Delhi launches policy for oxygen ‘self-reliance’

NEW DELHI: The Delhi government on Friday notified the “Medical oxygen production promotion policy of Delhi – 2021”, which aims to make Delhi self-reliant in production of medical oxygen to deal with healthcare crises more efficiently.
“The Kejriwal government is committed towards strengthening its healthcare infrastructure and has a vision to make Delhi self-reliant in times of crisis. The medical oxygen policy provides several incentives to the private sector to set up oxygen production plants and storage facilities,” Delhi’s health minister Satyendar Jain said.

Jain said the initiative will help Delhi avert the kind of oxygen crisis seen during the second Covid-19 wave. “The Delhi government is preparing to combat any future waves of Covid-19 on a war footing and is devoted towards ensuring that it is better equipped for any such crisis,” he said.
The policy aims to increase oxygen production by either setting up new manufacturing units or expanding the production in existing ones.
How medical oxygen policy aims to ramp up production and supply, boost storage facilities
It also seeks to facilitate storage and transportation of medical oxygen in Delhi.
The policy target includes setting up of liquid oxygen manufacturing facilities of minimum 50 MT capacity up to a total of 100 MT, non-captive oxygen generation plants (PSA/ASU technology) of 10 to 50 MT capacity up to a total of 100 MT and captive oxygen generation plants (PSA/ ASU) of minimum 500 litre per minute (LPM) capacity at hospitals and nursing homes with total capacity of 200 MT.
The other targets are getting cryogenic oxygen tankers of minimum carrying capacity of 10 MT up to a total capacity of 500 MT and setting up of oxygen storage tanks of minimum 10 MT capacity, up to a total capacity of 1,000 MT.
As per the policy, power subsidy would be provided to liquid oxygen generation plants and non-captive oxygen generation plants (PSA/ASU) at Rs 4 per unit consumed in the manufacturing process for the first five years from the date of commencement of commercial production. Full reimbursement of gross state goods and services tax (SGST) will be made to liquid oxygen generation plants and non-captive oxygen generation plants (PSA/ ASU) within a month of commissioning of the plant.
Applications for grant of subsidy/incentive shall be invited within a window of 15 days from the policy’s date of notification. In case the total capacity applied for till the cut-off date exceeds the target capacity, the selection will be made through draw of lots.
In case the total capacity applied for is less than the target capacity, all applications shall be considered, and subsequently, a 15-day window for applications shall be opened up every month (till six months) until the target capacity is achieved.