In a move that will regularize "illegal industrial constructions" in the state, the Gujarat government Thursday issued a circular that, industry players say, will help regularize more than 30,000 illegal structures located in various industrial estates operated by state-run Gujarat Industrial Development Corporation (GIDC). The government claimed in the circular that there have been instances of unauthorized construction in GIDC estates due to rapid increase in industrial development. “By removing and pulling down such unauthorized construction, the economic activity, employment and corresponding investment would be adversely impacted. GIDC has, therefore, decided to introduce this policy circular for regularization of unauthorized construction,” it stated. The announcement will cover all illegal constructions done till January 12, 2023, in over 70,000 industrial units in 220 GIDC operated industrial estates and will regularize these by imposing a penalty or impact fee. However, neither Industries Minister Balwantsinh Rajput nor officials from the industries and mines department who were at the formal announcement in Gandhinagar could put a figure to the number of illegal industrial structures in the state. “Since the past five years, there have been demands from various associations to regularize illegal constructions,” said Rajput, promising to share the numbers of illegal constructions later in the day. Rajput also asked industry representatives to ensure illegal structures are not built in future after the government regularizes the existing ones. However, this is not the first time the Gujarat government is regularizing illegal industrial constructions. “In 2016, the state government had brought a similar policy for GIDC estates in urban areas and over 5,000 illegal structures were regularized. Today’s announcement will span the entire state where more than 30,000 illegal structures are expected to be regularized,” Pathik Patwari, president of the Gujarat Chamber of Commerce and Industry (GCCI), who was present along with representatives of other industrial associations, told The Indian Express. The direction to regularize illegal industrial constructions comes three weeks after the newly elected Bhupendra Patel government in Gujarat passed. 'The Gujarat Regularization of Unauthorized Development Bill 2022' that sought to regularize illegal constructions in residential, commercial and industrial segments. However, the legislation does not cover GIDC industrial estates. The regularization announced by the government covers both illegal residential and commercial constructions within GIDC estates. The regularization of unauthorized constructions for industrial plots up to 5,000 square metres will be approved by the Superintending Engineer having jurisdiction, while those above 5,000 square metres will be approved by chief engineer of GIDC at Gandhinagar. The regularization does not cover industrial units of hazardous or obnoxious nature. No regularization will be done for constructions beyond the plot boundary and if safety of building or surrounding area has been unduly compromised. Change of purpose or use and additional height of a building shall not be regularized. Unauthorized constructions in common plot will be regularized only on the consent of allottees who share the interest. For residential constructions up to 300 square metres of built-up area, the penalty will range between Rs 3,000-18,000, while for constructions beyond 300 square metres, a fee of Rs 18,000 plus an additional Rs 150 per every additional square metre exceeding 300 square metres will be charged. For other commercial constructions, the penalty is double that of residential. “This will pave way for more finance to industry as constructions will become legal and it will provide an additional 33 percent space for construction,” Patwari from GCCI added.
