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    Development of Mega Industrial Growth Centre at Barhi, Jharkhand, India

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    Development of Mega Industrial Growth Centre at Barhi

    Jharkhand, INDIA

    Project Information Memorandum

    JINFRA

    September 2009

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    Disclaimer

    The contents of this document are based on information generally available to the publicfrom sources believed to be reliable. No representation is made that it is timely,accurate or complete.

    The Department of Industries, Government of Jharkhand has taken due care andcaution in compilation of data as this has been obtained from various sources includingwhich it considers reliable and first hand. However, the Department does not guaranteethe accuracy, adequacy or completeness of any information and it is not responsible forany errors or omissions or for the results obtained from the use of such information andespecially states that it has no financial liability whatsoever to the subscribers / users ofthis report. The information herein, together with all estimates and forecasts, canchange without notice.

    This report does not purport to be a solicitation of any advice pertaining to trade andbusiness and readers are advised to consult experts or study / evaluate individualbusiness prospectus and other relevant legal documents before taking any decisionsbased on information provided in the site.

    Neither the Department nor its office bearers or Employees or Advisers accept anyliability whatsoever nor do they accept responsibility for any financial consequencesarising from the use of the research or information provided herein.

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    ContentsCHAPTER I: ABOUT JHARKHAND ................................................................................................................... 3

    CHAPTER 2: THE PROJECT ............................................................................................................................. 9

    CHAPTER 3: POLICY FRAMEWORKS ............................................................................................................ 20

    CHAPTER 4: WHY BARHI? ............................................................................................................................ 23

    CHAPTER 5: ELIGIBLE BIDDERS .................................................................................................................... 25

    http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466407http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466408http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466409http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466410http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466411http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466411http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466410http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466409http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466408http://d/IIDC/PROJECTS/ONGOING%20PROJECTS/Barhi/Documents%20post%205%20Aug%2009%20meet/Project%20Information3A.docx%23_Toc241466407
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    1. JHARKHAND STATE

    1.1. The 28th state of the Indian Union was brought into existence by the Biharreorganization Act on November 15,2000. The State is located in easternIndia and is surrounded by Bihar to thenorth, Uttar Pradesh and Chhattisgarh tothe west, Orissa to the south, and West

    Bengal to the east. The state covers ageographical area of 79.70 Lakh Hect.Many parts of the Jharkhand state lieson the Chota Nagpur Plateau. ChotaNagpur plateau is the source of the Koel,Damodar, Brahmani, Kharkai, andSubarnarekha rivers, whose upperwatersheds lie withinJharkhand. Much of the state

    is still covered by forest1.2. The newly carved out

    resource rich State ofJharkhand is widelyacclaimed as the region ofthe future, having immensepotential for industrialisationwith its large deposits ofminerals, which could provide

    a firm launching pad forvarious industries. The State of Jharkhand is one of the richest zones ofminerals in the world. It accounts for 40% of the countrys mineral reserve.The State is the sole producer of Cooking Coal, Uranium and Pyrite. It ranksfirst in the production of Coal, Mica, Kyanite and Copper in India. The

    CHAPTER I: ABOUT JHARKHAND

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    geographical exploration and exploitation of gold, silver, base metals,decorative stones, precious stones, etc. are the potential areas of the future.

    1.3. The State is the home for some of the best iron resources in the Country.The State currently has presence of some of the largest steel plants in the

    country including Bokaro Steel Plant and Tata Iron & Steel Co. Ltd (TISCO).The strength in steel production provides huge potential for setting updownstream metal processing and engineering industries.

    1.4. As can be seen from the picture below that the entire State is the hot bed ofminerals.

    1.5. The State Government firmly believes in maximizing capital investment in theState for its accelerated economic development and generation ofemployment opportunities. The State Government is committed to create anenvironment conductive to growth of industries in the State. It is determinedto encourage investment in the industries based upon the State's agro-

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    b. The Primary sector has grown with a CAGR of 7.32%, due to growthmainly in Forestry & Loggingsector

    c. Secondary sector is the fastest growing sector, growing at a CAGR of

    13.78%. Manufacturing sector is the main contributor to this sectorgrowing at a CAGR of 15.29%. Contribution of Tertiary sector to theGSDP has decreased marginally.

