MCD Reforms: Simplified Licensing Sparks Industrial Growth in Delhi

The Municipal Corporation of Delhi (MCD) has introduced new factory licensing reforms. These changes simplify the process by allowing a single license for factories on multiple floors with a unified GST number. The policy also enables tenants to obtain licenses, potentially benefiting over 25,000 industrial units.

The Municipal Corporation of Delhi (MCD) has revamped its factory licensing policy to provide significant relief to factory owners, according to an official announcement made on Saturday.

This strategic move is part of two principal reforms sanctioned by MCD Commissioner Ashwani Kumar, aimed at simplifying the factory licensing system and fostering a business-friendly environment.

Under the newly established guidelines, factory operators utilizing multiple floors within a building will need a singular factory license, provided their operations are interconnected and tied to a single GST number. Should different GST numbers or proprietors be linked to each floor, separate licenses will be mandatory.

Compliance with the new policy ensures adherence to building regulations, fire safety standards, and environmental directives, the official statement further disclosed.

In an additional progression, the MCD has consented to a longstanding request, now permitting factory licenses for tenants and occupiers of industrial plots under the relocation scheme in designated areas such as Narela, Bawana, and Badli.

Historically, these licenses were unattainable due to leasing constraints. The new guidelines require compliance with environmental and safety norms and the submission of an affidavit confirming the non-operation of the previous industrial location.

This vital reform is expected to advantage over 25,000 industrial units, enhancing their accessibility to bank financing and governmental plans, consequently invigorating the city's industrial sector.

(With inputs from agencies.)