Delhi CM announces policy for redevelopment of notified non-conforming industrial areas

The Delhi government will be redeveloping non-conforming industrial areas in three phases, Chief Minister Arvind Kejriwal said on Friday. He held a meeting with industrialists to initiate layout planning for 26 such notified areas.

The initial phase will focus on the development of layouts, followed by the construction of necessary infrastructure in the second phase. The third and final phases will involve the establishment of essential public facilities to cater to the needs of the transformed zones, he said.

To ensure the successful execution of the project, a panel of consultants will be formed, with 90 per cent of the consultancy cost being borne by the Delhi government and the remaining 10 per cent shared by the industry associations, he explained.

Kejriwal underlined that the redevelopment of non-conforming industrial areas will provide employment opportunities for an estimated 10-15 lakh people, creating a "substantial boost to our economy" and "improving the lives of countless individuals and families". Addressing the industrialists, CM Kejriwal acknowledged the unplanned nature of development in Delhi.

"The increasing population led to the spread of residential and commercial establishments, including industries. However, the Delhi Development Authority (DDA) failed to meet the growing demand for land, resulting in the emergence of misused land areas lacking essential infrastructure," he said, highlighting that what is seen is a complete lack of infrastructure. There are no sewer networks, water and electricity availability here, he said.

The chief minister said that to address this issue, the government formulated a policy wherein if any area was found to have continuous contiguous four hectares of land area having more than 70 per cent of the total units as industrial units, then such areas would be notified as non-conforming industrial areas.

The government identified 26 notified areas, including one godown cluster area, as non-conforming industrial areas. Two decades ago, the DDA issued an order requiring the creation of layout plans and the commencement of redevelopment in these areas.

The CM explained that if the industries did not comply with the DDA's order, it was directed that such units and areas would be closed down. This was 15-20 years ago. Since then, neither was a layout plan made nor any redevelopment process started, he noted. However, the industrial units could not comply with the order, leading to a legal quagmire and adverse court rulings, the CM said.

Recognizing the importance of these industrial units in providing employment opportunities, he stressed the need for an alternative approach that would not cause grave injustice to the employees.

The government's solution is the Redevelopment of Non Conforming Industrial Areas policy, which will be implemented in three phases, the CM announced.

In the first phase, a panel of consultants will be established, and industrial associations can choose a consultant from the panel. The Delhi government will bear 90 per cent of the consultant's cost, while the remaining 10 per cent will be contributed by the associations.

He emphasised the importance of active involvement from industrialists in drafting the redevelopment plan, highlighting the need for compromise and collaboration.

The second phase will focus on developing basic facilities in the area, including roads, sewer lines, water lines, and electricity. The third phase will involve the construction of common facilities such as community halls, training centres, and research centres. The government aims to transform all 26 non conforming industrial areas into world-class centres, leading to increased job creation and economic growth, he said.

"If a road needs to be constructed, then someone might lose a bit of land, if common facilities need to be constructed, then someone might lose some land. If you are not ready for this, then this development plan will not work," Kejriwal said.