Guwahati, Dec 20 (PTI) The Assam cabinet approved a proposal for developing a township on 550 acres land of defunct Hindustan Paper Corp in Morigaon district near Guwahati which the state government had acquired in March, minister Jayanta Malla Baruah said.
Briefing the press following a cabinet meeting on Monday, he said the council of ministers also gave its nod to a proposal for according industry status to the tourism sector, paving the way for businesses to avail incentives provided under the state industrial policy.
Baruah said the land in Jagiroad will be developed as a satellite township of Guwahati.
“The township will be set up on 550 acres of land following discussions with the local people but the preliminary decision for a satellite town was taken at today’s meeting,” he said.
The Assam government on March 28 announced the acquisition of public sector undertaking (PSU) Hindustan Paper Corp’s (HPC) two defunct paper mills in the state for Rs 375 crore.
The Assam Industrial Development Corporation (AIDC) successfully bid for the units at Jagiroad in Morigaon and Panchgram in Hailakandi.
HPC’s unit in Panchgram stopped functioning on October 20, 2015, while the mill in Jagiroad stopped operations on March 31, 2017. No salary was paid to the staff of the two units since January and March of 2017, respectively.
On September 30 last year, the Assam cabinet had approved a Rs 700-crore relief package for the two paper mills. The major portion of this amount would be spent to pay the dues of the employees, while some would be used to pay bills such as electricity charges, the government had then said.
The total land area of both the paper mills is about 1,550 acres.
As the cabinet granted industry status to the tourism sector, heritage hotels, bungalows, camping sites, restaurants, amusement parks, ropeways and adventure parks will be able to enjoy enhanced benefits, said Baruah, the tourism minister.
“The industry status will lead to a paradigm shift in the tourism-based economy. It will bring in ample private investments as the new status will facilitate incentives, subsidies and reimbursements, among others, creating new employment opportunities,” he said.
Earlier hotels and resorts above three-star category and river cruises were included under the thrust areas of Assam Industrial Policy, he said.
The cabinet also decided to repeal nine laws that currently have no relevance and are obsolete.
“The decision was taken in the interest of ease of doing business and improving ease of living,” Baruah said.
The cabinet also approved two new bills, which will be introduced in the assembly session that will begin on Tuesday.
The Assam Shops and Establishment (Amendment) Bill, 2022 aims at eliminating licensing bureaucracy and improving working conditions, creating more employment opportunities and providing a favorable environment for doing business, the minister said.
The Assam Transport Workers’ Social Security Scheme, 2022 will provide social security to motor transport workers against injury, physical disability and major diseases, and educational help to their children, among others, he said.