 "Union Cabinet approves 12 industrial smart cities worth Rs 28,602 cr")
The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has greenlit the development of 12 industrial smart cities across six major industrial corridors in 10 states, with an estimated investment of Rs 28,602 crore.
These projects are designed to attract substantial investments, with expectations of approximately Rs 1.52 trillion from both large anchor industries and MSMEs (micro, small and medium enterprises). This initiative is projected to generate 1 million direct and 3 million indirect jobs.
These smart industrial cities, part of the government’s broader strategy to attract foreign investment, boost domestic manufacturing, and drive employment, will be strategically located in key regions, including Khurpia in Uttarakhand, Rajpura-Patiala in Punjab, Dighi in Maharashtra, Palakkad in Kerala, Agra and Prayagraj in Uttar Pradesh, Gaya in Bihar, Zaheerabad in Telangana, Orvakal and Kopparthy in Andhra Pradesh, and Jodhpur-Pali in Rajasthan. The name of one city has not been revealed as the Model Code of Conduct is in force in poll-bound states.
The projects aim to set up robust infrastructure to drive “balanced” regional development. To be developed under the National Industrial Corridor Development Programme (NICDP), these industrial nodes will function more like industrial cities, where residential and commercial setups will co-exist.
“By positioning India as a strong player in the global value chains (GVC), the NICDP will provide developed land parcels ready for immediate allotment, making it easier for domestic and international investors to set up manufacturing units in India. The projects under the NICDP are designed with a focus on sustainability, incorporating ICT-enabled utilities and green technologies to minimise environmental impact,” a statement released by the government said.
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Briefing reporters, Commerce and Industry Minister Piyush Goyal said that these cities will be similar to a ‘necklace of industrial cities’ on the backbone of Golden Quadrilateral and will be contributed by both the union and the state government.
“State contribution comes in the form of land and we give a matching equity or debt depending on the case. So, they both collectively move forward in investing this amount,” he added. Goyal added the government would like to develop some industrial townships and cities in partnership with other countries like Switzerland and Singapore who have expressed interest in the same.
Rajat Saini, CEO and managing director of National Industrial Corridor Development Corporation (NICDC) said that Hyundai agreed to set up an automobile hub on 450 acres at the Zaheerabad industrial smart city in Telangana before the Cabinet approval.
“This move is set to transform the industrial landscape of the country creating a robust network of industrial nodes and cities that will significantly boost economic growth and global competitiveness,” an official statement said.
To be built over the next three years, these hubs will see development of industries like technical textiles, fabrication, electric vehicles, aero logistics, food processing and tourism, among others. These industrial nodes are expected to act as catalysts for achieving $2 trillion in exports by 2030. The new industrial cities will be developed as greenfield smart cities of global standards, built “ahead of demand” on the “plug-n-play” and “walk-to-work” concepts.
This approach ensures that the cities are equipped with advanced infrastructure that supports sustainable and efficient industrial operations, the statement said.
Aligned with the PM’s GatiShakti National Master Plan, the projects will feature multi-modal connectivity infrastructure, ensuring seamless movement of people, goods, and services. In her Budget speech last month, Union Finance Minister Nirmala Sitharaman had spoken about the plan to sanction 12 industrial parks under NICDP.
“Our government will facilitate the development of investment-ready ‘plug and play’ industrial parks with complete infrastructure in or near 100 cities, in partnership with states and private sector, by utilising town planning schemes better,” Sitharaman had said.
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The CCEA approved three railway projects with a total estimated cost of Rs 6,456 crore, a statement from the Ministry of Railways said.
According to the ministry, the approved projects will improve logistical efficiency by connecting the unconnected areas, increase the existing line capacity and enhance the transportation networks, resulting in streamlined supply chains and accelerated economic growth.
Centre to provide Rs 4,136 cr for hydropower projects
The Union Cabinet on Wednesday approved equity support of Rs 4,136 crore to northeast states for developing hydropower projects, totalling 15,000 Mw capacity over the next eight years. The Cabinet okayed the proposal for providing central financial assistance to the state governments of North East Region towards their equity participation in the development of hydroelectric projects through JV between state entities and CPSUs, an official statement said.
The Union Cabinet on Wednesday approved equity support of Rs 4,136 crore to northeast states for developing hydropower projects, totalling 15,000 Mw capacity over the next eight years. The Cabinet okayed the proposal for providing central financial assistance to the state governments of North East Region towards their equity participation in the development of hydroelectric projects through JV between state entities and CPSUs, an official statement said.