With the objective of drawing large-scale investments under the Semiconductor Policy rolled out in January 2024, the Uttar Pradesh cabinet has approved special incentives for projects involving investments of Rs 30 billion or more. The decision was taken at a recent state cabinet meeting chaired by Chief Minister of Uttar Pradesh.
In this regard, the state finance and parliamentary affairs minister said that 14 proposals were placed before the cabinet, of which 13 received approval. He noted that semiconductor manufacturing is currently being undertaken on a large scale in countries such as the United States, Europe, Japan and Taiwan. To position India, and Uttar Pradesh in particular, as an important hub for this emerging sector, the state government has cleared a framework for extending incentives on a case-by-case basis.
Further, the approved incentives include interest subsidies, reimbursement of employee costs, exemption from net state goods and services tax for 10 years for semiconductor units, 100 per cent EPF reimbursement for Uttar Pradesh residents up to a cap of Rs 2,000 per month, waivers on water tariffs, and a discount of Rs 2 per unit on electricity bills for a period of 10 years. The minister added that the core aim of the policy is to attract significant investment and create large-scale employment in the state.
Separately, the cabinet also approved a proposal to establish a new bus station near the headquarters on Tanakpur Road in Pilibhit district. The bus station will be constructed on 1.317 hectares (around 7,000 square metres) of land belonging to the Revenue Department and will be leased to the Uttar Pradesh Transport Corporation for 30 years, extendable up to 90 years. The facility is expected to improve connectivity for passengers travelling to Uttarakhand and Nepal, with construction likely to be completed within two years.
In addition, the cabinet cleared the demolition of 11 old and unused buildings on the campus of Shiv Prasad Gupta SSPG Divisional District Hospital in Varanasi to make way for a 500-bed multi-super-specialty hospital. The project will be developed at a cost of Rs 3.15 billion and is expected to be completed in four years. Of the total cost, around 60 per cent will be funded by the central government (about Rs 1.89 billion), while the state government will contribute approximately Rs 1.26 billion. The move is aimed at providing advanced and high-quality healthcare facilities to patients in the Purvanchal region.
