Bimal Abbi
New member
Helping hand to the Existing Industries
Dedicated Fund:
Dedicated Fund of Rs 150 Crores per annum for:
Creation and up-gradation of of Industrial Infrastructure
Contribution as state share in GOI schemes like cluster development, common facility centers, R&D, Marketing etc.
Industrial facilitation:
Implementation the Punjab Industrial Facilitation Act, aiming at fast & effective approvals for new & existing concerns through:
Udyog Sahayak in the Directorate of Industries & Commerce and District Industries Centres as State Nodal Agencies and District Nodal Agencies respectively.
Notified time schedules for various approvals.
Deemed approval to the applicant in case of pending without any reason beyond the time scheduled for respective approval.
Single Composite Application Form for all clearances, facility of online submission with digital signatures and tracking the status of application.
24 hour help line by the Department of Industries & Commerce for providing information regarding State Government policies, investment opportunity etc.
District Industries Centers will act as Information Hubs for the entrepreneurs to enable them to access the International markets, thereby enhancing their exports.
Freedom from Inspector Raj – Outsourcing of Inspections
Authorization of Chartered Engineers/Environmental Engineers as parallel inspections/verification authorities for inspection of Boilers, Weights & Measures, Electrical Installations and Pollution Control equipments.
Environmental Reforms
Reclassification of industries via orange category in addition to red & green, based on nature / level of pollution irrespective of investment.
Approval of more private laboratories by PPCB for testing of samples.
Power Sector Reforms
No lock-in-period and charges in case an industry wants to gets its connected load increased again to the original level after getting it reduced.
Power feeder with more than 75% Industrial load to be treated as an Industrial feeder.
Uninterrupted power supply to the continuous process industry.
VAT Reforms:
Free movement of goods through removal of tax barriers and only 0.5 to 1% of sample checking for the vehicles passing through Information Collection Centers.
VAT refund in 60 days instead of 90 days, 75% of VAT will be refunded against the indemnity bond to those filing monthly returns.
Online payment and direct refund of VAT into the bank account.
Scrutiny of papers by Excise & Taxation department at the place of registration of dealer instead of place where truck is impounded.
Relief to Sick Firms
Scheme for relief and concessions to sick Small Scale units as notified on 29.5.2003 will be continued for Micro and Small Industries.
CDR Package: mechanism for providing Corporate Debt Relief for large units to be worked out.
Carbon Credit:
Proposal to set up carbon credit cell in Punjab State Industrial Development Corporation (PSIDC) aiming towards additional benefit provisioning for Industrial units.
No VAT for equipments used for acquiring technology for reducing carbon credit emission.
Attracting New Investments
No CLU charges and license fee for change of land use from agricultural to industry and industrial component of Industrial park, however, these charges will be applicable on the residential and commercial components of the Industrial Park, as per rates notified by the State Government.
EDC (External Development Charges) for industry and Industrial Parks will be on actual basis.
Option to Industry to get External Development works done from concerned Development Agency of the area on payment of actual charges or execute the work their own as per plans approved by the Development Agency.
Investment in more than one unrelated item at same location by one company will be clubbed for the purpose of determining minimum permissible investment for eligibility of Mega Project.
Stamp Duty Exemption: Remission of stamp duty for Mega & Super Mega projects as approved by the Empowered Committee.
Development of Integrated Multiplex complexes: minimum investment limits of for corresponding location:
Ludhiana, Jalandhar, Amritsar, Mohali and Bathinda - Rs.20 crore
For other towns than Ludhiana, Jalandhar, Amritsar, Mohali and Bathinda – Rs 10 Crores.
Health Tourism & Hotel Industry
Health Tourisms Projects as defined by Department of Health will be given the status of industry, provision of using upto 25% of the medical facilities and other services areas for commercial purposes without payment of change of land use charges.
Hotel Projects: as defined by the Department of Tourism (Restaurants/Amusement parks, Heritage Hotels, Holiday Resorts, Eco Resorts and Golf Resorts where lodging is provided) given the status of Industry and will be entitled to concessions as admissible to industry.
