In a major relief to thousands of small and medium industrial units in the national Capital, Delhi Lt Governor V K Saxena has paved the way for conversion of industrial plots from leasehold to freehold, that were allotted by DSIIDC under Relocation Scheme of 1998.

Giving details here on Saturday, the LG allowed the extension of the Conversion Scheme-2005 to industrial plots, and noted that these plots which were allotted on leasehold basis in 2000-2001, were still prohibited from sale / purchase and transfer even after a lapse of 23 years.

This decision will directly benefit nearly 22,000 such industrial units / plots that were relocated by DSIIDC way back in 2000-2001.  This was a long-pending demand of entrepreneurs in the apital, who were on one hand not allowed to sale and transfer these plots and on the other hand were suffering severely due to acute lack of infrastructure and amenities that were to be provided by DSIIDC and various other agencies under GNCTD and MCD in the new industrial areas where they were relocated.

Saxena also expressed grave displeasure over the failure of DSIIDC in providing even basic amenities and infrastructure in these industrial areas and developing them as per the industrial needs and standards.  He noted that this was a major constraint for many allottees / industrialists to get their industrial units shifted from a non-conforming area to the new allotted sites.

There has been progress in development of industrial plots in Bawana and Narela Industrial Areas, but it has been noticed during field visits that DSIIDC has miserably failed in providing adequate and basic infrastructure in Bhorgarh Industrial Area, which in turn has proved to be a major constraint / deterrent for many allottees/industrialists to get their industries shifted from non-conforming areas”, the LG also noted.

However, with a view to encourage original allottees to shift from the non-conforming areas and complete the construction and put these industrial plots to use, the LG granted an ‘in principle’ approval to the proposal, subject to the following conditions:

a)  Conversion will be allowed only in case of those industrial plots which are in the possession of original allottee and where the construction of the building has been completed. The completion certificate of the building shall be obtained by the Department.

b)  The Scheme shall be applicable only to those industrial plots where the original allottee has closed his industrial unit in the non-conforming area as envisaged in the Scheme framed in compliance to Hon’ble Supreme Court’s directions.

c)  With an aim to achieve the objective of the Supreme Court's judgement as also to encourage the allottees to take possession, complete construction and shut down their industrial units in non- confirming areas, conversion be allowed as and when the same is completed, with an outward limit of March 31, 2025, beyond which no further extension shall be provided.

d) Payment of due conversion charges/ fees and all other pending dues to be made by original allottees. No remission or rebate whatsoever shall be provided in any case of conversion.

Saxena also directed to formulate a comprehensive policy after taking into consideration the above points or any other point in the interest of effective implementation of the relocation scheme within the overall framework of the scheme.