Operational Guidelines (English) for Part-V (Mining Sector Reforms) of the Scheme for Special Assistance to States for Capital Investment 2025-26

F. No. ES-02/5/2025-ES Government of India Ministry of Mines (ES Wing) KRKKK Room 315, D-Wing, Shastri Bhawan New Delhi, 16th June, 2025 To 1. Secretary in-charge, Finance Department of States (as per list) 2. Secretary in-charge, Mines Department of States (as per list) Subject: Operational Guidelines for Part-V (Mining Sector Reforms) of the Scheme for Special Assistance to States for Capital Investment 2025-26— regarding. Sir/ Ma’am, Kindly refer to the subject mentioned above. In pursuance to para 5 of Part-V (Mining Sector Reforms) of the scheme guidelines for reform-based parts of the ‘Scheme for Special Assistance to States for Capital Investment 2025-26’ (SASCI 2025-26) issued by the Department of Expenditure, Ministry of Finance, Govt. of India vide its letter no. 44(1)/PF-S/2025-26(CAPEX) dated 22.05.2025, the operational guidelines for submission of application(s) to avail incentive money under Part-V (Mining Sector Reforms) of SASCI 2025-26 are enclosed. a. All the States are requested to refer to these guidelines while submitting their proposals. a. This issues with the approval of the Competent Authority. Encl: As above (Sukhdeep Singh) Director (ES) E-mail: sukhdeep.singh1 @gov.in Ph: 91-11-23073046 Copy to: Additional Secretary, Public Finance-States Division, Department of Expenditure, Ministry of FinanceF. No. ES-02/5/2025-ES Government of India Ministry of Mines (ES Wing) Operational guidelines for Part-V (Mining Sector Reforms) of the ‘Scheme for Special Assistance to States for Capital Investment 2025-26’ (SASCI 2025-26) 1. Objective of Part-V (Mining Sector Reforms) of SASCI 2025-26: The objective is to facilitate increase in mineral production, increase in revenue collected by States from mining and incentivize reforms. 2. Outlay: An amount of 5,000 crore is earmarked for this part of the scheme to provide incentive to the States for carrying out the following components of mining sector reforms: i. Component!: Minor Mineral Reforms ii. Component Il: Major Mineral Reform iii. . Component III: State Mining Readiness Index (SMRI)-based Reforms <s Allocation of budget across the three components of mining sector reforms: The funds are divided across the three components of mining sector reforms as under: Component !: Minor Mineral Reforms— 22,000 crore Component II: Major Mineral Reform— %2,100 crore Component Ill: State Mining Readiness Index-based Reforms— 2900 crore 4. Eligibility of States for incentive: 4.1 Completion of the specified reform actions for components | and Il. For component Ill, the top three ranking States in each of the three categories viz. A, B and C as per the SMRI are eligible. 4.2 Submission of completed applications in the prescribed formats before the stipulated deadline. 4.3 Non-imposition of State level taxes on mining sector in respect of major minerals by the State is an eligibility condition. For the purpose of this incentive scheme, State tax would mean tax imposed by a State on mining sector in any form and known by any name including but not limited to mineral bearing land or mineral rights tax, environment/ infrastructure cess, etc. A declaration to the effect that no State level taxes on mining sector have been imposed will have to be provided by the State government in the format at Annex-1. (/; ’4.4 For Component | (Minor Mineral Reforms): 4.4.1 Criteria: A State must complete at least four of the following reform actions as per details given below: # Reform parameter Brief description of reform 1 State has a minor mineralA policy enunciated by the State to conserve, develop policy and regulate minor minerals covering various aspects, including exploration, mineral development, promotion of mining investment, use of technology, etc. State has establishedA Trust set up by the State to which money accrues State Mineral Explorationthrough a cess on royalty/ rent on minor minerals, and Trust (SMET) for fundingfrom which money is spent on survey and exploration exploration activity foractivity of minor minerals in the