    Source: Jharkhand Department of Planning and Development

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    1.9. The Government of the nascent State of Jharkhand, in consonance with theneed and aspirations of the local populace and entrepreneurs, the changestaking place in the global and national economic scenario and thecompetition at the national and international level has found it expedient to

    formulate an Industrial Policy for attracting investment including foreigninvestment in identified thrust areas with a focus upon the BalancedRegional Development as also for creation of essential infrastructureincluding that for power generation.

    1.10. Jharkhand is also endowed with other resources such as surface and groundwater, land with immense bio-diversity, moderate climate, disciplined andskilled manpower, adequate availability of power, which are the basicessentials for the growth and development of industries.

    1.11. The State has moved from procuring vegetables to vegetable surplus State.

    1.12. As the name suggests, Jharkhand offer great potential for development ofindustries based on Medicinal Plants. Almost 22 out of 26 medicinal plantsand herbs are available in Jharkhand.

    1.13. The installed capacity of power in the State is 2590 MW. A new power plantof capacity of 4000 MW is in the offing at Hazaribagh District.

    1.14. There is a large No of educational & technical institutes which include IndianSchool of Mines at Dhanbad, offering large pool of trained manpower forindustries. Jharkhand has 8 Universities, 22 Colleges for professionaleducation and 8 Medical colleges. Birla Institute of Technology, Ranchi,

    National Institute of Technology, Jamshedpur and the Indian School of Mines(ISM Dhanbad) are well known engineering colleges. XLRI & Xaviers areamongst the best Business Schools of the Country are located in the State.

    1.15. The State is well connected with other parts of the country through rail, road& air.a. Road Connectivity:

    NH 2, Connects to Kolkata & DelhiNH 33 / 31, Connects to Patna, Guwahati & Nepal (via NH-28 &28A), Paradeep Port (via NH-5)

    b. Rail Connectivity: following main line passes through the StateHowrah-Delhi main lineHowrah Mumbai main line

    c. Air ConnectivityRanchi Airport at a distance of 120 km from BarhiGaya International Airport at a distance of 85 km from Barhi.

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    d. Well connected with Kolkata Port (380 km) & Paradeep Port3.1.1 Major Industrial Centres

    Jharkhand houses some of the major industries of the country namely TATASteel (TISCO), TATA Motors, SAIL, HINDALCO, HCL, HEC, JSPL, MECONetc. The above map shows the locations of some of the major units locatedacross the state. All major industrial growth centers are well connected withroad and rail.

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    2.1 BACKGROUND

    Jharkhand, the most mineral rich State of the Country is endowed with ample naturalresources such as abundant supply of surface & ground water, land with immensebio-diversity, moderate climate, disciplined and skilled human resources, adequateavailability of power, connectivity etc which are the basic requirements for the growthand development of industries. The Government of Jharkhand is committed tofacilitate rapid, accelerated and planned industrial growth of the State to bring it atpar with leading industrially States of the Country.

    The State is committed to maximize the use of resource wealth by encouraging theinvestment in the industries based upon the States resources and subsequentlycapitalizing on the investment for its accelerated economic development andgeneration of employment opportunities. The State Government in its drive forindustrialization has identified growth Industrial Centres across the State.

    The State has formulated plans to set up three tier Growth Centres at Mega, Mini &Micro levels across the State. These Growth Centres are conceived to be special

    enclaves for promoting industrialization by offering internationally competitive andhassle free environment to investors.

    The State has at present four Industrial Area Development Authorities with HeadQuarters at Adityapur, Bokaro, Dumka and Ranchi. These authorities areresponsible for acquisition of land, development of infrastructure facilities like road,drainage, park, water supply, public utilities, etc. within their jurisdiction.

