Maharashtra government to compile list of 'sunset', 'sunrise' industries

In a major departure from convention, the state government is planning to compile a list of "sunset" and "sunrise" industries to which incentives will be channelised accordingly. These sunset industries, which may be identified under the new industrial policy, will cover sectors which have reached a saturation point in the state or are polluting in nature.

"In the new industrial policy that is being worked on, we may draw up a list of sunrise and sunset industries. The sunset category will include sectors that are past their prime, corner a major chunk of incentives, cause pollution, have reached a saturation point in the state, and those which will come to Maharashtra even if they are not given incentives," explained a senior official from the state industries department.

The suggestion about this was made during stakeholder consultations organised by the department, said sources.

The Maharashtra government is formulating a new industries policy which officials said was likely to be unveiled early next year. The previous policy, which came into force on March 31, 2013, has been extended for six months or till the time a new policy was announced.

The official said this sunset category of industries could get lesser or no fiscal and non-fiscal incentives in the package scheme of incentives (PSI), with these benefits being channelised to sunrise sectors.

Another official said they were looking at attracting investments in sectors like artificial intelligence (AI), robotics, pharma and manufacturing of electric vehicles, for which sectoral policies have been announced.

"Though the suggestion for identifying sunrise and sunset sectors has come forth, the government has to take well-rounded decisions. For instance, some industries that are polluting in nature, may be major employment generators and contributors to the economy. The government must facilitate mitigation mechanisms like common effluent treatment plants (CETPs) instead of disincentivising these sectors through a sunset category," he explained.

According to the Economic Survey of Maharashtra 2017-18, from August 1991 to December 2017, a total of 19,826 industrial proposals with an investment of Rs 11,89,815 crore were approved. Of this, 8,974 projects (45.3%) with an investment of Rs 2,92,252 crore (24.6%) were commissioned and generated employment of about 12.67 lakh.