September 5: The government has decided to reimburse three different kinds of industries for developing infrastructures including access road leading to the company’s plant. Star-rated hotels, cement industries and iron industries are entitled to receive 75 percent reimbursement for constructing access roads and transmission lines, according to a new work procedure prepared by the government.

The government has prepared a work procedure that encourages the investors themselves to prepare infrastructures like access road, water pipelines, sewage facility among other basic infrastructures.

The Ministry of Industry, Commerce and Supplies is preparing to implement the provision in the current fiscal year. It was include in the budget of the last fiscal year.

The ministry has already issued the Industrial Infrastructure Development and Reimbursement Work Procedure 2079. The ministry has urged the industrialists to submit their proposals within mid-November assuring them to reimburse the amount spent on infrastructure development.

The budget of last fiscal year mentions that the investors of star hotels, cement and iron industries will get refunds up to 75 percent if they construct access roads and transmission lines to their respective company.

Joint Secretary Chandrakala Poudel informed that three cement industries submitted proposals in this regard during the last fiscal year. However, the government could not reimburse the industries last year.

“We will reimburse those industries as well as new ones this year,” said Poudel, adding that this facility will be provided only to the hotel industry, cement industry and iron industry right now.

“It took long time for the government to make the access roads to the industries,” said Poudel, adding, “Therefore, we decided to encourage the investors to prepare these infrastructures themselves as it will reduce the time required for construction and the industries can come into operation soon.”

According to Joint Secretary Poudel, the government will provide a maximum of Rs 100 million as reimbursement.

The industries submitting proposals to avail reimbursement facility should mention the details including the production capacity of the industry, employment opportunity, annual turnover and also justify the need to construct the industrial infrastructure along with feasibility study report, environment impact assessment report, preliminary engineering map, implementation plan, timeframe required for completion of infrastructure, grid connection agreement with Nepal Electricity Authority and the beneficiaries of the industries.

Chairman of Nepal Cement Producers Association Tara Prasad Pokharel welcomed the belated decision to implement the work procedure which should have been implemented last year.

“The government’s tender for infrastructure development takes a long time. The work procedure on the other hand will expedite the process,” he said.