Home Programmes and Schemes Infrastructure Modified Industrial Infrastructure Upgradation Scheme (MIIUS)

Modified Industrial Infrastructure Upgradation Scheme (MIIUS)

Brief about the Scheme

Industrial Infrastructure Upgradation Scheme (IIUS) was launched in 2003 with the objective of enhancing industrial competitiveness of domestic industry by providing quality infrastructure through public private partnership in selected functional clusters/locations which have potential to become globally competitive. The Scheme was recast in February, 2009 on the basis of an independent evaluation to strengthen the implementation process. A modified version of IIUS viz ‘Modified Industrial Infrastructure Upgradation Scheme (MIIUS)’ was notified in July 2013. Under MIIUS, projects have been undertaken to upgrade infrastructure in existing Industrial Parks/ Estates/ Areas. Greenfield Projects have also been undertaken in backward areas and North Eastern Region (NER). Projects are being implemented by the State Implementing Agency (SIA) of the State Government. Central Grant upto 50% of the project cost with a ceiling of Rs.50.00 crore is provided under MIIUS with at least 25% contribution of State Implementing Agency and in case of North Eastern States, the central grant and minimum contribution of the SIA are up to 80% and 10% respectively. A two stage approval mechanism has been retained in the MIIUS. Final approval has been accorded to 24 projects with central grant amounting to Rs. 604.71 crore and 6 projects with central grant of Rs.129.91 crore are at ‘in-principle’ approval stage. Central assistance of Rs. 189.77 crore has been released to 22 projects as on 30.03.2017 under MIIUS.

  1. Detailed Write-up :

    1. Scheme Objectives : The key objective of the Modified IIUS is to enhance competitiveness of industry by providing quality infrastructure to catalyse and promote industrial growth, employment generation and technology upgradation.
    2. Coverage & Eligibility: Projects are sanctioned to upgrade infrastructure in Industrial Estates/Parks/Areas and Greenfield projects can also be supported in backward areas, including NER. However, priority is to be given to upgrade infrastructure in existing clusters over Greenfield projects.State Implementation Agencies (SIAs) such as SIDCs can apply for funding under the MIIUS.
    3. Budget Availability/ Utilization since last 5 years : (Rs. in crore)
    Year Plan Allocation
    Plan Expenditure Non-Plan Allocation Non-Plan Expenditure
    2012-13 115 112    
    2013-14 115 71.69    
    2014-15 115 115    
    2015-16 166/125 125    
    2016-17 152/115 114.76 (as on 30.03.2017)    
    1. Physical Progress against milestones till the end of previous year (i.e. cumulative till 2015-16) and during the year 2016-17 :
      till 2015-16
      in 2015-16
      Milestones for
      Achievement in
      2016-17 (30.03.2017)
      (i) Sanction of ‘Final Approval’ to ‘in-principle’ approved projects under MIIUS.

      (ii) Release of 1st installment to projects after ‘Final Approval’ under MIIUS.

      (iii) Disbursement of Budget Estimate of Rs. 166.00 crore during 2015-16 under IIUS/MIIUS.

      (i) 29 project proposals involving central grant of Rs. 721.87 crore have been sanctioned; ‘Final approval’ accorded to 23 projects involving central grant of Rs.561.38 crore and 6 projects involving central grant of Rs. 160.49 crore at ‘in-principle’ approval stage.

      (ii) Release of 1st installment of
      Rs. 110.00 crore has been made to 14 projects (including 2nd installment at Ujjaini project) under MIIUS.

      (iv) Provided R.E of Rs. 125.00 crore was disbursed under IIUS/MIIUS during 2015-16

      (i) Sanction of ‘Final approval’ to 6 ‘in-principle’ approved projects under MIIUS.

      (ii) Release of 1st & 2nd installment to projects under MIIUS.

      (iii) Disbursement of BE- 152.00 crore (R.E- Rs.115.00 crore) provided under MIIUS.

      (iv) Preparation of new IIUS- 2017 along with EFC memo.

      (i) Final approval has been accorded at Furniture Hub at Ernakulum, Kerala and one new project at Tarapur Industrial Area, Maharashtra has been also accorded ‘in-principle’ approval.

      (ii) 5 projects have been released 2nd installment and 8 projects have been released 1st installment.

      (iii) Rs. 114.76 crore has been disbursed as on 30.03.2017.

      (iii) Draft prepared and circulated to different Department/ Ministry on 23.03.2017.

    2. Salient Features in Bullet Form:

    • Central assistance upto 50% (for NER upto 80%) of project cost with ceiling of Rs. 50 crore, limiting sanction of 2 projects per State;
    • Projects implementation by State Implementation Agency (SIA) such as, State Industrial Development Corporation with their minimum mandatory contribution of 25% of the project cost and 10% in case of NER;
    • Projects have been sanctioned to upgrade infrastructure in Industrial Estates/ Parks/Areas. Greenfield projects could be supported in backward areas, including NER;
    • ‘Two Stage Approval Mechanism’ from the previous recast IIUS guidelines has been retained;
    • Release of GoI grant (3 Installments viz. 30:40:30) subject to bringing upfront contributions from other Stakeholders;
    • Central grant for Physical infrastructure is restricted to 25% of the central grant subject to a ceiling of Rs.12.5 crore;
    • ‘CETP’ component of the project is considered subject to ceiling of assistance of Rs.15 crore/CETP (maximum Rs.1.50 crore/MLD) and for ZLD treatment (Zero Discharge) maximum assistance of Rs.20 crore/CETP (Rs.4.50 crore/MLD).
    1. Implementing Agency

      State Implementation Agencies (SIAs) of State Government such as SIDCs (Small Industrial Development Corporation).

    2. Monitoring and Review Mechanism:

      Projects are monitored through on-line web-based monitoring systems wherein SIAs update project status on monthly basis. The Governing Board of SIAs are required to monitor at least once a quarter. Projects are reviewed by JS in-charge from time to time through review meetings. Further, Project Management Agency (PMA) also undertakes field visits before release of 2nd and 3rd installments of central grant.

    3. Finding of Evaluation, if any-

      MIIUS has not yet been evaluated.

  1. Scheme Guidelines (in Searchable PDF/ DOC ) as amended up to 31.12.2016:

  1. Circular/ Notifications/ Orders with file name indicating subject line in a self-explanatory manner :

    Scheme was notified on 18.07.2013 with file No. 10/1/2012-DBA-I (Part)- Modified Industrial Infrastructure Upgradation Scheme.