CHANDIGARH: With an eye on the 2027 assembly elections, the Punjab cabinet today approved a one-time settlement (OTS) policy to clear dues on industrial plots allotted before January 2020.
This policy will provide Rs 200 crore in relief to 1,145 industrialists who were unable to pay their dues due to the increase in land costs.
This is the third major initiative by the AAP government in its attempt to strengthen its position after setbacks in the recent Delhi elections.
After the cabinet meeting, while providing details about the first OTS scheme, Punjab Industries Minister Tarunpreet Singh Sond said that plot holders who had not paid their land enhancement charges would not be required to pay penal and compounding interest on their dues.
"They can now pay simple interest at the rate of 8 per cent to clear their dues under the OTS. The compounding and penal interest will be waived."
About the second OTS scheme, he said that industrialists who were allotted industrial plots but could not pay their principal amount for any reason can now clear their dues with 8 per cent simple interest.
"They don't need to pay compounding and penal interest," he added.
Sond said that the new policy will benefit around 1,145 industrialists.
He stated that these two one-time settlement schemes will remain in effect until December 31, 2025, urging industrialists to take advantage of the scheme.
"The AAP government is committed to promoting the industry. The cabinet has approved two OTS schemes for industrialists. There are 52 focal points, covering 8,000 acres of land and comprising 14,000 industrial plots across the state."
Rajya Sabha MP Sanjeev Arora said it was a major demand of industrialists and would benefit small and medium enterprises the most.
"The issue had been pending for more than three decades. It will primarily benefit industrialists in Ludhiana, Mohali, and Jalandhar," he said.
Sources revealed that dues worth Rs 330 crore are pending from industrialists for plots allotted by the Punjab State Industrial Export Corporation (PSIEC).