Govt new PCPIR policy to boost petrochemical sector

New Delhi, May 8 (UNI) To give a fillip to the petrochemical sector, the Centre today launched the Petroleum, Chemical and Petrochemical Investment Regions (PCPIR) policy which would entail an investment of Rs 35,000-Rs 40,000 crore per region.

Promulgating the policy, Union Minister for Chemicals, Fertilizers and Steel Ram Vilas Paswan said the Centre will invest Rs 10,000-15,000 crore for upgrading the infrastructure in the PCPIRs and will ensure external infrastructure linkages to these regions, including rail, road (NH), ports, airports and telecom, in a timebound manner.

The PCPIR policy will help in reaping the benefits of integrated petroleum, chemical and petroluem complexes. These regions will provide excellent infrastructure for the sector to be globally competitive, Mr Paswan added.

The PCPIR will be a delineated investment region with an area of 250 square kilometres and will be a combination of production units, public utilities, logistics, environmental protection mechanisms, residential areas and administrative services.

The minimum processing area for the PCPIR will be 40 per cent of the total designated area (100 square kilometres).

Talking about the prospect of this sector, Mr Paswan said the petrochemical sector is promising and contributes to over 20 per cent of the total chemical sectors output.

The per capita consumption of plastic and synthetic fibre in the country is lower than the world average. By boosting consumption this sector will see rapid growth in coming years, he added.

When asked whether these regions would enjoy any tax benefits, Mr Paswan said it will not come under under the tax benefit zone.

However, the PCPIR may include one or more Special Economic Zones (SEZ), industrial parks, free trade and warehousing zones, export oriented units (EoUs) or growth centres and all the benefits available under the relevant legislation or policy will continue to remain available to the said zones, Mr Paswan added.

Regarding aquisition of land for the PCPIR, Mr Paswan said ''It's between the private developers and the land owners to deal with the issue.'' MORE UNI PM DKS PM1725