The Himachal Pradesh Assembly on Tuesday witnessed uproar over the issue of concessions allegedly granted to industries by the previous BJP government.
During Question Hour, sharp exchanges and slogan-shouting erupted between the ruling and opposition benches, culminating in BJP legislators staging a walkout in protest against Chief Minister Sukhvinder Singh Sukhu’s remarks.
Advertisement
Intervening during the debate, Chief Minister Sukhu accused the former BJP government of bending rules to extend undue benefits to select industries in the Baddi-Barotiwala-Nalagarh belt.
He alleged that thousands of bighas of land were allotted at just Re 1 per square metre, while electricity was contracted at Rs 3 per unit for ten years, even though the state itself purchases power at Rs 6 per unit during winters.
He further said these companies were given 100 percent exemption on stamp duty under the garb of “customised packages,” putting an unnecessary burden on the state exchequer.
The Chief Minister told the House that his government would collect complete details of such concessions and initiate strict action against those responsible for depleting the state’s resources.
He said exemptions given under customised packages would be reviewed, and announced that the government would soon replace the 2019 industrial policy with a new framework designed to safeguard state interests while promoting fair investment.
Earlier, replying to a question raised by MLA Bikram Thakur, Industries Minister Harshwardhan Chauhan said that in the last nearly three years, Himachal Pradesh had received industrial investment worth Rs 2,853 crore and signed 6,210 MoUs.
Through the single-window clearance system, 380 units were approved with a proposed investment of Rs 5,891 crore, he added.
He added that overall, the state attracted Rs 20,655 crore in investment during this period. However, 115 industries shut down, resulting in the loss of 3,350 jobs. Of these, 55 units have since resumed operations, bringing in Rs 512 crore in fresh investment and generating employment for 3,918 people.
Chauhan said the 2019 industrial policy, introduced by the former government, was about to lapse. The new policy would include more attractive provisions to encourage investment, and legislators’ views would be taken into account while drafting it.
He also noted that power tariffs for industries had been rationalised to match those of neighbouring states in order to make Himachal a more competitive destination for entrepreneurs.
Several legislators, including Randhir Sharma, Ram Kumar Chaudhary and Sukhram Chaudhary, also raised supplementary questions on the issue during the session.