Telangana – Industrial Investment Promotion Policy (IIPP) 2010-2015 – Extension of time period

GOVERNMENT OF TELANGANA
Industries & Commerce Department – Incentives for setting up of New Industrial Enterprises in Telangana – Industrial Investment Promotion Policy (IIPP) 2010-2015 – Extension of time period for availing incentives in respect of Micro and Small Enterprises and Textile Units – Orders – Issued
INDUSTRIES AND COMMERCE (IP&INF) DEPARTMENT
G.O.MS.No. 30 Dated:29.11.2014 Read the following:-
1. G.O.Ms.No.61, Industries & Commerce (IP) Department, Andhra Pradesh, Dated 29-06-2010
2. G.O.Ms.No.42, Industries & Commerce (IP) Department, Andhra Pradesh, Dated:05-05-2011
3. Representations from various Industrial Associations


O R D E R:
In the reference 1 st read above, Government have issued certain incentives to Micro, Small, Medium, Large & Mega industries under Industrial Investment Promotion Policy 2010-2015, including policy for promotion of Scheduled Caste/Scheduled Tribe entrepreneurs, Service Sector for Scheduled Caste/Scheduled Tribe entrepreneurs and Pavalavaddi Scheme etc. This policy concludes by 31.03.2015.

2. In the reference 3 rd cited, Industrial Associations have approached the Government with requests to extend the incentive availing period by (5) years in order to compensate for non-utilization of the benefits provided under the IIPP 2010-15. They have cited various reasons such as inadequate power supply, agitation for statehood among others during past (5) years, which resulted in the Micro and Small Enterprises unable to run their units to full capacity due
to which the units could not utilize fully the benefits offered in IIPP 2010-15.

3.  Government, after careful examination of the requests made by the Industrial Associations and reviewing the situations prevailing in the State during past (5) years, hereby
order the following:

The eligibility period for Micro and Small Enterprises, including Micro and Small units established by SC / ST Entrepreneurs, established under IIPP 2010-15 for availing
Reimbursement of Sales Tax, Pavala Vaddi and Reimbursement of Power cost is extended as indicated below:

All SME units including SC/ST Entrepreneurs established under IIPP 2010-2015 Reimbursement of Sales Tax, Pavala Vaddi Incentive and Reimbursement of Power cost for the remaining period under the old policy + one additional
year under the T-IDEA Policy 2014.

4.  It was also represented by the Textile Mills association that the textile mills in the State of Telangana are under extreme stress and due to change in incentives between 2005-2010 policy and the 2010-2015 policy as well as the special treatment given to certain textile mills set up prior to 2010, the units set up after 2010 suffered a huge competitive disadvantage. The Textile sector is a critical sector for the State of Telangana as it offers huge employment potential. To support the textile units that went into commercial production after 2010, the following incentive is extended at the choice of the entrepreneur.

a) Interest subvention provided under the new 2014 Telangana Industrial Development and Entrepreneur Advancement (T-IDEA) policy for textile sector till 31/10/2019 (period under New Policy).and
b) Power subsidy at the rates of IIPP 2010-2015 previously approved till 31/10/2019 (period under New Policy).

5. This order is issued with the concurrence of Finance Department, vide their No.454/PFS/14, dated.25.11.2014.

6. Copy of this order is available on Internet and can be accessed at address http://goir.telangana.gov.in.

(BY ORDER AND IN THE NAME OF THE GOVERNOR OF TELANGANA) K. PRADEEP CHANDRA
SPECIAL CHIEF SECRETARY TO GOVERNMENT AND
COMMISSIONER FOR INDUSTRIAL PROMOTION