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DHOLERA SIR

Dholera Special Investment Region (DSIR) is a Greenfield Industrial City planned and located approximately 100 km South West of Ahmedabad. The Government of Gujarat has created a legislative framework for the formation of a Special Investment Region Act 2009. Under the act, a regional development authority for DSIR has been established.
The Dholera Special Investment Region Development Authority (DSIRDA) has the responsibility of planning and development of DSIR and will encompass the function of administering government land within DSIR. An SPV named Dholera Industrial City Development Limited (DICDL) has been created between the Central Government (DMICDC Trust) and the State Government (DSIRDA) of Gujarat to implement the project. Delhi Mumbai Industrial Corridor Development Corporation Limited (DMICDC), a special purpose company, was incorporated to establish, promote and facilitate development of the DMIC Project.

CONNECTIVITY

DHOLERA ON DMIC

DHOLERA LOGISTIC CONNECTIVITY

TRAVEL TIME FROM VARIOUS DESTINATIONS

PROJECT HIGHLIGHTS & OPPORTUNITIES

Dholera SIR: Highlights

  • A self governed economic region enjoying full support of the government and full potential for private sector participation
  • Logistic support of the Delhi-Mumbai Dedicated Freight Corridor linked with efficient rail and road network.
  • To be linked with Ahmedabad city by Metro Rail System
  • Proximity to sea port, closeness to international airport
  • Premium civic amenities
  • Close to Gujarat International Finance City (GIFT)
  • Close to Petroleum, Chemicals & Petrochemicals Investment Region (PCPIR)
  • Autonomy in operations
  • Flexibility in decisions
  • Single window clearance
  • Dispute Resolution mechanism

Opportunities in SIR

  • To build industrial parks, townships, knowledge cities
  • In building its infrastructure: road, rail, healthcare, water, sanitation, tourism, and hospitality
  • Set up a metro rail system and a international airport
  • Potential for development as a multi-modal transportation hub due to lesser distance to all the northern Indian States.
  • Build a world-class transport service foreign markets

Current Status

  • Work on the central spine road has already started
  • Government has allocated 1700 ha. land for the adjoining airport
  • Anchor tenants are already in place
  • Water logging, seismological & environment studies are underway
  • The legal framework enacted: The SIR Act 2009
  • Project development corporation (GICC) formed
  • Development Plan sanctioned on 10 /09/2012
  • Town Planning Scheme (TPS) no. 1 and 2 sanctioned on 3/10/2012
  • Town Planning Scheme no. 3, 4, 5 and 6 have been submitted to Apex Authority (GIDB) on 13/12/2012 for sanction
  • Tenders for selection of consultants for preliminary design of roads including utilities for TPS no. 2 have been floated

ORGANISATION STRUCTURE

Dholera SIR : A combination of economy & efficiency

  • An efficient network of institutions
  • Accountability & autonomy go together
  • SIR to be an industrial township
  • GID Act 1999 to provide legal Framework for PPP
  • GIDB: Gujarat Infrastructure Development Board
  • GIDB: A statutory organization headed by the honourable Chief Minister
  • GIDB provides the hand holding for private sector participation
  • GIDB is the “Most Admired State Level PPP agency in India” at KPMG – Infrastructure Today Awards 2008
  • GIDB will act as the Apex Authority for the SIR

ORGANISATIONAL STRUCTURE


ROAD DEVELOPMENT AUTHORITY (RDA)

Power and Functions

  • To prepare the Land Use Plan, Town Planning Scheme and Development Plan for SIR
  • To Supervise, Monitor, Regulate and Ensure the planned development of SIR
  • To lay down the infrastructure and civil amenities
  • Acquire land and hold properties and sale, lease and transfer the properties including land
  • To execute contracts with unit holders, developers
  • To levy and collect fees, user charges
  • Control the development activities
  • To remove unauthorized construction, encroachment
  • Basically all ground level work, planning & regulation

SIR ACT 2009

The Special Investment Region (SIR) Act – 2009
The state government has enacted a legal framework for the SIR – The Gujarat Special Investment Region Act – 2009. It has come into effect from 6th January, 2009. This shows the commitment of the Government to set up world-class hubs of economic activity on the lines of fastest growing countries of the world.
The SIR Act, inter alia, provides for following matters :

  • It enables the State Government to establish, develop, operate and regulate the Special Investment Regions (SIR)
  • The Government is empowered to declare Investment Regions or Industrial Areas and designate them as Special Investment Regions (SIR)
  • An Investment Region will have as area of more than 100 sq km. and an Industrial Area will have an area of more than 50 sq km.
  • A four tier administrative mechanism is set up for establishment, operation, regulation and management of the SIRs
  • The administrative mechanism comprises of an Apex Authority (GIDB), a Regional Development Authority (RDA) for each SIR, a Project Development Agency and project specific SPVs
  • The Apex Authority will be the highest policy making body
  • RDA will look after the ground level issue of development & regulation
  • RDA will make its own regulations for building, construction and development
  • The Apex Authority will be the single window system and the first contact for the setting up any economic activity or amenity in the SIR
  • The SIR Act empowers the state government for setting up of a Project Development Agency
  • Government has already formed such a project development company in the name of “Gujarat Industrial Corridor Company” (GICC)
  • It provides for effective internal dispute settlement mechanism by a three-tier system
  • It provides an effective framework for private sector participation in infrastructure by drawing upon the Gujarat Infrastructure Development Act (GID) Act – 1999

DMIC

ABOUT

The Delhi-Mumbai Industrial Corridor Development Corporation (DMICDC) is a planned industrial development project between India’s capital – Delhi and its financial hub – Mumbai. It is one of the world’s largest infrastructure projects with an estimated investment of USD 90 billion and is planned as a high-tech industrial zone spread across six states, over a 1,500 km long Western Dedicated Freight Corridor which serves as its backbone.

