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UP cabinet gives nod for 2 free LPG cylinders to beneficiaries, FDI incentives
Reimbursement of ₹1751-crore benefits to be made to Samsung India Electronics Private Limited, Greater Noida, under the state government’s policy for mega projects: Minister
LUCKNOW Uttar Pradesh cabinet on Tuesday gave a nod to proposals benefitting the common man and big industries while approving the policy for incentives to attract foreign direct investment (FDI), Fortune-500 companies and reimbursing benefits to Samsung India and LG India. It also decided to give two free LPG cylinders to PM Ujjwala Yojana beneficiaries.
Chief minister Yogi Adityanath presided over the meeting of the state cabinet that approved the policy for FDI and Fortune-500 companies, providing rebate of 75% to 80% in land rates to eligible companies.
To attract these companies, the policy provides for capital subsidy of up to ₹100 crore per annum to be given in seven annual instalments and 100% reimbursement of SGST, said finance minister Suresh Khanna.
He said the state government would reimburse the cost of training 500 people ( ₹5,000 per person) for five years. Exemptions will also be given in stamp duty and registration fee in different regions as provided under the Uttar Pradesh Industrial Investment and Employment Promotion Policy 2022. States like Maharashtra, Karnataka, Gujarat and Delhi had larger FDI in comparison to Uttar Pradesh and this was why the state government brought the new policy, said Khanna.
There will be 100% exemption in electricity duty for five years. Other facilities include 50% subsidy on the cost of setting up of effluent treatment plant (maximum ₹2.5 crore) and 10% on the cost (maximum ₹10 crore) of developing housing/dormitory facility for workers within 10 km area of the project.
Khanna said reimbursement of benefits of ₹1751 crore would be made to Samsung India Electronics Private Limited, Greater Noida under the state government’s policy for mega projects. Reimbursement of incentives would also be done to LG India Electronics Private Limited, though he did not specify the amount.
The state government promised reimbursement of tax that these companies paid to the state government. Samsung India would be paid benefit of ₹1751 crore in 15 years. LG India has an investment of ₹567 crore and benefits (unspecified) will be reimbursed to them in 10 years, said the minister.
Samsung India has invested over ₹5000 crore to set up mobile manufacturing unit with a capacity of manufacturing 12 crore mobile sets per annum. It directly employs 10,000 people and has an annual turnover of ₹62,000 crore.
The state cabinet approved a proposal to provide free refill of two LPG cylinders (14.2 kg) to 1.75 crore beneficiary families under the Pradhan Mantri Ujjwala Yojana in 2023-2024. Under the scheme, the first refill will be given between October and December 2023 while the second will be given between January and March 2024. Khanna said the beneficiaries should update their Aadhaar number etc to avail the benefits.
He said the subsidy to provide the free LPG cylinder will be reimbursed into the bank account of the beneficiary after five days and the state government would spend a sum of ₹2,312 crore on the scheme.
