CM: No fiscal package, but cheaper power for industry

Vijay C Roy

Tribune News Service

Chandigarh, May 23

Citing the precarious financial condition of the state, Chief Minister Capt Amarinder Singh today ruled out any fiscal incentives to the industry in the state’s industrial policy. The focus would rather be on the ease of doing business, good governance and revival of the existing industry.

Addressing industrialists at an interactive session organised by the PHD Chamber of Commerce and Industry (PHDCCI), the CM said the government was still trying to ascertain the extent of the financial mess the state was in and would soon bring out a White Paper to reveal the real status.

It would thus be difficult to address the demands of the industry, he said, adding that the state’s debt had increased from Rs 48,344 crore in 2006-07 to Rs 1,82,537 crore at the end of 2016-17.

Nevertheless, the CM said, he would ensure ease of doing business, backed by affordable power, as was promised by the party in its poll manifesto.

He said the revival of industry was critical for the restoration of the state’s growth, as that would also act as an impetus to attract new industry.

Speaking on the occasion, Power Minister Rana Gurjit Singh made it clear that the government was committed to implementing its promise of providing power at Rs 5 per unit, which the PHDCCI said should be frozen for the next five years.

The PHDCCI has demanded a legislation to regulate the operations of truck unions, which, it said were indulging in extortion and intimidation. It has also demanded that all illegal activities of these unions be made punishable to ensure that they operate as any other service providing company.

Amarinder also promised to look into other issues raised by the industry such as delay in VAT refund and environmental clearances and support in reviving the cotton ginning mills in the Malwa belt.

PHDCCI’s roadmap for revival

• The state has immense potential to attract investment in areas such as textiles, steel, agriculture, food processing, dairy farming, fertilisers, electronics, sports goods, solar energy, tourism and handlooms, said a report prepared by PHD Chamber of Commerce and Industry (PHDCCI) The report was submitted to CM Amarinder Singh on Monday.
• Gopal Jiwarajka, president, PHDCCI, said the new industrial environment in Punjab should focus on the seven basic ingredients of manufacturing efficiency — availability of land, conducive industry-labour relations, availability of finances, zeal for entrepreneurship, availability of skilled manpower, state-of-the-art infrastructure and ease of doing business. tns