Ahead of approving proposals for Mega Integrated Textile Region and Apparel (PM MITRA), the Central Government has asked states to provide a long-term projection for power tariffs that would be charged at these parks.
As per reports, about 13 states had sent 18 proposals for the textile park.
While Madhya Pradesh has sent four proposals, Maharashtra and Karnataka have sent two each. The Government will most likely select only one proposal from each state.
Punjab, however, did not fulfil the criteria of providing 1,000 acres of litigation/encumbrance-free land.
Two months back, Union Minister of Textiles, Commerce and Industry Piyush Goyal had said that the states that will ensure support measures such as affordable power, land and effective labour laws will get preference in the selection for the proposed MITRA parks scheme.
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The scheme was announced in Budget 2021 and given a budget of Rs. 4,445 crore for seven years up to 2027-2028. Seven such parks are due to be approved.
As per Government officials, the states, where mega textile parks will be set up, have almost been finalised, but the Government is trying to get a few things from the states by way of concessions.
“We are trying to get states agree to a better power regime. In some states, the cost of power is quite high and we are trying to get it reduced. They have been asked to give us a long-term roadmap – say 15 years – of the power tariff that will be charged at these textile parks. We are telling them to refrain from raising power charges for 15 years, but we are looking for some kind of a projection regarding the same,” an official said.
