Staff Reporter

First phase of work to be taken up in nine industrial estates

NEW DELHI: The Delhi Government has approved participation of industrial associations in upgrading and maintenance of infrastructure in industrial estates. The State Industries Department would be allowed to prioritise the selection of work in consultation with the respective associations in an 85:15 ratio of the total cost. The Government would meet 85 per cent of the cost, while the associations will have to bear 15 per cent.

Giving this information here, State Industries Minister Mangat Ram Singhal said the industrial areas were deprived of basic infrastructure and there was no dedicated maintenance leading to a very poor situation. He said for up-gradation to remain sustainable it was necessary that the authorities enlist participation of the industry owners.

Mr. Singhal said the Industries Department in consultation with the various associations would draw up the up-gradation priority. The association would have the option to choose and suggest one-time, non-recurring work that may be taken up within the funds allocated to the particular area.

He said that under the Industrial Up-gradation Scheme (IUS) at least 20 per cent of the total expenditure to be incurred on the selected work would be borne by the industries' associations of the area on "Bhagidari" basis, which should be contributed before the work is allotted to the implementing agency. Funds would be released in three instalments of 40 per cent on allocation of work including 20 per cent contribution by the associations, 30 per cent on award of the work to the contractor, 30 per cent on the completion of 70 per cent work. In areas where more than one association exists, the associations should form a federation for identification and prioritisation of up-gradation and the work to be undertaken.

Mr. Singhal said that in the first phase such work would be taken up in nine of the 28 industrial estates and a sum of Rs. 40 crores had been earmarked for the purpose. He said industry had a great role to play in the economic growth of Delhi as it has an annual production amounting to Rs.6, 000 crores and provides employment to over 14 lakh people. With better facilities, industrial production is likely to go up which in turn will also provide better employment opportunities and higher revenue to the Government.