Implementation Guidelines for Grand Scheme

Summary of the Grand Scheme for Industrial Parks Implementation

Overview of the Grand Scheme:

• The Grand Scheme aims to strengthen India's manufacturing ecosystem through integrated industrial infrastructure.
• The initiative is backed by a financial outlay of ₹33,660 crores for the development of 100 industrial parks.
• It aligns with government objectives like Make in India, PM Gati Shakti, and establishing India as a competitive manufacturing destination globally.

Implementation Period:

• The scheme will be executed over six years, from 2026-27 to 2031-32.
• The first phase involves a competitive selection of up to 50 industrial parks.

Eligibility and Selection Criteria:

• Guidelines include eligibility criteria, project selection methodology, financing structure, governance structure, monitoring systems, and implementation procedures.
• The minimum land requirement is set at 100 acres for non-hilly states and 25 acres for hilly states, northeastern states, union territories, and smaller states.
• Large parks up to 1,000 acres will also be considered.

Key Features:

• The scheme emphasizes creating a "plug-and-play" infrastructure with multi-modal logistics connectivity, reliable utility systems, labor-friendly infrastructure, digital governance systems, and sustainable development features.
• Both greenfield and eligible brownfield industrial parks are included in the development provisions.

Infrastructure Components:

• The guidelines specify the quality of infrastructure for components like underground utility systems, water and waste management, renewable energy infrastructure, worker housing, testing laboratories, and integrated common infrastructure.

Special Purpose Vehicles (SPVs):

• Projects will be implemented through SPVs incorporated under the Companies Act, 2013.
• SPVs will be responsible for project planning, development, operation, management, investor facilitation, and long-term maintenance of assets.
• Financial assistance will be provided to SPVs in the form of equity contributions linked to land value and project goals.

Project Management:

• The National Industrial Corridor Development Corporation (NICDC) has been designated as the project management agency for implementation and monitoring.
• The guidelines include structured provisions for private developers' participation in industrial park development via project-specific SPVs, ensuring a clear governance framework, transparency measures, and accountability mechanisms.

Monitoring and Transparency:

• A GIS-based monitoring system, periodic progress reporting, audit mechanisms, and inspections by a national-level steering committee led by the DPIIT Secretary are part of the guidelines to ensure effective implementation and transparency.

Coordinated Efforts:

• The guidelines also provide for coordination with related central and state government initiatives concerning logistics, skill development, sustainability, renewable energy, utility infrastructure, and industrial development.

Significance:

• The publication of these guidelines marks a significant step towards operationalizing the Grand Scheme and constructing globally standardized industrial infrastructure.
• It aims to attract large-scale manufacturing investments, strengthen domestic supply chains, create employment opportunities, and enhance India's integration into global value chains.