The Industrial Redevelopment Policy 2021, implemented by the Maharashtra Industrial Development Corporation (MIDC), offers a structured approach to industrial redevelopment. Aimed at fostering growth and modernizing industries, this policy ensures clear timelines, provisions for free extensions, and streamlined processes to promote sustainable industrial development. Understanding the policy is crucial for businesses aiming to leverage its benefits.
Key Features of the Industrial Redevelopment Policy
The policy outlines specific development periods based on the size of the industrial plot. If a demolition order is issued without a development period mentioned, the following revised timelines are applicable retroactively from May 27, 2015:
| Plot Size | Development Period | Deadline |
| Less than 50,000 sq. m | 3 years | 31/12/2023 |
| 50,000 – 1,00,000 sq. m | 4 years | 31/12/2024 |
| Above 1,00,000 sq. m | 5 years | 31/12/2025 |
Development Period Extensions: When Are They Free?
Free extensions are granted in cases where:
- A demolition order is issued, but no development period is specified. Here, the policy enforces the revised timelines outlined in the table above.
- The project was impacted by COVID-19 between March 1, 2020, and June 30, 2021. This extension is applicable only if construction began according to approved building plans during this period.
Policy Provisions for Extensions
The policy also defines extension fees based on the remaining lease period of the plot. For partial extensions of less than one year, the charges are calculated quarterly. Here’s a summary:
| Remaining Lease Period | Annual Extension Fee (% of prevailing rate) |
| 75 years or more | 7.5% |
| 50 years or more | 5% |
| Less than 50 years | 2.5% |
For businesses seeking partial demolitions or revisions, MIDC ensures that existing structures remain valid with Building Completion Certificates for reuse.
Benefits of the Policy
The Industrial Redevelopment Policy 2021 streamlines redevelopment by:
- Providing clear timelines for redevelopment projects.
- Offering free extensions for specified periods and scenarios, reducing financial burdens.
- Allowing partial demolitions to maintain industrial operations during redevelopment.
- Simplifying compliance through clearly defined rules and procedures.
How Industrial Consultancy Services Can Help
Partnering with Industrial Consultancy Services is essential for navigating the complexities of redevelopment. Experts ensure seamless compliance with MIDC guidelines, timely approvals, and effective project management.
Conclusion
The Industrial Redevelopment Policy 2021 provides businesses in Maharashtra with the framework to modernize and expand operations. With provisions like free extensions for demolition orders lacking development periods and COVID-19 relief, the policy supports resilience and growth. Leverage professional consultancy services to maximize the policy’s benefits and ensure timely project completion.