The Cabinet Committee on Economic Affairs (CCEA), presided by Prime Minister Narendra Modi, has approved the development of 12 industrial smart cities across six industrial corridors in ten states worth 28,602 crore. The project expects an investment of approximately Rs 1.52 trillion from large anchor industries and micro, small and medium enterprises (MSME's).
These smart industrial cities will be located in Khurpia in Uttarakhand, Rajpura-Patiala in Punjab, Dighi in Maharashtra, Palakkad in Kerala, Agra and Prayagraj in Uttar Pradesh, Gaya in Bihar, Zaheerabad in Telangana, Orvakal and Kopparthy in Andhra Pradesh, and Jodhpur-Pali in Rajasthan. The name of one city is not disclosed due to the Model Code of Conduct being in force in poll-bound states.
The project will be developed under the National Industrial Corridor Development Programme (NICDP) and is projected to generate one million direct and three million indirect jobs. The smart industrial city project is to be built over the next three years. Industries like technical textiles, fabrication, electric vehicles, aero logistics, food processing and tourism will be developed and are projected to achieve $ 2 trillion in exports by 2030.
A government statement said, "By positioning India as a strong player in the global value chains (GVC), the NICDP will provide developed land parcels ready for immediate allotment, making it easier for domestic and international investors to set up manufacturing units in India. The projects under the NICDP are designed with a focus on sustainability, incorporating ICT-enabled utilities and green technologies to minimise environmental impact"
Commerce and Industry Minister Piyush Goyal called these cities a ‘necklace of industrial cities' built on the backbone of the Golden Quadrilateral and will be contributed by union and the state government. Goyal revealed the government would like to develop some industrial townships and cities in collaboration with countries like Switzerland and Singapore who have expressed interest in the same. "State contribution comes in the form of land and we give a matching equity or debt depending on the case. So, they both collectively move forward in investing this amount" he added.
Rajat Saini, CEO and Managing Director of National Industrial Corridor Development Corporation (NICDC) said that Hyundai will set up an automobile hub on 450 acres at the Zaheerabad industrial smart city in Telangana before the Cabinet approval. The project will feature a multi-modal connectivity infrastructure and aligns with the PM's GatiShakti National Master Plan.
Union Finance Minister, Nirmala Sitharaman said, "Our government will facilitate the development of investment-ready ‘plug and play' industrial parks with complete infrastructure in or near 100 cities, in partnership with states and private sector, by utilising town planning schemes better."
A statement from the Ministry of Railway unveiled that that the CCEA approved three railway projects worth Rs 6,456 crore. The Union Cabinet has greenlit equity support of Rs 4,136 crore to Northeast states for developing hydropower projects, totaling 15,000 MW capacity over the next eight years.
An official statement said the Cabinet approved the proposal for providing central financial assistance to the state governments of North East Region towards their equity participation in the development of hydroelectric projects through collaboration between state entities and CPSUs.