    2.2 THE PROJECT

    The State has proposed to develop a Mega Industrial Growth Centre at Barhi inHazaribhagh district, one of the most strategic location for industrialdevelopment in the State, on approximately 375 acres land. Ranchi Industrial AreaDevelopment Authority (RIADA) is the Nodal Agency for the development of thesame. Jharkhand Infrastructure Development Corporation Ltd (JINFRA), a Special

    CHAPTER 2: THE PROJECT

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    Purpose JV Company formed between Government of Jharkhand (GoJ) throughJharkhand Industrial Infrastructure Development Corporation (JIIDCO) andInfrastructure Leasing & Financial Services (IL&FS) has been appointed as Advisorfor the project. For guidelines to the bidders, a Feasibility Report has been prepared

    by JINFRA. An indicative landuse plan has been developed and presented as under:

    Indicative Landuse plan

    Estimated power requirement: 48 MW;Estimated water requirement: 5.5. MLD

    RIADA is open to innovative development proposals if put forth by the prospectivebidders. In order to have a selected pool of bidders, Bidders who are eligible toparticipate are given in Chapter 5.

    The land will be given on a long term lease to the Selected Bidder and RIADA willendeavour and facilitate provision of trunk infrastructure to the Growth center as wellgrant clearances, permits and benefits under the Industrial Policy on a fast trackmode.

    58.4%

    4.5%

    2.4%

    7.9%

    0.4%

    6.7%

    14.8%

    3.9% 1.0%

    Industrial

    Logistics

    Commercial

    Residential

    Recreational

    Green areas/buffers

    Transportation

    Utilities

    Social Infrastructure

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    2.2.1 About the district - Hazaribagh

    The district of Hazaribagh is situated in the north east part of North Chotanagpur

    Division. The boundary of thisdistrict consists of districts ofGaya and Koderma in the north,Giridih and Bokaro in the east,Ranchi in the south and Palamuand Chatra in the west. Thedistricts of Koderma, Chatra andGiridih have been bifurcatedfrom this district.

    District of Hazaribagh Means athousand gardens has anexcellent climate and beautifulscenery all around it in the midstof dense forest. It is rich in floraand fauna. Hazaribagh is 93 km.from Ranchi by road. It is locatedon N.H.33. The district

    headquarter is a part of mediumplateau.

    Hazaribagh has the 2nd highest coal reserve in Jharkhand which is still largelyunextracted.

    Major Attractions

    Rajarappa Temple, Narshigh Temple, Harihar Dham, National Park, Silwar

    Temple Kanhari Hill, Salparni, Barso Pani, Barkattha Suraj Kund.

    2.2.2 About the Site

    The site envisaged for the development of the Mega Industrial Growth Center isat the intersection of NH-2 Bypass (Delhi-Kolkata) with NH-33/31 (Barhi-Guwahati) in Hazaribagh District.

    Area 11165 sq km.

    Forest Land 5370.29 sq km

    Latitude23.5 to 24.4North

    Longitude85.1 to 85.9East

    Population (2001) 2277108Males 1167526

    Females 1109582

    No. of Sub-Division

    3

    No. of Blocks 15

    Average rainfall 1234.5 mm

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    The northwestern boundary of the site runs almost parallel to NH-31 (Barhi-Guwahati) and the the southern tip of the site boundary abuts old- NH-2 (GrantTrunk Road). The newly constructed NH-2 bypass runs through the site dividing

    it into two non-contiguous parts. NH-2 is part of the Golden Quadrilateral andthe site has direct NH-2 frontage of about 2.8 km. The southwestern boundary ofthe site abuts the existing Barhi town.

    The site lies in close to the southern boundary of Tilaiya Dam/Reservoir, locatedat a distance of approximately 1km. Barakar River, which feeds the Tilaiyareservoir, flows north of the site. Hillocks, in northeast of the site, separate it fromBarakar river and the reservoir.

    2.2.3 Site Connectivity

    2.2.3.1 Road

    The site has gotexcellent roadconnectivitygiven itsproximity to theNational Highway 31 &

    33 and NationalHighway 2.NH-2 connectsKolkata with Delhi.The newlyconstructed NH-2bypass runsthrough the sitedividing it into two

    non-contiguousparts. NH-2 is partof the GoldenQuadrilateral and the site has direct NH-2 frontage of about 2.8 km. Thesouthwestern boundary of the site abuts the existing Barhi townNH-31 connects to North East and Nepal via NH-28 & NH 28 A.

