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UP Government Eases Norms for Private Industrial Parks, Unlocks Faster Development with New Incentives

New norms reduce road-width requirements, offer ₹50 lakh-per-acre development incentives, streamline approvals, and mandate 10% land for key facilities in private industrial parks
Indian Masterminds Stories

Lucknow: In a significant policy shift aimed at accelerating private industrial development, the Uttar Pradesh government has amended its Pledge–Private Industrial Park Scheme. As per the new notification issued by Additional Chief Secretary (Industrial Development) Alok Kumar, private industrial parks may now be established along 7-metre-wide roads, provided they host only green and orange category (non-polluting) industries. Additionally, a 1.5-metre footpath on both sides has been made compulsory.
Parks situated along 12-metre-wide roads will still be allowed to accommodate industries of all categories.

Development Charges and Approval Procedures Simplified

The revised rules introduce a differentiated development charge structure.

  • A 25% development charge will apply to parks within areas notified by development authorities.
  • No development charge will be levied on parks set up outside these areas.

For layout approvals, the competent authority will vary by location:

  • Development authorities will approve plans within their notified limits.
  • The Director of Industries or authorised officers will issue approvals for parks outside these zones.

Read also: Uttar Pradesh Maintains Electricity Tariffs for Sixth Consecutive Year, Providing Major Relief to Households, Farmers, and Businesses

Stamp Duty to Be Assessed as a Single Industrial Unit

To ease financial and procedural burdens, the government has clarified that stamp duty will be levied by treating the entire industrial park as a single unit, with valuation done by the district magistrate. The move aims to streamline land processing and reduce transaction complexities for developers.

₹50 Lakh Per Acre Incentive for Internal Development

To support infrastructure creation inside privately developed parks—such as internal roads, utilities, and drainage—the state government will offer ₹50 lakh per acre as a loan at just 1% interest.
This incentive applies to industrial parks spread across 10 to 50 acres, boosting private investment in industrial infrastructure.

Mandatory 10% Land Allocation for Support Facilities

The amended rules require developers to allocate 10% of the industrial park’s land for essential support services, including:

  • Hotels and restaurants
  • Cafeterias
  • EV charging stations and fuel pumps
  • Banks and medical centres
  • Skill development centres
  • Public convenience facilities

Officials said this provision ensures modern, integrated industrial parks that meet the needs of industries and their workforce.

UP Targets Accelerated Industrial Growth

With these changes, the Uttar Pradesh government aims to expand private-sector participation in industrial development, attract fresh investments, and strengthen the state’s position as a preferred industrial destination. The amendments are expected to significantly enhance ease of doing business and promote balanced industrial growth across the state.

Read also: Uttar Pradesh Launches Statewide Drive to Identify Illegal Foreign Nationals for Social Harmony and Resource Management


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