800 units get notice to pay development charges

Ambika Sharma

Tribune News Service

Solan,September 23

The Baddi-Barotiwala-Nalagarh Development Authority (BBNDA) has issued show-cause notices to more than 800 industrial units to deposit external development charges (EDC) which were approved last year by the government.

A policy to charge the EDC had been mooted years ago by the BBNDA, its approval had been received in 2016 and following this the investors had been issued two notices since March to deposit these.

These charges are now applicable to the industrial units which are set up on private plots after availing permission under Section 118 of the HP Tenancy and Land Reforms Act, 1972.

The industrial units, operating from the plots allotted by the HPSIDC and Industries Department, are paying the charges to the department. It was, however, observed that the investors, who operated on the purchased private plots, did not contribute to the development of infrastructure of the area. The policy was, therefore, mooted for industries lying outside the industrial areas.

More than 800 units, which fall under the purview of this policy, have now been slapped notices to pay these charges. A unit has to pay at the rate of Rs 2 per sq metre and a maximum of Rs 2 lakh has been fixed as annual EDC.

Chief Executive Officer, BBN Development Authority, Aditya Negi, said the units had been directed to pay the charges for 2016 and 2017. Despite issuing two notices, only 50-60 units had deposited these charges. Another notice had been issued to all these industries though investors were now coming forward to pay them.

Though some investors were resenting the move, Negi said they were told to pay nominal amount of the EDC vis-à-vis those who got plots from the HPSIDC and Industries Department. The Industrial Area Development Authority was charging Rs 10 per sq mt. He said the funds would be utilized to improve the infrastructure of the area.

With limited fund availability from the state government, the generation of funds would allow the authority to take up more infrastructure development projects.

A proposal to spruce up all roads was being worked out by the PWD and the BBN Development Authority has approved Rs 8 crore for constructing a new bridge on the Balad river. Similar projects are in the pipeline which also included beautifying the area.