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    NH-33 Connects to Ranchi and Paradeep Port via NH-5.Barhi Town is also connected with a State Highway which leads tovarious resource centres in the region.

    2.2.3.2 RailThe state has extensive and well-developed railway system providing vitallinks to mining industry and tourism with important cities and ports of thecountry. The State has extensive goods handling facilities available atRanchi, Bokaro ,Dhanbad and Jamshedpur (Tata Nagar). In addition, oreloading facilities are available at Kiriburu , Lohardaga and all the coalmines of Central Coalfields Ltd.

    At present the nearest rail head is at Kodarma at 15 km from the site

    on the Howrah Delhi main line.The other rail head is at Hazaribgah, 25km away on Ranchi-Hazaribagh Rail Link.

    East Central Railway isimplementing theRanchi-Barkakhana-Hazaribagh-KodermaRail Link (refer mapbelow), the alignment ofwhich would be atabout 500m distancefrom the site. Moreover,the proposed Rail Headat Barhi would belocated closer to thesite. This will openplethora of opportunities for the site as it helps in enhancing

    connectivity with other parts of the country including connectivity withParadeep Port.

    2.2.3.3 AirThe nearest airport is in Gaya in Bihar which is at a distance of 70 kmfrom the site and boasts of an international airport. The Ranchi airport is

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    the other airport which is at a distance of 137km with regular commercialair service. At present, Ranchi is connected with Delhi, Chandigarh,Patna, Kolkata, Mumbai and Bhubaneshwar.

    One of the countrys major airports is located at Kolkata which is around385 km away by road.

    Major towns in the State, such as, Jamshedpur, Dhanbad, Bokaro, Giridih,Deoghar, Hazaribagh, Daltonganj, Noamundi have air strips. The StateGovernment would take steps to strengthen and improve these air stripsalong with proper fencing and establishing terminal buildings. Theseairstrips shall be allowed to be used by private air taxi / cargo serviceoperators.

    The State Government has taken steps to set up Air Cargo Complex atRanchi. (may not include this) This would provide boost to export orientedindustries, specifically, those operating in the area of high value andperishable commodities. Floriculture and horticulture based industries cantake advantage of this facility.

    2.2.3.4 PortThe nearest seaport is located at Kolkata, at a distance of 385 km from

    the site. The Port is connected through National Highway 2.The site is also connected with Paradeep Port which is at a distance ofapproximately 600 km. The connectivity to Paradeep Port is throughNH-33 via NH-5 and NH-200.

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    2.2.3.5 Mineral Resources

    All major mines are within 200 km from the site.

    These are well connected with National Highways & State Highways.With the proposed rail link between Ranchi Kodarma, majority of thesites will be connected with railway as well.

    2.2.3.6Dedicated FreightCorridorRailways are costeffective and also

    environment friendlymode of freighttransport. Yet,capacity andefficiencyconstraints in the

    Site

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    freight segment have, over the years, led to a significant shift fromrailways to road transport. A renewed focus of the Railway Ministry onefficiency, customer care, and commercial principles is aimed at reversingthis trend. The high density Eastern and Western corridors are already

    saturated in terms of line capacity utilisation. Accelerated growth of theeconomy is only adding to the congestion on these routes.

    Thus in order to effect a quantum jump in capacity on account of robustdomestic growth as well as the rapid increase in international trade, theDelhi-Howrah (Eastern) and Delhi-Mumbai (Western) western corridorshave been proposed and currently under implementation.

