Centre sanctions outlay of Rs 1,164 cr for IDS for Himachal, Uttarakhand

Himachal Pradesh State Industry Minister Harshwardhan Chauhan on Thursday said that after persistent efforts of Chief Minister Sukhvinder Singh Sukh, the Central Government has now sanctioned an increased outlay of Rs 1164. 53 crore for the Industrial Development Scheme (IDS) for the Himachal Pradesh and Uttarakhand.

Minister Chauhan said that the IDS, originally notified in 2017, was previously approved for an outlay of Rs 131 crore, which was insufficient to clear pending liabilities. "This resulted in the delay of subsidy disbursement for eligible industrial units".

However, following rigorous efforts of CM Sukhu, the matter was brought to the Central Cabinet's attention, and the Central Government has now sanctioned an increased outlay of Rs 1164.53 crore for the IDS scheme for Himachal and Uttarakhand, the minister said.

He said that under the revised IDS scheme, industrial units in Himachal Pradesh and Uttarakhand engaged in manufacturing, services, biotechnology and hydel power generation (up to 10MW) will benefit from various incentives.

These incentives include the Central Capital Investment Incentive for Access to Credit (CCIIAC) at 30 per cent of the investment in Plant and Machinery with an upper limit of Rs 5.00 crore, said the Minister.

Additionally, units will be eligible for the Central Comprehensive Insurance Incentive (CCI), which provides a 100 per cent reimbursement of insurance premiums on building and Plant and Machinery for a period of Five years from the date of commencement of commercial production/operation, said the Minister.

He further said that the news of this increased outlay is a welcome development for the industrial sector in Himachal Pradesh and Uttarakhand and the State Government will actively pursue the pre-registration of pending cases with the Government of India and ensure the prompt release of funds to deserving units.

The Industries Minister emphasized the State Government's commitment to fostering industrial growth, creating employment opportunities, and promoting entrepreneurship in the region. He thanked the Central Government for recognizing the importance of this scheme and its potential to transform the industrial landscape in Himachal.

He said that the State Government is looking forward to working closely with the Centre to ensure the successful implementation of this enhanced Industrial Development Scheme.