State. minor minerals JjState has adopted State has framed rules and auctioned mineral blocks auction mode offor at least 3 minor minerals. allocation of minor mineral blocks State has implemented starState has framed rules and adopted a framework for rating system for minorstar rating of minor mineral mines. The rules are minerals intended to inter-alia encourage sustainable mining practices by mine owners and rate their performance in environmental, social and governance (ESG) aspects. The star rating framework may inter-alia include aspects such as systematic and sustainable mining (operational efficiency, reject dump management, dust suppression, etc.); environment protection and water conservation (plantation, recycled water use, etc.); health safety and worker welfare (personal protection equipment, drinking water and sanitation, occupational disease screening, etc.) Star rating of minor mineral mines will have to be undertaken in FY 2025-26. |State has mine closureState has framed rules which provide for mine closure provisions and monitoringplan, both progressive and final, for minor minerals, mechanism for = minorwith financial assurance in the form of security or minerals guarantee by mine owner to ensure carrying out of protective, reclamation and rehabilitation measures in the said plan(s). State has also created a budget head to undertake spending on mine closure activity. 6.|State has undertaken|Survey, mapping and exploration by the State has survey, mapping andijresulted in technical/ feasibility’ survey reports, geological maps, which estimate area in the State with (“Heexploration of at least 3 minorjgeological potential and also estimate resources and minerals in the entire State {reserves of at least 3 minor minerals. 7.\State has issued State DMF\On the basis of the revised PMKKKY guidelines issued Rules based on the revisediby the Ministry of Mines on 15.01.2024, State has PMKKKY guidelines issued DMF rules covering important aspects such as CAG audit, State Level Monitoring Committee, directly and indirectly affected areas, grievance redressal mechanism, etc. Note: Minor minerals would be as defined in sec. 3 (e) of The Mines and Minerals (Development and Regulation) Act, 1957. 4.4.2 Incentive: 7100 crore per State on ‘First Come-First Served’ basis 4.4.3 Format for submission of application: As at Annex-2. 4.4.4 Documentary evidence: As per the indicative list in respect of each parameter at Annex-3. 4.5 For Component Il (Major Minerals Reform): 4.5.1 Criteria: A State has operationalized (i.e. commencement of production and dispatch) during FY 2025-26 (up to Dec 2025) at least 10% of the major mineral blocks which were successfully auctioned till 31.03.2025. The State-wise target of number of major mineral blocks to be operationalized to be eligible for incentives is given at Annex-4. 4.5.2 Incentive: 2300 crore per State on ‘First Come-First Served’ basis 4.5.3 Format for submission of application: As at Annex-5. 4.5.4 Documentary evidence: The data pertaining to States for fulfilment of this reform parameter will be verified through the Ministry of Mines’ portal on mines operationalization. 4.6. For Component Ill (SMRI-based Reforms): 4.6.1 Criteria: Top three ranked States in each of the three categories of States (Group A, B and C) in the SMRI, which will be released by the Ministry of Mines. 4.6.2 Incentive: =100 crore per State 46.3 Format for submission of application: As at Annex-6. @5. Submission of the applications: 5.1 A State shall apply for incentive money in the prescribed formats for the components, as per eligibility, at any time after issuance of these guidelines but not later than the deadlines indicated in para 5.3 below. It shall submit for each component separately. 