    The proposed site at Barhi is likely to be passing very close to the samethus adding to the excellent connectivity advantages of the site

    2.3 Physical Infrastructure Availability: The site is surrounded with excellentindustrial infrastructure.

    2.3.1 WaterThe site is in closeproximity of Tilaya Dam.The radial distancebetween the TilaiyaReservoir and the

    proposed site for MegaIndustrial Growth Centerat Barhi is approximately1 km. The dam at Tilaiyahas been constructed byDamodar Valley Corporation (DVC). The Tilaiya dam is 366 meterslong and is 30.18 meters high from the river bed level

    2.3.2 PowerFour power lines, two each of 33/11 kV and two each of 132/33 kV,pass through the southern part of the site. The 133 KV DVC sub-station at Barhi is located at a distance of about 600m from the site.Discussions with DVC officials indicate that the current capacity of theSubstation at Barhi is 60 MVA. Out of the total available power, only 20MVA power is being utilized (rest 40MVA is surplus). It was alsoinformed that, as per the requirement established, the station has the

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    capacity to replace the 10 MVA transformer with another 50 MVA one,thus increasing the total capacity to 100MVA. Thus, it has been givento understand that 80 MVA of power can be made available from theSub Station.

    A 4000 MW Ultra Mega Power Plant (UMPP) is proposed to come upat Tilaiya village. The site for the proposed UMPP is located 12 kmfrom the NH-2 / NH-31 crossing (near Barhi Junction). The proposedsite for Mega Industrial Growth Center at Barhi is advantageouslyplaced in terms of power supply.The Government of Jharkhand will provide all support to the PreferredBidder to meet the requirement of Power and Water Supply for theproject. A letter of comfort will be made available to the Authoriseeafter signing of the Authorisation Agreement.

    2.3.3 DrainageThe site has got excellent natural drainage. The Barhi Right main canal ispassing next to the site.

    2.3.4 Nearest Logistic CentreProposed Logistic Centre at Jamshedpur

    2.4 Site Topography

    The terrain of the site is undulating with the contour levels ranging from RL 367.5m to RL 404.5 m, a level difference of 37m. The southern part of the site slopesto the north, the western part slopes towards north-east and north-western partslopes to the South East. The existing natural slopes culminate in to the lowestlying area of the site north- east and subsequently, all the natural drainsultimately flow into Tilaiya Reservoir.

    2.5 Social Infrastructure Availability2.5.1 Housing

    The nearest Town is Hazaribagh which offers decent social infrastructureincluding housing. Work is currently going on for the development of NTPC's3000MW Super Thermal Power Project. A major NTPC township is also comingat Hazaribagh.

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    2.5.2 Educational Institutions

    Hazaribagh boasts of number of good educational institutions. The coolclimate and the quiet environs of Hazaribagh attracted educationists to set

    up institutions in the town.o The Dublin Mission has a big presence with educational institutions

    and a womens hospital. Activities of the mission were started atHazaribagh in 1890, under the aegis of Trinity College, Dublin, Ireland.St. Columba's College was one of the oldest in Jharkhand.

    o Ranchi University.Hazaribag now has Vinoba Bhave University withincity limits, named after Saint Vinoba Bhave.All these colleges areaffiliated to it.

    o Mount Carmel School

    o Tilaya Sainik Schoolo St.Xaviers Schoolo DAV Public Schoolo St.Stephens school,o Swami vivekanand school,o Saraswati Vidya Mandir.o The Markham College of Commerce specializes in the commerce

    education at undergraduate level.

    2.6 Other Features

    2.6.1 Nearest Weekend GatewaysHazaribagh offers excellent working environment coupled with a goodlifestyle. The site is surrounded by numerous tourism/ weekend gateways.Some of the major such places are:

    Hazaribagh National Park: It is located with hillocks, deep nullahs, thicktropical forests and grassy meadows. The Sanctuary has wild bears,sambhar, nilgai, chital and kakar, sloth bears, tigers and leopards.Canary Hill is a popular spot for nature lovers. There is a guest houseand a watch tower on the top of the hills. Recently a proposal has beensubmitted for setting up a tiger and deer safari at the placeTilaya DamKonar Dam

    http://en.wikipedia.org/wiki/St._Columba%27s_College,_Hazaribaghhttp://en.wikipedia.org/wiki/Vinoba_Bhave_Universityhttp://en.wikipedia.org/wiki/St._Xavier%E2%80%99s,_Hazaribaghhttp://en.wikipedia.org/wiki/St._Xavier%E2%80%99s,_Hazaribaghhttp://en.wikipedia.org/wiki/St._Xavier%E2%80%99s,_Hazaribaghhttp://en.wikipedia.org/wiki/Vinoba_Bhave_Universityhttp://en.wikipedia.org/wiki/St._Columba%27s_College,_Hazaribagh
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    A hot water spring named Suraj Kund is 60 km from the Site.Other major places of interests are:

    o World famous tourists destination Gaya at 65 km from the siteo Famous Parasvanath Temple at 120 km