Farm Tourism / Bed and Breakfast Tourism Scheme/ Tented accommodations fulfilling the guidelines prescribed by the Department of Tourism will be given the facility of levy of water supply and power tariff at domestic rates.
IT (Information Technology), Bio-Technology, Nanotechnology & Knowledge Industry
IT Units (IT hardware, software & IT Enabled Services units) and Knowledge Industry units (Biotechnology, Nanotechnology, R&D units, Consultancies & Telecommunications)
Exemption from clearance from Pollution Control Board.
Exemption from inspection under various labour laws.
Exemption from Punjab Apartment and Property Regulation Act (PAPRA).
Power tariff at Industrial rate irrespective of their localization/zoning.
Power connections would be provided at priority both in sanctioning and servicing for IT units.
100% electricity duty exemption to captive power units installed by IT units.
Electricity duty exemption IT/Knowledge units for 5 years.
Exemption to IT Units/Parks from statutory power cuts, restriction of peak load hours and weekly power cuts.
IT Units/Parks would be charged based on the actual units consumed rather load connected.
VAT on all IT products rationalized to be at par with minimum floor rate of 4%.
100% exemption of Stamp Duty and Registration Fee (for first sale transaction only) on purchase/lease of built up office space within the constructed IT Park.
100% reimbursement of Stamp Duty and Registration Fee on land acquired by the developers for building IT Park or IT unit to develop their own campuses.
IT Units/Parks will have permissible FAR of 300% on gross area of the project.
Exemption from land use zoning regulations: IT unit can be set up in Residential, Commercial, Institutional, Industrial or Agricultural use zone notified under Master Plan/Zonal Development Plan.
IT Park can also be set-up in above areas except for Residential Use Zone.
No CLU charges and EDC to be levied on any component of Integrated IT Park.
Integrated IT Parks will have to be set up on minimum area of 25 acres and will be exempted from land zoning regulations, provided minimum 50% of area for processing e.g. providing space for IT industry and the balance for providing necessary support infrastructure e.g. residential, retail, recreational etc.
Capital Subsidy @20% of Fixed Capital Investment in a project, subject to ceiling of Rs 20 Lakhs to be given to SME units in IT Park notified by PICTC.
Capital Subsidy @20% of expenditure incurred by the IT software company for obtaining quality certifications subject to maximum ceiling of Rs 4 Lakhs.
Provision for grant of subsidy/financial support to the IT/ITES companies for obtaining quality certification.
Agro Industries
'Agro Industry' means units which add value to agricultural produce, intermediates and/or residues by processing or by improving storability or by providing link from farm to the market or part thereof.
Interest Subsidy @ 5% for 5 years on the interest on term loan subject to a ceiling of Rs 20 Lakhs per annum per unit to Agro Industries Units.
Interest Subsidy @ 5% for 5 years on the interest on term loan subject to a ceiling of Rs 20 Lakhs per annum per unit to Agro Infrastructure Projects.
Interest Subsidy @ 5% for 5 years on the interest on term loan subject to a ceiling of Rs 20 Lakhs per annum per unit to existing Small/Medium Agro Industries Units for Modernization & Technology Up-gradation.
Financial assistance upto 25% of FCI subject to ceiling of Rs 2.5 crores for setting up Centre of Excellence for Development of Technologies in the area of Agro/Food Processing Industry.
Assistance upto 5% of actual expenditure subject to a ceiling of Rs 1 Lakhs for obtaining International Food Standards/Global Gap Certification by producers of Fruits & Vegetables.
Assistance for preparation of detailed project report upto 50% of the cost, not more than Rs 5 Lakhs per unit.
Funds to be provided from Rural Development Fund for above incentives.
PAGREXCO would continue to provide subsidy for distant domestic marketing & export of flowers, friuts & vegetables and import of planting material.
The existing concession, under Industrial Policy 2003, regarding exemption of market fee on wheat shall be retained.
All Agro processing units will be allowed to purchase agricultural products directly from the farmers.
CLU charges would be waived off while EDC charges would be reviewed.
VAT, RDF, MDF, ID Cess and other taxes/levies would be rationalized.
