Government Develops Industrial Townships Under NICDP Through Centre-State Partnership Model
The Government of India has undertaken development of industrial townships under the National Industrial Corridor Development Programme (NICDP) through Special Purpose Vehicles formed jointly with State Governments. The project development process includes identification of industrial nodes as per state prioritization, followed by preparation and approval of concept master plans, development plans, environmental clearances, and detailed design plans by state governments before project approval. State governments contribute land while the Government of India provides equity and/or debt funding.
Approval and Funding Details
The government has approved a total of 20 industrial nodes under NICDP, with 12 projects approved during the last 5 years. The Department for Promotion of Industry and Internal Trade (DPIIT) has sanctioned and released funds amounting to ₹16,172.95 crore to the National Industrial Corridor Development and Implementation Trust (NICDIT) for development of Industrial Corridor Projects. NICDIT has further released ₹14,569.97 crore to project SPVs for various industrial nodes/projects under NICDP.
Completed Projects and Infrastructure
Four projects have been completed under NICDP: Dholera Special Investment Region in Gujarat, Shendra-Bidkin Industrial Area in Maharashtra, Integrated Industrial Township – Greater Noida in Uttar Pradesh, and Integrated Industrial Township – Vikram Udyogpuri in Madhya Pradesh. The Dholera project has developed comprehensive infrastructure including roads and services, administrative building, water sourcing and transmission, water treatment plant, sewage treatment plant, common effluent treatment plant, power infrastructure, and information and communication technology facilities.
Project Implementation and Monitoring
The total construction timeline for project completion is 36-48 months from the actual date of appointment of EPC contractor. Internal trunk infrastructure including roads, water supply, sewerage and power distribution within the industrial city/node are executed through EPC contractors engaged by respective project SPVs. External connectivity infrastructure such as bulk water supply, power, telecom and roads are examined on the PM Gati Shakti National Master Plan portal and undertaken by concerned state SPVs.
Several measures are taken to expedite implementation including periodic reviews by an Apex Monitoring Authority, DPIIT through NICDIT monitoring development with state officials, obtaining necessary regulatory and statutory clearances on time, regular monitoring at various levels, and leveraging PRAGATI and PMG portals to fast-track project implementation and remove bottlenecks.
State-wise Project Details
The approved projects span multiple states including Uttarakhand (IMC at Khurpia approved August 2024), Punjab (IMC at Rajpura), Maharashtra (Dighi Port Industrial Area), Kerala (Palakkad Industrial Area), Rajasthan (Jodhpur Pali Marwar Industrial Area), Haryana (IMC at Hisar), Uttar Pradesh (IMC at Agra and IMC at Prayagraj), Bihar (IMC at Gaya), Andhra Pradesh (Orvakal Industrial Area and Kopparthy Industrial Area), and Telangana (Zaheerabad Industrial Area).
Funding Allocation by Project
Significant funding has been allocated to various projects: Dholera Special Investment Region (₹2,784 crore equity), Shendra-Bidkin Industrial Area (₹3,000 crore equity against ₹7,947 crore project cost), Dighi Port Industrial Area (₹701.13 crore equity against ₹5,469 crore cost), Integrated Industrial Township – Greater Noida (₹617.20 crore equity against ₹1,714 crore cost), Multi Modal Logistics Hub at Dadri & Multi Modal Transport Hub at Boraki (₹853.05 crore equity against ₹3,907 crore cost), and various other projects across states with detailed equity and debt allocations.
Current Status of Ongoing Projects
Sixteen projects are currently ongoing with varying statuses: Krishnapatnam, Andhra Pradesh (2,006 acres, EPC contractor appointed February 2024), Tumakuru, Karnataka (1,736 acres, EPC contractor appointed February 2023, 06 industrial plots measuring 250 acres allotted), Integrated Multi-Modal Logistics Hub – Nangal Chaudhary, Haryana (886 acres, project to be executed on PPP basis, external connectivity works complete), Multi Modal Logistics Hub in Uttar Pradesh (825 acres, tender re-floated for concessionaire appointment in July 2026), and several other projects at different stages of development including those awaiting Supreme Court clearance due to Taj Trapezium Zone considerations.