VISION

To create a strong economic base with a globally competitive environment, state-of-the-art infrastructure to activate local commerce, enhance foreign investments and attain sustainable development.

DMIC is conceived as a Model Industrial Corridor of international standards with emphasis on expanding the manufacturing and services base and develop DMIC as the ‘Global Manufacturing and Trading Hub’.

PROJECT GOALS

The developmental planning for DMIC aims to achieve certain end results with implementation that would ensure realisation of an envisaged vision for the project, leading to economic development.

Accordingly, the project goals for DMIC are:

  • Double employment potential in five years (14.87% CAGR)
  • Triple industrial output in five years (24.57% CAGR)
  • Quadruple exports from the region in five years (31.95% CAGR)

PROJECT IMPLEMENTATION

Government of India has incorporated a special purpose vehicle, Delhi Mumbai Industrial Corridor Development Corporation (DMICDC), specially envisaged to coordinate DMIC Project Development, Finance and Implementation, headed by a full time Chairman and Directors and having representation from the Government of India and Financial Institutions.

An apex authority has been constituted under the chairmanship of Union Finance Minister with concerned Central Ministers and Chief Ministers of respective DMIC States as members to provide overall guidance for planning and issue necessary approvals.

DMICDC will undertake project development activity for various central government projects and also help in assisting state governments. DMICDC will be responsible for assisting state governments to raise finances on the basis of a sovereign guarantee. The corporate entity will have a shell structure with 49% contribution by GOI and the remaining by Financial Institutions and other infrastructure organizations.

DMICDC will also act as a pass-through entity for specific projects and raise a Project Development Fund (PDF) from GOI, GOJ and FIIs. The PDF is proposed to be used as a revolving fund, specifically for undertaking project development activities (e.g. DPR preparation etc.) and shall be recovered from the successful bidders. This fund will also ensure availability of uninterrupted funds for various preparatory activities. The designatories of respective State Governments and the DFC implementing agency could be represented as Directors on the Board of DMICDC.

It is envisaged that funding for DMIC project could be either through nodal agencies (budgetary/extra budgetary provisions) or through Viability Gap Funding/Long term soft loans extended to the Project SPVs. DMICDC would facilitate this process by using a sovereign guarantee provided by the Central government. Moreover, the SPVs could also borrow on their own balance sheets or project recourse basis.

ORGANISATIONAL STRUCTURE

CURRENT SHAREHOLDING PATTERN OF DMICDC

Sr. No. Shareholder Percentage(%)
1 Department of Industrial Policy and Promotion, Ministry of Commerce and Industries, Government of India 49
2 Infrastructure Leasing & Financial Services Limited 41
3 Infrastructure Development Finance Company Limited 10

GIDB – NODAL AGENCY

Gujarat Infrastructure Development Board (GIDB) headed by the Hon. Chief Minister of Gujarat will be the Apex Authority. GIDB will delegate powers and functions to its Executive Committee headed by Hon. MOS (Ind). Core functions of the Apex authority like approvals & modifications in development plan, town planning schemes and general regulations shall not be delegated to any committees.

Powers and functions of the Apex Authority

  • To approve Land Use Plan, Town Planning scheme and Development plan of the SIR proposed by the RDA
  • To make regulations for Development, Operation, Regulation and Management of SIR
  • To approve contracts to be entered in to by RDA and the nodal company
  • To ascertain and fix the rates of user charges, proposed by RDA or the nodal company
  • To issue necessary instruction to the agencies involved

For further details on GIDB visit : www.gibd.org

DICDL – IMPLEMENTATION AGENCY

For the development of Dholera SIR, the Government of India (through DMIC Trust) and the Government of Gujarat (through DSIRDA) formed a Special Purpose Vehicle (SPV) called ‘Dholera Industrial City Development Ltd.’ (DICDL) on Jan 28, 2016. The SPV is made up of a 51% stake of the Government of Gujarat through DSIRDA and a 49% stake of Government of India through DMIC Trust.

DICDL has been formed with an initial capital of INR6,000 crore out of which approximately INR 900 crore has already been released by the DMIC Trust against equity contribution for Activation Area work. The equity on part of the Government of Gujarat through DSIRDA is in form of land, which is allocated to SPV DICDL. The DMIC trust has already approved the activation trunk infrastructure project of INR 4,400 Crores.

For further details on DICDL visit : www.dicdl.in

GUJARAT

Gujarat is a state in Western India. It has an area of 196,024 sq. km (75,685 sq. mi) with a coastline of 1,600 km (990 mi), longest in India. Its capital city is Gandhinagar, while its largest city is Ahmedabad. The state encompasses some sites of the ancient Indus Valley Civilisation, such as Lothal, Dholavira, and Gola Dhoro. Lothal is believed to be one of the world’s first seaports.

OPPORTUNITIES

  • Leading sector-wise growth: Under the Make in India program, 25 industrial sectors have been identified as focus areas. Gujarat has capitalised on these focus areas
  • In Phase I of the DMIC (Delhi-Mumbai Industrial Corridor) program, eight manufacturing nodes are planned to be developed including Gujarat’s Ahmedabad – Dholera Investment Region
  • The State has a total of 45 ports, with Pipavav port being the closest to DSIR -located at about 200 km. The ports of Kandla and Mundra are the major ports in the State and are located at distance of 334 km and 376 km respectively from DSIR
  • Strategically located –Gujarat, is the gateway to the West having easy access to Middle East, Europe and Africa

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