'Land rate for industries not to exceed 20% of value'

The cost of land for new industries will not be 20% more than the tentative value, said Karnataka Industrial Areas Development Board (KIADB) Chief Executive Officer N Shivashankar on Tuesday.

There are many cases in the state, especially around Bengaluru, where industries are facing hurdles as the land cost was not fixed. So the board decided to fix the cost and accordingly, the land cost in case of new industries will not be 20% more than the tentative cost. This will include board, water and infrastructure charges, he said. He was speaking to members of various industries association from across Karnataka at a discussion organised by the Federation of Karnataka Chamber of Commerce and Industry (FKCCI) in the city.

The process of levying charges for all the new industries will be completed in six months. However, in the case of old industries, the cost is being worked out, and the exercise will be completed in two years. This will help the industries procure sale deed and other documents, Shivashankar added.

The demand for land around Bengaluru is increasing, but there is no land to give. Many industries are also not showing interest due to lack of water supply. Same is the case inTumakuru, the officer said.

The board is working to supply water to five industrial hubs in East Bengaluru up to Kolar, which include Veemgal, Mallur, Narasapura and Hoskotte. At present 5mld treated water from Hemavathi is being supplied to Vasanthapura in Tumakuru. A plan is underway to set up a 30mld sewage treatment plant (STP) in Tumakuru. Work is also on to draw water from Kolar to Gouribidnur. At present, around 40mld treated water from Bengaluru is supplied to Aerospace in Devanahalli, after the international airport. Work on increasing supply is also being planned, the officer said.

Shivashankar said the board and the state government were working on to create a land bank by January 2020, before the Global Investors Meet.

So far 145 industries had been set up in 146 acres of land across Karnataka. The board is in search of land in Dobaspet, Veemgal, Gauribidanur, Harohalli and Hoskotte, Shivashankar said.