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    3 Policy Framework

    3.1 Industrial Policy 2001The Industrial Policy aims at making Jharkhand one of the most preferreddestination for investment, both from inside and outside the country and toensure accelerated implementation of infrastructure related projects, increasingemployment opportunities, improving productivity, ensuring homogeneous andbalanced development of all Geographical regions of the State with emphasis on

    development of small, tiny and cottage industries.

    Objectives of the policy

    Optimal utilization of agro-climatic, mineral and human resources of the state.

    Promotion of economic activities to ensure maximum capital investment in thestate with the objectives of increasing employment opportunities, improvingstandard of living of people at large.

    Identification of thrust areas and thrust zones to prioritize the sectors andcategorization of backward regions with respect to industrialization.

    Developing of state of the art technology and infrastructure so as to ensureplanned and accelerated industrial development.

    Ensuring Balanced Regional Development so as to prevent socio-economicdistortions due to backwardness of any region.

    Encouraging and involving private sector participation in the process ofplanned and rapid industrialisation of the State.

    Promoting export of such items, in which the state holds advantage vis--visother states.

    Revival of viable sick units.

    Simplification of procedures and to ensure administrative and legal reforms soas to provide hassle free sensitive administration and time bound effectivedisposal of matters in a transparent manner.

    CHAPTER 3: POLICY FRAMEWORKS

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    Taking steps to protect and promote rural handicrafts so as to conserve andenrich cultural heritage, traditions and customs of the regions.

    Providing better development opportunities to scheduled castes, scheduledtribes, handicapped, weaker sections and women and to ensure their

    participation in the development process. Promoting research and development, technological upgradation and

    qualitative improvement and utilisation of state of art technology to improveproduct, production and productivity.

    Strategy of the policy

    The strategies to be adopted for achieving the objectives are broadly as follows:

    Rationalize fiscal concessions. Provide adequate good quality infrastructural support at a reasonable cost

    for efficient functioning of the industrial sector.

    Amend laws/rules for encouraging private sector participation in varioussectors.

    Simplify rules, regulations and procedures to remove bottlenecks forsmooth functioning of the industrial sector.

    Introduce latest scientific data collection system to make the planningprocess more realistic.

    Make the "Single Window System" more effective at the district, theindustrial area and State level.

    Strive to put in place appropriate arrangements for ensuring timely andadequate flow of credit to industries, specially the SSI sector.

    Assist Industrial Sector in their marketing efforts by providing adequatesupport services backed by appropriate enabling provisions in the

    legislations/ rules. Facilitate availability of technical and financial support for modernization

    through increased access to Research & Development facilities.

    Give thrust to entrepreneurship development through Establishment ofEntrepreneur Development Institute (EDI) and other specializedinstitutions.

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    Diagnose incipient sickness and initiate timely measures for revival of sickindustries and develop a monitoring system at district level to avoidsickness in industry.

    Identify the area of concentration of traditional skills and provide training,

    improve design, technological backup and marketing support.Development of "Craft Villages" and organizing "Craft Bazaars" to provideadequate market access to artisans and craftsmen.

    Encourage setting up fruit processing, vegetable processing, spiceprocessing, horticulture and other food processing industries in the Stateby providing special incentives and basic infrastructure to these industries.

    Develop industrial park for specialised activities in the field of informationtechnology, tassar/mulberry, electronics, plastic, chemicals, biotech and

    herb, export and food processing with adequate power, water,communication, transport and other common facilities.

    Emphasis on small power generating units and developing non-conventional sources of energy through private participation.

    Encourage development of consumer-oriented industries such as Plastic,Herbs, Drugs, Leather, Handloom, Handicrafts, Khadi, etc.

    Issue of notifications by various concerned Departments to give effect tothe strategies of the policy.

    Institutionalization of Monitoring and Evaluation mechanism.