5.2 All completed applications along with documentary evidence (in soft copy) as applicable must be sent to Director (ES), Ministry of Mines, New Delhi, via email to:ecos-mines@gov.in. 5.3 Deadlines for application submission: The last date for the State government for submission of application with supporting documents to the Ministry of Mines is as indicated below, beyond which no application will be processed: Component- | (Minor Mineral Reforms) 21.10.2025 Component- II (Major Mineral Reform) 31.12.2025 Component- III (State Mining Readiness Index-based Reforms)|31.10.2025 6. Review of applications by the Ministry of Mines: The Ministry of Mines will review all the applications submitted by the States through an internal committee, to be constituted for this purpose. This committee will examine all applications as per criteria, and its recommendations after obtaining approval of the competent authority in the Ministry of Mines, will be sent to the Department of Expenditure, Ministry of - Finance, for release of funds. KRKKKK (He)Annex-l Format for declaration of non-imposition of State level tax on mining sector (in respect of major minerals) by the State Government To The Secretary, Ministry of Mines Government of India, New Delhi Sir, It is to certify that no State level tax on mining sector in respect of major minerals has been imposed in the State of (name of State) as per para 4.3 of the Operational Guidelines for Part-V (Mining Sector Reforms) of SASCI 2025-26 issued vide Ministry of Mines letter no. ES-02/5/2025-ES dated 16.06.2025. Signature: Signature: Designation: Designation: Seal: Seal: (Secretary in-charge, (Secretary in-charge, Finance Department) Mines Department) State Government of (name of State) (5/r)Annex-2 Format for applying for incentive under Component | (Minor Mineral Reforms) of Part-V (Mining Sector Reforms) of SASCI 2025-26 Name of the State: # Parameter of reform (Yes/ Documentary Details of No) Evidence enclosed documentary (Yes/ No) evidence enclosed —_ State has a minor mineral policy 2\|State has established State Mineral Exploration Trust (SMET) for funding exploration activity for minor minerals |State has adopted auction mode of allocation of minor mineral blocks State has implemented star rating system for minor minerals |\State has mine closure provisions and monitoring mechanism _ for minor minerals JState has undertaken survey, mapping and exploration of at least 3 minor minerals in the entire State .|State has issued State DMF Rules based on the revised PMKKKY guidelines Note: Documentary Evidence to be attached. Signature: Signature: Designation: Designation: Seal: Seal: (Secretary in-charge, (Secretary in-charge, Finance Department) Mines Department) State Government of (name of State) (Ye)Annex-3 Indicative List of Documentary Evidence for Component | (Minor Mineral Reforms) Reform Parameter Suggested documentary evidence Minor Mineral Policy ¢ Gazette notification of the policy / circular ° Copy of policy document ¢ URL of official State website where published State Mineral Exploration Trust ° Gazette notification of rules (SMET) ° Trust formation order ° Trust deed/bylaws ¢ Proof of fund allocation/utilization Auction-based Allocation of ¢ Gazette notification of relevant rules Minor Mineral blocks e Auction notifications ¢ Auction results summary Implementation of Star Rating * Notification of rule adopting star rating for minor minerals ¢ Framework of the star rating system adopted ¢ Declaration of star rating awards for FY 2025-26 Mine Closure Provisions and ¢ Gazette notification of rules mandating mine Monitoring closure ¢ Evidence to show opening of budget head by the State for undertaking mine closure activity « Sample closure plans ¢ Evidence of enforcement (e.g. closure reports, inspections) State has undertaken survey, ¢ Summary report on survey, mapping and mapping and exploration of at exploration least 3 minor minerals in the ¢ Technical reports or feasibility studies prepared by entire State State agencies or empanelled experts ¢ Survey reports and geological maps covering the entire state — showing area estimate in the State with geological potential and also estimates of resources and reserves of at least 3 minor minerals State has issued State DMF e Gazette notification of revised State DMF rules Rules based on the revised ¢ Copy of revised State DMF rules PMKKKY guidelines ¢ URL of official State website where published Zr)Annex-4 State-wise targets for operationalization of major mineral blocks # = # |State Total Critical Total blocks 10% of |Minimum no. of blocks mineral