In view of shrinking land resources, Delhi government is considering setting up of a ’land bank’ which will cater to future requirements of the industrial sector in the national capital.

Initially, the ‘land bank’ is likely to comprise vacant land acquired by the city government or its nominated agencies for developing industrial infrastructure.

“Creating land bank is significant to a plan for infrastructure and industrial asset development in a balanced manner,” said a senior official.

The land bank may also comprise plots available with the government for auction or land acquired in urban areas for redevelopment and setting up of public facilities, the official said.

The industrial policy of Delhi, which was unveiled by Chief Minister Sheila Dikshit earlier this month, also favoured creation of a land bank for future needs of industrial development in the city.

“The land bank will help in having a bird’s eye view of Delhi’s potential for development of industrial and other assets and judiciously distribute land for competing uses in future,” said the industrial policy.

Delhi Development Authority, which functions under the Union Urban Development Ministry, is the land-owning agency in the national capital and plots are allocated to the city government and its nodal departments by it based on their requirement.

At present, Delhi has 29 planned industrial estates spread over an area of 4,647 acres. The planned industrial areas, however, house only around 25,000 units out of nearly 100,000 manufacturing units operating in the city.

One of the reasons for manufacturing units not shifting to industrial estates is that basic infrastructure in most of these areas are in shambles.

The Industries Department has now finalised a plan to improve the facilities in all the industrial estates through a public-private-partnership model.

The government has entrusted responsibility of developing the infrastructure in industrial estates to Delhi State Industrial Infrastructure Development Corporation (DSIIDC).

Delhi Assembly had in March this year passed a legislation to hand over maintenance of all the industrial estates to DSIIDC.

The decision came after the government found that multiplicity of authorities was creating hurdles in developing infrastructure in industrial estates. Some of the industrial estates were looked after by MCD while others were managed by Delhi Development Authority.

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