Chandigarh to have SEZs to promote IT, BPO services

With an aim to boost exports in the information technology(IT), business process outsourcing(BPO) services, electronic, computer hardware, biotechnology and nano-technology, the Union Territory of Chandigarh has decided to set up a number of special economic zones (SEZ).

"The Chandigarh administration is keen to accelerate the development of the Union territory," Chandigarh IT Secretary, S K Sandhu said.

"The SEZ policy would enhance employment opportunities for the youth of Chandigarh and would also lead to development in various sectors," he added.

The SEZ scheme is being implemented in various parts of the country by state governments with the concurrence of the government of India, to promote export promotion zones, where economic growth and development would take place at a rapid rate and employment generation would occur in large numbers.

Initially, the Chandigarh administration is taking up the proposal to make the Chandigarh technology park (CTP) a special economic zone, with the commerce ministry and the Government of India.

The proposal is expected to help the occupiers of the CTP to avail various benefits, which are available under the SEZ scheme of the Government of India.

The benefits include relaxation in various procedures and waiver of certain taxes. The SEZ status for the CTP is expected to give a further boost to the status of the CTP as one of the premier locations for technology companies in north India.

The entire region would, however, benefit from the SEZ status as the CTP as companies in the park would invest and employ youth in large numbers.

Sandhu also said the administration would promote the setting up of SEZ, which would be industrial or IT habitats, wherein the investing companies would receive single window clearance and would be able to avail of the benefits as per the Centre's SEZ policy.

"Over the years, Chandigarh has developed into a rich human resource centre, which is a permissible for the growth and setting up of any modern industry particularly IT, BPOs and services sector," he said.

The technology sector, which is growing at a rapid rate and is likely to provide jobs in a large numbers, would be promoted through the SEZ.

The developers of the SEZ would be permitted to establish independent power plants (IPP).

The developer would collaborate with the engineering department of the Chandigarh administration and other agencies like the Power Grid and BBMB for the purpose, Sandhu added.

No objection certificates, consents and other clearances required from the Chandigarh Pollution Control Board for units and activities within the SEZs would be granted by the single window committee working under the administrative supervision and control of the designated development commissioner of the SEZs, Sandhu said.

SEZs, units within the SEZs and also the developers of such SEZs will be exempted from various local taxes, including sales tax, value-added tax, purchase tax, property tax, stamp duty and electricity duty.

Sandhu also said the powers of the labour commissioner, Chandigarh would be delegated to the designated development commissioner or other authority in respect of area within the SEZ. The single window committee will grant permission in respect of any application required by units or developers within the SEZ, as per rules.

He also said the Chandigarh administration will set up and facilitate the setting up of SEZ management societies to carry out such activities as are necessary for the maintenance, supervision and control of the SEZ concerned.

The committee for the SEZs will be constituted by the Chandigarh administration under the chairmanship of the adviser to the administrator, to facilitate the setting up of the SEZs and to review their progress from time to time.