auctioned blocks blocks to be auctioned| blocks _ |till 31.03.2025} auctioned | operationalized by State till] auctioned till to avail 31.03.2025] by Central 31.03.2025 incentive Govt. till 31.03.2025 (a) (b) (c) (d) (e) (f) = (g) 10% of (e) 1. {Andhra 25 1 26 2.6 3 Pradesh 2. |Arunachal - 4 4 0.4 1 Pradesh 3. |IAssam 5 - 5 0.5 1 4. {Bihar 1 S 4 0.4 4 5. |Chhattisgarh 42 1 43 4.3 S 6. |Gujarat 25 - 25 2:9 3 7. Jharkhand 10 1 11 1.1 2 8. |Karnataka 45 2 47 4.7 5 9. |Madhya 99 3 102 10.2 11 Pradesh 10. |Maharashtra 40 1 41 4.1 5 11. |Odisha 48 3 51 5.1 6 12. |Rajasthan 88 - 88 8.8 9 13. }Tamil Nadu - 2 2 0.2 1 14. {Telangana 2 - 2 0.2 1 15. jUttar 7 3 10 1 1 Pradesh 16. |Goa 12 - 12 1.2 2 Total 449 24 473 “ 57 Note 1: Operationalization means commencement of production and dispatch. 2. Where round off required, it is always to the next higher positive integer. (3pAnnex-5 Format for applying for incentive under Component II (Major Mineral Reform) of Part-V (Mining Sector Reforms) of SASCI 2025-26 Name of the State: SI. |Name of mine operationalized$ in FY [Date of commencement of production No. {2025-26 and dispatch $Operationalized means commencement of production and dispatch Signature: Signature: Designation: Designation: Seal: Seal: (Secretary in-charge, (Secretary in-charge, Finance Department) Mines Department) State Government of (name of State) (Ss)Annex-6 Format for applying for incentive under Component III (SMRI-based Reforms) of Part-V (Mining Sector Reforms) of SASCI 2025-26 Name of the State Group in the SMRI Rank in the Group Willingness to avail of the incentive amount (Yes/ No) Signature: Signature: Designation: Designation: Seal: Seal: (Secretary in-charge, (Secretary in-charge, Finance Department) Mines Department) State Government of (name of State)F. No. 44(1)/PF-S/2025-26 (CAPEX) Government of India Ministry of Finance Department of Expenditure Public Finance-States Division KRKKKEK North Block, New Delhi Dated the 22" May, 2025 To The Chief Secretary, All State Governments/ UT Administrations, (As per list attached) Subject: Scheme Guidelines for reform-based parts of the ‘Scheme for Special Assistance to States for Capital Investment 2025-26’ Madam/Sir, In continuation with the guidelines for the Scheme for Special Assistance to States for Capital Investment 2025-26 issued vide letter of even number dated 7" April, 2025, the following guidelines are issued for various reform-based parts of the scheme: Part-V (Mining Sector Reforms): 1. Objective: State governments have an important role to play in the development of the country’s mining sector. Objective of this part of the Scheme is to facilitate increase in mineral production, increase in revenue collection by states from mining and incentivize reforms. 2. Outlay: An amount of Rs. 5,000 Crore, is earmarked for this part of the scheme to provide incentive to the States for carrying out the following mining sector reforms. i. Minor Mineral Reforms ii. Major Mineral Reforms iii. | State Mining Readiness Index-based Reforms 2.1 | Component- | (Minor Mineral Reforms): An amount of Rs. 2,000 crore is earmarked for this component for carrying out reform actions in the domain of minor minerals as per details given in Table-1 below: Table - 1: Reform Parameters for Minor Mineral Reforms S. | Reform Parameter Eligibility Incentive N. (a) | State has a minor mineral policy Rs. 100 Crore on (b) | State has established State Mineral ‘First Come-First Exploration Trust (SMET) for funding} At least four | Served’ basis exploration activity for minor minerals reform actions (c) |State has adopted auction mode of | completed allocation of minor mineral blocks Page |1(d) | State has implemented star rating system for minor minerals (e) | State has mine closure provisions and monitoring mechanism for minor minerals (f) | State has undertaken survey, mapping and exploration of at least 3 minor minerals in the entire State (g) | State has issued State DMF Rules based on the revised PMKKKY guidelines 2.2. Component- 2 (Major Mineral Reforms): An amount of Rs. 2,100 crore is earmarked for this component. The state governments will be eligible to receive an amount of Rs 300 Crore as incentive if the State has operationalized at least 10% of the major mineral blocks which were successfully auctioned till 31.03.2025. 