Bhubaneswar: In order to promote electronics system design and manufacturing (ESDM) industry in Odisha, the State government today formulated an electronic policy.
The ‘Odisha Electronics Policy 2021’ will remain in force till March 31, 2026 or substituted by another scheme. It was also decided in the State Cabinet meeting chaired by Chief Minister Naveen Patnaik that an apex committee under chairmanship of the Chief Secretary will be formed to monitor the policy implementation.
As per the decision, the Odisha Computer Applications Centre (OCAC) on behalf of the E&IT department will be responsible for day-to-day monitoring of various activities of the electronics policy.
The policy has the provision to provide production linked incentive (PLI) at 1% of annual turnover to new investment and expansion in ESDM industry for five years starting from the year of begin of production. The first 10 investments will avail the facility.
Subsidy in the range of Rs 10 crore to Rs 250 crore will be provided to ESDM units on basis of their fixed capital investment.
Exemption of electricity duty and electrical inspection fees for a period of five years. Further, the eligible ESDM units will be provided subsidy on power bill for five years at 30% limited to Rs 50 lakh per unit.
Stamp duty on land will be completed waived for the units and 50% exemption on second transaction.
Reimbursement of 100% of land conversion charges payable for converting agricultural land for industrial charges.
Additional subsidy of 10% of investment subsidy up to Rs 1 crore will be provided to women and SC/ST entrepreneurs. Persons with disabilities can also avail the additional subsidy.
Provision of additional 25% subsidy on lease rentals up to Rs 10 lakhs per annum will be provided to them for five years.
The State government will also provide special incentives to ESDM units that will engage local youth on their roll. Local enterprises are eligible to get preference in public procurement as similar to the MSMEs and start-ups.
Reimbursement of 25% on cleaner and greener production measures up to Rs 20 lakh per unit will be given on basis of certification by accredited certifying agencies.
Recruitment assistance will be provided at Rs 8,000 per newly recruited regular employee who are domiciles of Odisha with a maximum limit of Rs 30 lakh for a period of three years. Additional Rs 2,000 will be given to the units for the employees who are women, SC/ST or person with disabilities.
The eligible units will get interest subsidy for timely payment at 5% per annum on term loan availed from public financial institutions or banks for a period of six years from date of commencement of production.
Also, reimbursement of 100% State component of GST (SGST) as per actual paid for a period of five years from the date of commercial production up to 100% of the fixed capital investment will be provided.