Fast-track clearance for Fiat, Skoda

While the Rs 1,100-crore Fiat unit will be set up at Ranjangaon near Pune, the Rs 1000-crore Skoda project will come up at Shendre near Aurangabad. The Fiat unit will produce about 60,000 to 80,000 cars per year and will provide direct employment to 800 persons.

Joshi said his government has agreed to the request of Fiat to set up a technical school near Ranjangaon to cater to the requirements of the company. “In addition to the 200 acres of land at the rate of Rs 250 per metre, we will give them additional land for the school too,” he added.

In view of inordinate delay in clearing mega projects, a committee headed by the CM and comprising Deputy Chief Minister, Ministers of Finance and Industries, chief secretary, secretaries of the departments of industries and finance has been set up to monitor the projects.

“Henceforth, foreign investment proposals will not be brought before the cabinet, instead they will be cleared by the high-powered committee,” Joshi added.

Joshi said, in an attempt to boost industrial investments in the backward Vidarbha and Marathwada regions, the cabinet has approved series of incentives. Now, these regions will get 25 per cent additional concessions compared to other regions.

“We have changed the definition of mega project. Till now, projects involving investment of Rs 1,000 crore or more were eligible for concessions. Now for the Vidarbha region, projects with investments of Rs 750 crore or more will get the same benefits,” Joshi added. Secondly, the period of exemption from payment of sales tax has been enhanced from 14 years to 18 years for Vidarbha and Marathwada regions. In addition, the period of investment for seeking concessions has been enhanced from five years to seven years.

Even while granting exemption from payment of electricity duty, the period has been enhanced from 14 years to 18 years. “Under the existing scheme of incentives, mega projects are exempted from payment of electricity duty for 14 years. We are extending the period to 18 years for mega projects in Vidarbha and Marathwada,” Joshi added. So far as payment of stamp duty to be paid by mega projects, as per the existing rules, there is complete exemption for 14 years. Now, the exemption will be for 18 years in the backward regions, Joshi said.

Joshi said the cabinet also decided to develop Butibori in Nagpur district, Mahad in Raigad district and Shendre in Aurangabad district as five star industrial estates within a year.