2.3 Component- 3 (State Mining Readiness Index-based Reforms): An amount of Rs. 900 crore is earmarked for this component for allocation to those States which secure the top three ranks in each of the three categories of States (Group A, B and C) in the State Mining Readiness Index. Each of such States will be eligible to receive an amount of Rs. 100 Crore. 3. The Ministry of Mines is the nodal ministry for this part of the scheme and will examine and verify the claimed reforms and determine eligibility of a state to receive incentive under this part. Thereafter, it will recommend release of funds to the Department of Expenditure, Union Ministry of Finance. The last date for the State government for submission of application with supporting documents to the Ministry of Mines is as indicated below, beyond which no application will be processed: Component- | (Minor Mineral Reforms) 31.10.2025 Component- 2 (Major Mineral Reforms) 31.12.2025 Component- 3 (State Mining Readiness Index-based Reforms) 31.10.2025 4. Funds under each component of this Part of the Scheme will be released on receipt of completed application, and fulfilment of eligible reform actions. However, the incentive money will be available to only those States, which have not imposed any State level taxes on mining sector. 5. The Union Ministry of Mines may issue detailed operational guidelines for this part of the Scheme. 6. Funds released under this part of the Scheme should be spent on capital investment projects for building infrastructure especially in mining districts of the State. State should submit list of projects online through PFMS in the format prescribed in Annexure-2 of the guidelines of SASCI 2025-26 issued on 7" April, 2025. The funds released can be spent only till 31.03.2026. Part-VI: (Scrapping of Old Vehicles and Electronic Enforcement of Road Safe! This part of the scheme has two sub-parts: Part VI A (Scrapping of Old Vehicles): Page | 21. Objectives: The Ministry of Road Transport & Highways (MoRTH) has launched the Voluntary Vehicle- Fleet Modernization Program (V-VMP), also known as ‘Vehicle Scrapping Policy’. This policy aims to reduce vehicular pollution by phasing out old, unfit, and polluting vehicles. The objective of this Part of the Scheme is to promote voluntary scrapping of unfit and polluting commercial and passenger vehicles based on their fitness and to incentivize better roads, passenger, and vehicular safety and reduction in pollution. 2. Financial Allocation: An amount of Rs. 2,000 Crore is earmarked for this Part of the Scheme which will be available to State Governments on ‘First-Come-First-Served’ basis. 3. Key Actions required from State Governments: 1. To promote the ‘Vehicle Scrapping Policy’, States are required to scrap Government-owned vehicles older than 15 years and set up a network of Registered Vehicle Scrapping Facilities (RVSFs) and Automated Testing Stations (ATSs). 2. MoRTH may issue detailed procedural/operational guidelines, if needed. States must achieve the following milestones to be eligible for incentives under this Part of the Scheme: 4.1. Initiative-A: Facilitate Vehicle Scrapping at Registered Vehicle Scrapping Facilities (RVSFs): 4.1.1, Milestone 1: 1. States will be eligible to receive incentive, as per details given in Table 2, for notification and implementation of additional Motor Vehicle (MV) tax concession on Vahan in-line with MoRTH notification vide GSR 200 (E) dt. 26.03.2025. Table 2: Admissible Amount of Incentive under Initiative A, Milestone 1, Part VI Category 1 2 3 4 Admissible 200 100 50 10 Amount (Rs. in crore) List of states 1. Karnataka | 1. West Bengal} 1. Jharkhand 1, Arunachal 2. Uttar 2. Haryana 2. Uttarakhand Pradesh Pradesh 3. Odisha 3. Himachal 2. Manipur 3. Madhya 4. Gujarat Pradesh 3. Meghalaya Pradesh 5. Maharashtra | 4. Chhattisgarh | 4. Mizoram 4. Kerala 6. Rajasthan 5. Assam 5. Nagaland 5. Tamil Nadu | 7. Telangana 6. Bihar 6. Sikkim 6. Punjab 7. Goa 7. Tripura 7. Andhra 8. Delhi 8. Jammu & Pradesh 9. Puducherry Kashmir