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Maharashtra Govt To Offer 100-150% Refund for Companies Building Oxygen Plants in the State

Maharashtra Govt To Offer 100-150% Refund for Companies Building Oxygen Plants in the State

The Maharashtra Government has announced that it will refund 100 to 150 per cent of the investment made by companies towards building oxygen generating plants. This will apply to plants coming up in the next few months. State Minister for Industries & Mining, Subhash Desai provided the details on Wednesday.

Moreover, the incentive will also apply to existing oxygen plants that are planning an expansion, and/or for erecting tanks, filling/refilling processes, and so on. This comes as the State Cabinet approved its ambitious ‘Mission Oxygen Independence’ initiative to boost the launch of new oxygen plants in the state. 

This campaign has a goal of getting investments across 14 districts of the state that don’t have an oxygen generation plant as of yet. This is part of the state’s preparedness measures for a possible third wave of the coronavirus

“At present, we have a deficit of liquid medical oxygen and we are dependent on other states for our needs. We want to change that and for this, the government will return the full investment by refunding the State Goods and Services (SGST) tax. We are also offering exemptions in stamp duty, electricity duty, besides a concession in power tariff of Rs 2 per unit for the next five years,” Desai said.

Also readBMC Denies Allegations Of Overspending For Oxygen Plants In Mumbai

The 150 per cent refund/subsidy will be provided for oxygen plants set up in districts like Bhandara, Gondia, Solapur, and a few others among the 14 districts currently without a single oxygen generation plant. 

Desai added, “We have guaranteed assurance for setting up plants for an additional 800 metric tonnes. We want to increase it to 2,000 metric tonnes. While we want to encourage expansion of existing plants since the companies already have the technical knowhow, we want new plants in districts where there is a critical gap.”

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Given that the construction of new oxygen plants could take time, the state is taking measures to make sure land acquisition and approvals are offered quickly to interested parties. The state has also ensured that all requisite clearances will be granted within 15 days of receiving the application from an interested company.

Although the state has a requirement of up to 1,800 metric tonnes (MT) of oxygen per day, it is currently capable of offering up to 1,300 MT daily.  As the Mission Oxygen Independence campaign takes shape, the Maharashtra Government is looking to generate at least 2,300 MT of oxygen per day. 

Also readCOVID-19 Second Wave: How You Can Improve Oxygen Levels At Home

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