The Union Cabinet on Wednesday approved funds of ₹1,164.53 crore for Industrial Development Scheme (IDS), 2017 for Himachal Pradesh and Uttarakhand. This is for additional fund requirement to meet committed liabilities under the scheme up to 2028-29.

“It is anticipated to generate direct employment opportunities for about 48,607 people by 774 registered units,” the official statement added.

Under this scheme announced in 2018, the total financial outlay of ₹131.90 crore was allocated. The statement said that this allocated fund has been exhausted during the financial year 2021-22. “Further, the requirement of an additional fund to meet the committed liabilities up to 2028-29 is ₹1,164.53 crore. For allocation of this additional financial outlay, approval of the Cabinet was solicited under Industrial Development Scheme, 2017,” it added.

Investment support

Under this scheme, all eligible and existing industrial units on their substantial expansion in the manufacturing and service sector located anywhere in Himachal Pradesh and Uttarakhand will be provided Central Capital Investment Incentive for Access to Credit (CCIIAC) at 30 per cent of the investment in plant and machinery with an upper limit of ₹5 crore.

All eligible new and existing industrial units on their substantial expansion located in the two States are also eligible for “reimbursement of 100 per cent insurance premium” on insurance of building and plant & machinery for a maximum period of 5 years from the date of commencement of commercial production/operation.

In the past two months, Himachal Pradesh has faced widespread destruction of infrastructure due to torrential rains. Over 13,000 homes have been either fully or partially damaged. As per State government estimates, 400 people have died due to rain-related disaster.

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