In a bid to enhance industrial investment and economic growth, the Odisha government has revised key planning and building standards. These amendments aim to simplify regulations and unlock economic opportunities in the state.
- New rules facilitate greater economic freedom for industries.
- Reforms expected to attract startups and global investors.
Significant Revisions to Planning and Building Standards
The Odisha government has taken a significant step by amending the Odisha Town Planning and Improvement Trust Planning and Building Standards Rules, 2021, as well as the Odisha Development Authorities Planning and Building Standards Rules, 2020. These changes, issued under Notification No. 467 and 468 by the Department of Housing and Urban Development, aim to eliminate regulatory bottlenecks hampering industrial development. The reforms align with the Economic Survey 2024-25, which highlights the urgent need for updating building norms to stimulate economic growth in the region.
Among the notable amendments is the increased flexibility in ground coverage and a reduction in parking and setback requirements. Factories will now be able to utilize over 70% of their land, effectively doubling their operational capacity. As stated by the Secretary of Housing and Urban Development, Mr. Rajesh Kumar, “These reforms are designed to empower industries by providing them the space they need for expansion and efficiency.”
Impacts on Small and Medium Enterprises (MSMEs)
The new regulations are particularly beneficial for micro, small, and medium enterprises (MSMEs), as they are expected to reduce land loss to building standards by 60%. This improvement allows for greater scalability, enabling MSMEs to expand their operations and create more job opportunities. Notably, the standardized setbacks for industrial buildings up to 15 meters in height will further streamline construction processes, making it easier for businesses to comply with the updated standards.
Furthermore, commercial structures along roads of 18 meters or wider will benefit from a new base Floor Area Ratio (FAR) of 5.00, facilitating greater building capacity. “By removing unnecessary constraints, we are paving the way for innovation and growth in the industrial sector,” noted Ms. Aditi Sharma, an economic analyst. “This proactive approach is likely to attract investments and foster entrepreneurship.”
Future Outlook for Industrial Development in Odisha
The reforms introduced by the Odisha government are set to have a transformative impact on the state’s industrial landscape. By optimizing land use and reducing regulatory challenges, Odisha aims to position itself as a leader in attracting entrepreneurs and global investors.
- Enhanced industrial capacity expected to drive job creation.
- Increased investment opportunities for startups.
- Potential for significant economic growth.
- Encouragement of sustainable industrial practices.
- Improved competitiveness in the regional market.
Ultimately, these reforms signal a progressive shift in policy that could redefine industrial development in Odisha. “The changes are a game-changer for the state, and we anticipate a surge in both domestic and international investments,” concluded economist Dr. Subhash Choudhury. “This is just the beginning of a new era for Odisha’s industrial sector.”
