CHANDIGARH, June 26 — In a major policy shift aimed at revitalizing industrial estates and unlocking revenue potential, the Punjab Cabinet on Thursday approved two long-pending demands of industrialists: the conversion of industrial plots from leasehold to freehold, and permission to change land use for broader commercial purposes.
The decisions were taken at a meeting of the state council of ministers chaired by Chief Minister Bhagwant Mann.
Addressing the media after the meeting, New and Renewable Energy Minister Aman Arora, accompanied by Industry Minister Tarunpreet Singh Sond, said the policy changes would give a substantial boost to the state’s economy.
“Industrialists have been raising these demands for a long time. By approving these, we are not only promoting economic activity in our industrial estates but also ensuring a revenue stream of at least ₹1,000 crore for the state from leasehold-to-freehold conversions alone,” Arora said.
Under the new policy, industrial plots measuring between 1,000 and 4,000 square yards can now be converted for alternative uses. Owners will be allowed to set up commercial establishments such as hotels, convention centres, hospitals and hostels on such plots.
Industry players are expected to respond positively to the move, which officials say will unlock underutilized land, diversify usage, and make it easier for businesses to operate without the constraints of outdated zoning.
The cabinet’s decision marks a significant step in Punjab’s push to modernize its industrial policy and attract greater investment into its commercial infrastructure.