Page |32. States/UTs will be eligible to receive a percentage of the admissible amount of incentive, as shown in Table 2, as per the percentages of MV Tax concession provided by the States for transport vehicles and non-transport vehicles as mentioned in Table 3 below. Table 3: Percentages of Incentive amount under Initiative A, Milestone 1, Part VI MV tax MV tax concession % for | % for concession % for| % for for . . . . for Non- . . . . Transport’”" notification | implementation Transport notification | implementation Vehicles Vehicles 50% 20% 30% 50% 20% 30% Soop | 10% 15% own9 and <) 10% 15% 15% 0% 0% 25% 0% 0% 4.1.2. Milestone 2: 1. All Government owned vehicles older than 15 years must be scrapped at RVSFs, and States will be eligible for an incentive amount as per slabs mentioned in Table 4 for scrapping Government owned vehicles in FY2025-26 in the RVSFs established in the respective states. For this purpose, vehicles registered outside a State but scrapped in a RVSF facility in the State would be counted towards the State in which the vehicle is actually scrapped. Vehicles scrapped before 01.04.2025 will not be eligible for incentive. The proof of scrapping in the form of auction data from MSTC / GeM / CoD generated through vscrap portal shall be used to calculate the eligible incentive amount. Table 4: Incentive amount for scrapping Government owned vehicles in 2025-26 Under Initiative A, Milestone 2, Part VI Slabs for number of Government vehicles | Incentive amount per Government scrapped at RVSFs of the State vehicle as per slab (in Rupees) Up to 500 50,000 501 — 1,000 60,000 1,001 — 2,000 75,000 2,001 — 4,000 90,000 4,001 — 6,000 120,000 Above 6,000 vehicles 150,000 Illustrative example: Ifa state scraps 3,000 Government vehicles in the RVSFs established in the State, then the eligible incentive is Rs. 50,000 per vehicle for first 500 vehicles, Rs. 60,000 per vehicle for the next 500 vehicles, Rs. 75,000 per vehiclefor the next 1000 vehicles, and Rs. 90,000 per vehicle for the next 1000, which amounts to a total incentive of Rs. 22 Crores. 2. States will be further eligible for an incentive amount as per slabs mentioned in Table 5 for scrapping non-Government owned vehicles in FY 2025-26 in the RVSFs established in the respective states. The proof of scrapping in the form of CD generated through vscrap portal shall be used to calculate the eligible incentive amount. Page |4Table 5: Incentive amount for scrapping non-Government owned vehicles in 2025-26 Under Initiative A, Milestone 2, Part VI Slabs for number of non-Government vehicles|Incentive amount per non- scrapped at RVSFs of the State Government vehicle as per slab Up to 1000 vehicles 5,000 1001 — 2001 vehicles 7,500 2001 — 3001 vehicles 10,000 3001 — 4000 vehicles : : 12,500 4001 — 5000 vehicles 15,000 Above 5000 vehicles 20,000 Illustrative example: If a state scraps 2200 non-Government vehicles in the RVSFs established in the State, then the eligible incentive is Rs. 5000 per vehicle for first 1000 vehicles, Rs. 7,500 per vehicle for the next 1000 vehicles, Rs. 10,000 per vehicle for the next 200 vehicles, which amounts to a total incentive ofRs. 1.45 Crore. jive-B: Award of Work and Operationalization of Automated Testing Stations States will be incentivized for award of work and operationalization of ATSs in FY 2025-26 under Initiative-B. A total of 250 districts have been identified as high priority due to their higher testing loads. Establishment of ATSs in these high priority districts in FY 2025-26 will attract higher incentives as provided in Table 6. State-wise details of the 250 high-priority districts will be issued to States by the MoRTH separately. 