State Govt to hike Land Cost for Industries

TNI Bureau: The state government has decided to increase the cost of land for industries, keeping in view of the fast growing industries in Odisha. The move will curb the chances of giving the land to the private companies at low prices.  The rule will be executed after the new land acquisition bill is cleared in the House.

Even though, the market prices for the land are much higher, the government rates for land have not been revised. The step indicates that government land will no longer be offered to industries at a fixed rate.

Industrial Promotion & Investment Corporation of Odisha Ltd (Ipicol), the state government’s investment promotion agency has now been entrusted with the accountability to consider possibility of benchmarking cost of government land.

Ipicol has been asked to examine modalities for benchmark valuation of government land. The corporation has also been assigned with another task to study the profitable practices of the IT-friendly states like Andhra Pradesh, Karnataka and Tamil Nadu to heighten investments in IT and ITes sectors.

The state government is also planning to bring some change to the Industrial Policy Resolution (IPR) – 2007. As per the current IPR rules, lands in the state are divided into four different zones where government land is to be acquired for industrial purpose, however, the amended IPR would squeeze it in to two, namely – the highly industrialized zone comprising of Bhubaneswar and Cuttack and second zone for rest of the state.

Even, the government has decided not to offer concessions to highly polluting industries with low employment potential and to the industries falling within the limits of Bhubaneswar Municipal Corporation (BMC).

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