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Plan to boost investment in tourism sector
IN A bid to give impetus to tourism, the State Govt has drawn schemes to invite investment in the sector. In a letter addressed to director-general UP Tourism, principal secretary to UP govt Dr Om Prakash has given details of the govt?s decisions. Govt has asked development authorities to make provision of land at industrial rates to those interested in hotel business. It will be ensured that land allotted by the development authority for construction of hotels will be in proximity of tourist spots in the cities.
IN A bid to give impetus to tourism, the State Government has drawn schemes to invite investment in the sector.
In a letter addressed to director-general UP Tourism, principal secretary to UP government Dr Om Prakash has given details of the government’s decisions.
Government has asked development authorities to make provision of land at industrial rates to those interested in hotel business.
It will be ensured that land allotted by the development authority for construction of hotels will be in proximity of tourist spots in the cities. “For five years, hotel owners will be exempted from paying luxury tax. This will be an added advantage to businessmen interested in the project”, said RK Yadav, regional tourist officer, Allahabad division who recently attended a meeting chaired by State tourism minister.
According to the policy for hotels, the development authority in consultation with the tourism department will select land for construction. In case the master plan has already been framed, vacant land available will be considered for the purpose. “Land allotted in the master plan will be reserved for five years for hotel. In case, no one turns up for hotel construction, the development authority could change the land use,” said Yadav.
Land will be provided at circle rate on lease by district magistrate in places where there is no development authority.
“Land will be allotted only to those interested in espousing the cause of tourism and all certificates regarding their solvency, etc will be obtained. A committee will be set up presided over by divisional commissioner for the selection of land. Candidates will not be allowed to own more than one piece of land in one city,” said Yadav.
Eligibility for the candidates will be as follows: Only companies, organisations already in the hotel business and having experience in the field will be considered. Five star hotel owners should have average turnover of Rs 100 crore or more for the past three years, and they should have minimum experience of 10 years. Likewise, average turnover for four-star hotels would be Rs 75 crore and minimum experience of 10 years. For three-star hotels, the amount fixed is Rs 50 crore as average turn-over for past three years and minimum experience of five years.
In case several candidates turn up for a particular plot of land a lottery would be drawn.