Dedicated Fund:
Dedicated Fund of Rs 150 Crores per annum for:
Creation and up-gradation of of Industrial Infrastructure
Contribution as state share in GOI schemes like cluster development, common facility centers, R&D, Marketing etc.
Industrial facilitation:
Implementation the Punjab Industrial Facilitation Act, aiming at fast & effective approvals for new & existing concerns through:
Udyog Sahayak in the Directorate of Industries & Commerce and District Industries Centres as State Nodal Agencies and District Nodal Agencies respectively.
Notified time schedules for various approvals.
Deemed approval to the applicant in case of pending without any reason beyond the time scheduled for respective approval.
Single Composite Application Form for all clearances, facility of online submission with digital signatures and tracking the status of application.
24 hour help line by the Department of Industries & Commerce for providing information regarding State Government policies, investment opportunity etc.
District Industries Centers will act as Information Hubs for the entrepreneurs to enable them to access the International markets, thereby enhancing their exports.
Freedom from Inspector Raj – Outsourcing of Inspections
Authorization of Chartered Engineers/Environmental Engineers as parallel inspections/verification authorities for inspection of Boilers, Weights & Measures, Electrical Installations and Pollution Control equipments.
Environmental Reforms
Reclassification of industries via orange category in addition to red & green, based on nature / level of pollution irrespective of investment.
Approval of more private laboratories by PPCB for testing of samples.
Power Sector Reforms
No lock-in-period and charges in case an industry wants to gets its connected load increased again to the original level after getting it reduced.
Power feeder with more than 75% Industrial load to be treated as an Industrial feeder.
Uninterrupted power supply to the continuous process industry.
VAT Reforms:
Free movement of goods through removal of tax barriers and only 0.5 to 1% of sample checking for the vehicles passing through Information Collection Centers.
VAT refund in 60 days instead of 90 days, 75% of VAT will be refunded against the indemnity bond to those filing monthly returns.
Online payment and direct refund of VAT into the bank account.
Scrutiny of papers by Excise & Taxation department at the place of registration of dealer instead of place where truck is impounded.
Relief to Sick Firms
Scheme for relief and concessions to sick Small Scale units as notified on 29.5.2003 will be continued for Micro and Small Industries.
CDR Package: mechanism for providing Corporate Debt Relief for large units to be worked out.
Carbon Credit:
Proposal to set up carbon credit cell in Punjab State Industrial Development Corporation (PSIDC) aiming towards additional benefit provisioning for Industrial units.
No VAT for equipments used for acquiring technology for reducing carbon credit emission.
Attracting New Investments
No CLU charges and license fee for change of land use from agricultural to industry and industrial component of Industrial park, however, these charges will be applicable on the residential and commercial components of the Industrial Park, as per rates notified by the State Government.
EDC (External Development Charges) for industry and Industrial Parks will be on actual basis.
Option to Industry to get External Development works done from concerned Development Agency of the area on payment of actual charges or execute the work their own as per plans approved by the Development Agency.
Investment in more than one unrelated item at same location by one company will be clubbed for the purpose of determining minimum permissible investment for eligibility of Mega Project.
Stamp Duty Exemption: Remission of stamp duty for Mega & Super Mega projects as approved by the Empowered Committee.
Development of Integrated Multiplex complexes: minimum investment limits of for corresponding location:
Ludhiana, Jalandhar, Amritsar, Mohali and Bathinda - Rs.20 crore
For other towns than Ludhiana, Jalandhar, Amritsar, Mohali and Bathinda – Rs 10 Crores.
Health Tourism & Hotel Industry
Health Tourisms Projects as defined by Department of Health will be given the status of industry, provision of using upto 25% of the medical facilities and other services areas for commercial purposes without payment of change of land use charges.
Hotel Projects: as defined by the Department of Tourism (Restaurants/Amusement parks, Heritage Hotels, Holiday Resorts, Eco Resorts and Golf Resorts where lodging is provided) given the status of Industry and will be entitled to concessions as admissible to industry.
