hazards from the rusting metal,” he said.

He said presently, there were no existing regulations or rules under the Road Transport Department (JPJ) to get rid of these abandoned vehicles.

“Therefore, I have requested JPJ to come up with suggestions to implement a possible deregistration certificate mechanism.

“With a deregistration certificate mechanism running, local government authorities can proceed with scrapping these vehicles to solve the problem currently faced in densely populated areas,” he said.