The Maharashtra Cabinet, led by Chief Minister Eknath Shinde, has approved a revised policy aimed at attracting mega projects based on advanced technology, with a focus on boosting investments across the state. Under the new policy, the state government will offer an industrial promotion subsidy for advanced technology projects with an investment of Rs 100 billion or more, irrespective of the sector.

These projects will receive an industrial incentive subsidy equivalent to 100% of the fixed capital investment. For larger projects with an investment of Rs 200 billion, the state will provide an additional subsidy of 11% under the existing collective incentive scheme.

According to the Chief Minister's Office (CMO), five projects have already been approved, with two others under review by the Cabinet Sub-Committee. Three more projects are awaiting approval, which, if cleared, will bring a total investment of Rs 1.79 trillion and generate approximately 60,000 jobs in the state. With three additional projects under consideration, the total expected investment could exceed Rs 2 trillion, creating over 100,000 jobs.

The revised policy includes amendments to streamline decision-making, granting the Chief Minister-led Cabinet Sub-Committee authority to make prompt decisions. Additionally, the policy introduces capital grants specifically for industries in the aerospace and defence sectors. Each manufacturing sector will be limited to a maximum of two projects, with a total of 10 projects eligible for incentives.

The projects will be promoted in areas such as Palghar district, Vidarbha, Marathwada, Ratnagiri, Sindhudurg, Dhule, and Nandurbar. If there are more than ten proposals in a given thrust sector, special incentives will be provided as per the Collective Incentive Scheme, excluding capital subsidies.

Separately, the Cabinet has approved a build, use, and transfer (BOT) policy for developing small hydropower projects and co-located solar power plants through private sector participation. The revised policy aims to accelerate the development of 37 small hydropower projects with a total generation capacity of 101.39 MW, selected through a transparent bidding process. The government has set a threshold premium of Rs 5 million per megawatt for these projects.

Earlier, 42 small hydropower plants with a capacity of 163.65 MW had been developed under the existing policy, which has now been updated to attract further investments in the renewable energy sector. (ET)