    Mid-term review of implementation of this policy to ensure timely andappropriate corrective actions.

    3.2 Investment Incentives

    Capital investment incentive

    Captive power generating subsidy

    Interest subsidy Stamp duty and registration

    Pollution control equipment subsidy

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    The location of Barhi as a site for industrial centre has certain strong advantagesassociated with it.

    LOCATIONAL ADVANTAGE

    It is on the cross roads of two major highways connecting more than 4 state

    capitals (Kolkata, Ranchi, Patna and Bhubaneswar and even Lucknow though itis a bit far off). The highways themselves have been widened or are beingwidened as per recent efforts in these directions.

    AVAILABILITY OF RAW MATERIALS: This being the mining capital of thecountry most of the minerals are easily accessible. Steel, Aluminium andCopper plants abound the state making it easy for manufacturing industrybased on these metals easy to thrive.

    In terms of agriculture too Jharkhand figures as a top exporter to otherstates. As such Food Processing industries will also find specialadvantage here.

    ACCESSIBLITY TO MARKETS: The Northern and Southern ends of theNorth-South highway connects Nepal in the north and goes uptoParadeep port in the South on the Orissa coast. As such it gives directaccess to the hinterlands of the states of Bihar, Jharkhand, Bengal, Orissaand Eastern UP. This opens up a vast possibility of trade and industrialdevelopment along this route.

    EASE FOR EXPORTERS: The direct connectivity to Kolkata, Haldia andParadeep ports give rise to ample opportunities for exporters to set uptheir manufacturing units here.

    CHAPTER 4: WHY BARHI?

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    PHYSICAL INFRASTRUCTURE

    POWER: The power situation is very good with an upcoming UMPP in thevicinity.

    WATER: The water supply situation is also excellent with the Tilaiyareservoir able to provide the requisite amount of water.

    SOCIAL INFRASTRUCTURE

    HOUSING: The nearest Town is Hazaribagh which offers decent socialinfrastructure as elaborated in section 3.6.1.

    EDUCATIONAL INSTITUTIONS: Hazaribagh boasts of number of goodeducational institutions. Please refer to section 3.6.2 of this document forfurther details.

    QUALITY MANPOWER: Jharkhand is a goldmine of technical andmanagerial manpower with BIT Mesra and Sindri, The Indian School ofMines at Dhanbad, The National Institute of Forging and FoundryTechnology and XLRI Jamshedpur situated here, not to mention theupcoming IIM and National Law School at Ranchi. The adjoiningpopulation also is very supportive of the industrial activities and is eagerlyawaiting the commencement of the Industrial Park.

    All the above make Barhi a very suitable site to set up industries in

    Engineering and Auto sector

    Food Processing & Agro based industries

    Mineral based sectors and chemicals

    White goods manufacturers

    Knowledge based sectorsAny other non polluting industries

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    The entities/parties eligible for participating in the Bidding Process, subject to fulfillmentof initial screening criteria as laid down in EoI document, and to be considered asBidders shall be any one of the following three types:

    a. Industrial Houses / Anchor Developers; or

    b. Developers ;

    A combination of a maximum of Four Business Entities (hereinafter referred to as theConsortium, and which shall, hereunder, also refer to & include a Joint Venture) whichcould be of either type a or b.

    The expression Business Entities, for the purpose of this clause, shall mean and referto corporate entities incorporated under the Companies Act, 1956 and the term Bidder,as an when used herein, would accordingly apply to all the above mentioned types.

    Industrial Houses / Anchor Developers:A. Role

    Setting up of an anchor unit in the Mega Industrial Growth center.

    Acting as magnet to attract ancillary industries.

    B. Eligibility CriteriaMinimum net worth: INR 500 MillionIndustrial groups that can set up large industrial anchor unit and attract theancillary units

    Developers:A. Role

    Developer will be responsible for planning, construction, financing, marketing andsubsequent Operation & maintenance.

    B. Eligibility CriteriaMinimum net worth: INR 500 MillionRelevant experience in at least two projects of cumulative value INR 500 Millionor single project of similar value.

    CHAPTER 5: ELIGIBLE BIDDERS