the goan I network
PANAJI
A number of industrial representatives met at Verna Industrial Estate to strongly oppose the Goa Industrial Development Corporation’s (GIDC) move to significantly increase lease rent and water charges.
In a press note issued, Verna Industries Association (VIA) further said that GIDC has increased lease rent and raw water charges without taking industries into confidence.
A number of prominent industrialists like Nitin Kunkolienkar (President of Synegra EMS), Damodar Kochkar (President of VIA), Rajesh Prabhu (General Secretary of VIA), Sandeep Prabhu (Treasurer of VIA) met and resolved not to pay the water bill at increased tariff until they heard from GIDC.
Kochkar said, “Lease rent is fixed as per the agreement between an industrialist and GIDC. As per the agreement, lease rent is increased by 10% every 3 years. However, GIDC has increased the lease rent by 10 times in the case of certain industries. Everyone is going to get badly affected by this decision.”
It was further revealed that Chief Minister, Manohar Parrikar had announced a water tariff of Rs 10 per cubic meter for raw water supply to the industrial estates during the inauguration of raw water supply network.
GIDC, however, has increased the raw water tariff to Rs 25/cubic meter, which is 150% increase. The industry representatives are also thinking of writing a letter to GIDC urging it to rethink its decision.
Sandip Bhandare, President, Goa Chamber of Commerce and Industry (GCCI), said, “We are going to have a board meeting of GCCI today (April 11). In the meeting, I will take the matter of increase in lease rent and water charges by GIDC to our board members to ask for their feedback. By virtue of being GCCI’s president, I am also the board member of GIDC. Once GCCI’s members give me suggestions, I can take those suggestions to GIDC as well.”
Bhandare continued, “One thing which has to be realised is that GIDC has to pay for maintenance and repair of industrial estates. Typically, industries sign a 95 year lease agreement with GIDC. Now, lease agreement is for 95 years, but GIDC has to repair and at times replace the infrastructure of industrial estates periodically, which is much sooner than 95 years. Therefore, GIDC has to recover its cost of creation and maintenance of infra like road, etc at industrial estates.”
Bhandare also said that increase in lease rent will be more in the case of industries, which took land on lease 2-3 years ago at a very low lease rent. He said, “There are some industries, which got land in industrial estates many years ago. At times, they pay Rs 5,000 per year lease rent. In such cases, increase in lease rent will be steep.”
