Aiming at boosting industrialisation in the State in a big way, the Punjab Cabinet on Monday unveiled investor-friendly decisions ahead of two-day Progressive Punjab Investors’ Summit starting from October 28.
The Cabinet, under the chairmanship of Chief Minister Parkash Singh Badal, approved a major investor-friendly initiatives by extending fiscal incentives under the ‘Fiscal Incentives for Industrial Promotion (revised), 2013’ Policy to those units also which were located in industrial zones as per master plans with an investment of `1to 10 crore.
Earlier, this incentive was available only to those units which were located in industrial parks. “The step would be instrumental in giving fillip to small and medium scale industries,” said a spokesperson of the Chief Minister’s Office.
The incentive policy is also changed to include the entire district of Ropar under Zone-I category instead of only Sri Anandpur Sahib Sub-Division, entitling any future industry in entire district for higher incentives under the policy, he said.
In a bid to incentivise and extend full support to the existing industry in the State, the Cabinet asked the departments of Industries and Commerce and Investment Promotion to prepare a comprehensive package in this regard and put forth in the next meeting of the Cabinet.
In another major industry-friendly decision, the Cabinet gave a go-ahead to supply power at the effective rate of electricity per unit with utilisation factor of 50 per cent or more at the rate of less than `5 per unit (FCA extra) to those industrial units who intend to set up their units during Invest Punjab or who have already installed their units to avail ‘Fiscal Incentives for Industrial Promotion (revised), 2013’.
Such prospective investors would be entitled for this incentive for five years from coming into commercial operations whereas those who have already begun such operations could avail this benefit
for five years with effect from October 28, 2015.
The Cabinet also approved ‘The Punjab Development of Trade and Industries Ordinance, 2015’ for the creation of fund to be utilised for the execution of several works for the purpose of development of trade, commerce and industry in the state such as development of industrial estates, focal points and industrial clusters being developed by the Government, to provide infrastructure to the trade and industry, financial incentives, grants, subsidies etc to financial, industrial and commercial units besides developing and maintaining non-polluted atmosphere in the local area.
In order to meet these purposes, the State Government would impose entry tax on the goods brought into the state, the rate of which would be specified by the government from time to time.
The Cabinet also okayed to formulate a special policy to rehabilitate 47 industrial units operating in a mix land use zone or residential area falling in villages Balongi, Daon, Badmajra, Ballomajra, landran and Saneta within the jurisdiction of GMADA.
As per the policy, these industrial units would be shifted in designated zones of master plan of SAS Nagar (Mohali) or regional plan of GMADA from existing places within a time span of one and half years from the date of issue of notification. The owners of these units would purchase the land at their own level to shift their units for which they would be exempted from ClU, license fee, EDC charges and building plan approval fee (except labour cess).