HindustanTimes Thu,18 Sep 2014

Easier now to set up hotels, hospitals in Punjab's industrial areas

Hillary Victor , Hindustan Times  SAS Nagar, August 21, 2013
First Published: 00:48 IST(21/8/2013) | Last Updated: 00:51 IST(21/8/2013)

The Punjab government on Tuesday notified its industrial policy for relaxing conditions to set up hospitals, hotels, educational institutions and multimedia centres in areas designated as industrial focal points.


The notification, which comes in furtherance of the cabinet nod given on July 23, was confirmed by the state's urban development secretary, A Venu Prasad, who said it would shortly be uploaded on the website of the Punjab Urban Planning and Development Authority (

Now, the minimum area required for setting up such businesses has been reduced from 5,000 square yards to 1,000. The government has also removed the condition of having compulsory professional management tie-ups or franchise for hospital or hotel with a national or international chain.

The minimum plot width required has also been reduced from 100 feet to 60, and the minimum needed width of approach road has been reduced from 80 feet to 40 for hotels, hospitals and multimedia centres. 

The changes will benefit more than 70% owners of plots in industrial areas in various parts of the state. The notification comes four years after the SAD-BJP government amended the earlier policy to make it more inclusive and declared hotels, hospitals, educational institutions and multimedia centres as industry.

Floor-area ratio (FAR) has already been increased with no restriction on building height.

Welcoming the decision, Mohali Industry and Commerce Association president Nikhil Saraf said, "This will encourage investment and generate employment opportunities."


The amendments made in the industrial policy by the Punjab government relax terms set for setting up hotels, hospitals, educational institutions and multimedia centres in industrial focal point areas:

CONDITION                         EARLIER                                     NOW
Minimum area                         5,000 sq yards                             1,000 sq yards
Approach road width                    80 feet                                         40 feet
Width of plot's front                    200 feet                                         60 feet

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