Farm Tourism / Bed and Breakfast Tourism Scheme/ Tented accommodations fulfilling the guidelines prescribed by the Department of Tourism will be given the facility of levy of water supply and power tariff at domestic rates.
IT (Information Technology), Bio-Technology, Nanotechnology & Knowledge Industry
IT Units (IT hardware, software & IT Enabled Services units) and Knowledge Industry units (Biotechnology, Nanotechnology, R&D units, Consultancies & Telecommunications)
Exemption from clearance from Pollution Control Board.
Exemption from inspection under various labour laws.
Exemption from Punjab Apartment and Property Regulation Act (PAPRA).
Power tariff at Industrial rate irrespective of their localization/zoning.
Power connections would be provided at priority both in sanctioning and servicing for IT units.
100% electricity duty exemption to captive power units installed by IT units.
Electricity duty exemption IT/Knowledge units for 5 years.
Exemption to IT Units/Parks from statutory power cuts, restriction of peak load hours and weekly power cuts.
IT Units/Parks would be charged based on the actual units consumed rather load connected.
VAT on all IT products rationalized to be at par with minimum floor rate of 4%.
100% exemption of Stamp Duty and Registration Fee (for first sale transaction only) on purchase/lease of built up office space within the constructed IT Park.
100% reimbursement of Stamp Duty and Registration Fee on land acquired by the developers for building IT Park or IT unit to develop their own campuses.
IT Units/Parks will have permissible FAR of 300% on gross area of the project.
Exemption from land use zoning regulations: IT unit can be set up in Residential, Commercial, Institutional, Industrial or Agricultural use zone notified under Master Plan/Zonal Development Plan.
IT Park can also be set-up in above areas except for Residential Use Zone.
No CLU charges and EDC to be levied on any component of Integrated IT Park.
Integrated IT Parks will have to be set up on minimum area of 25 acres and will be exempted from land zoning regulations, provided minimum 50% of area for processing e.g. providing space for IT industry and the balance for providing necessary support infrastructure e.g. residential, retail, recreational etc.
Capital Subsidy @20% of Fixed Capital Investment in a project, subject to ceiling of Rs 20 Lakhs to be given to SME units in IT Park notified by PICTC.
Capital Subsidy @20% of expenditure incurred by the IT software company for obtaining quality certifications subject to maximum ceiling of Rs 4 Lakhs.
Provision for grant of subsidy/financial support to the IT/ITES companies for obtaining quality certification.
Agro Industries
'Agro Industry' means units which add value to agricultural produce, intermediates and/or residues by processing or by improving storability or by providing link from farm to the market or part thereof.
Interest Subsidy @ 5% for 5 years on the interest on term loan subject to a ceiling of Rs 20 Lakhs per annum per unit to Agro Industries Units.
Interest Subsidy @ 5% for 5 years on the interest on term loan subject to a ceiling of Rs 20 Lakhs per annum per unit to Agro Infrastructure Projects.
Interest Subsidy @ 5% for 5 years on the interest on term loan subject to a ceiling of Rs 20 Lakhs per annum per unit to existing Small/Medium Agro Industries Units for Modernization & Technology Up-gradation.
Financial assistance upto 25% of FCI subject to ceiling of Rs 2.5 crores for setting up Centre of Excellence for Development of Technologies in the area of Agro/Food Processing Industry.
Assistance upto 5% of actual expenditure subject to a ceiling of Rs 1 Lakhs for obtaining International Food Standards/Global Gap Certification by producers of Fruits & Vegetables.
Assistance for preparation of detailed project report upto 50% of the cost, not more than Rs 5 Lakhs per unit.
Funds to be provided from Rural Development Fund for above incentives.
PAGREXCO would continue to provide subsidy for distant domestic marketing & export of flowers, friuts & vegetables and import of planting material.
The existing concession, under Industrial Policy 2003, regarding exemption of market fee on wheat shall be retained.
All Agro processing units will be allowed to purchase agricultural products directly from the farmers.
CLU charges would be waived off while EDC charges would be reviewed.
VAT, RDF, MDF, ID Cess and other taxes/levies would be rationalized.