4.2.1. Milestone-1: States will be eligible to receive 25 percent of the admissible amount per ATS awarded in FY 2025-26 as per Table 6 in accordance with ATS rules notified by MoRTH vide GSR 652 (E) dated 23.09.2022, amended vide GSR 797 (E) dated 31.10.2022 and GSR 195 (E) dated 14.03.2024, for recognition, regulation, and control of ATSs based on the following criteria: (i) States must approve on NSWS (in the case of direct investment mode) / award (in the case of PPP mode) / initiate construction (in the case of State-owned) of ATSs by 31.12.2025. (ii) There is no limit on number of ATSs for which this incentive shall be granted. (iii) States must issue a notification to stop manual fitness testing at Regional Transport Office(s) in districts where ATS are operational by 31.12.2025 to be eligible for incentive amount under Milestone 1 of Initiative B. 4.2.2. Milestone-2: I. States will be eligible to receive the remaining 75 percent of the admissible amount per ATS operationalized in 2025-26as per details provided in Table 6 by 31.12.2025 based on the following criteria: (i) Testing should have commenced at the operational ATSs in 2025-26 through Automatic Fitness Management Station (AFMS). (ii) There is no limit on number of ATSs for which this incentive will be granted. Page |5II. Additionally, States will be eligible for a 1.5 times multiplier on the admissible amount per ATS under Milestone-2 of Initiative-B, if in 2025-26, the Registration Certificate for operationalization of the ATS is issued by State within 6 months of the issuance of Preliminary Registration Certificate. (Rs. in crore) Table 6: Admissible amount of incentive under Initiative B a Admissible amount per ATS District ea North-Eastern States (except Assam) Other States High Priority 9.0 6.0 Others 15 5.0 5. Funds will be released in two equal instalments. 6. State Governments after achieving milestones under Initiative A and/or Initiative B of this part shall submit a report to MoRTH by 31.12.2025. MoRTH will examine the submissions by a State and thereafter make recommendations to the DoE for the release of incentive amount by 15.01.2026. 7. The states will be free to propose any capital investment project from the incentive amount, including replacement of old scrapped vehicles with less polluting vehicles, preferable, Electric Vehicles (EVs). The State government shall provide online in PFMS portal, a list of capital projects for which it intends to utilize eligible incentive amount provided under this part of the Scheme in the format prescribed in Annexure-2 of No. 44(1)/PF-S/2025-26 (CAPEX) dated 07.04.2025. 8. Incentive recommended by MoRTH under Part-IV of SASCI 2024-25 on or before 31.03.2025 but could not be released in 2024-25 may also be released in 2025-26 provided that the State government had submitted the list of projects to be taken up from the incentive amount so recommended, before 31.03.2025. Part VI B (Implementation of Electronic Enforcement of Road Safety): 1. Objectives: It has been reported that traffic violations account for more than 80% of the fatalities caused due to road accidents. Currently, the traffic enforcement has limitations in terms of both human dependency & manpower strength, and there is a need for technology driven traffic enforcement solutions. To address this, Ministry of Road Transport and Highways (MoRTH) has notified the rules for electronic monitoring and enforcement of road safety under the provisions of Motor Vehicles Amendment Act (2019). Electronic monitoring and enforcement provide real-time data and evidence, facilitating the swift imposition of penalties for violations. The implementation requires identification of high-risk and high-density corridors for placement of electronic enforcement devices as per provisions of Section 136A of the Motor Vehicles Act, 1988 in line with Rule 167A of the Central Motor Vehicles Rules, 1989. The objective of this part of the scheme is to promote the electronic enforcement ecosystem in the country and promote road safety towards achievement of the national goal of reducing fatalities by at least 50% by 2030. Page |62. Financial Allocation: An amount of Rs. 3,000 crore is allocated for this part of the scheme available to State Governments on ‘First-Come-First-Served’ basis. 3. Grouping of States: A multi-factor analysis is conducted to categorize the States that have higher road traffic fatalities on State Highways, higher registered vehicle population, and road length of State Highway - network: Based on this, the States are grouped in three categories and their corresponding maximum admissible amount of inventive are shown in Table 7. Table 7: Admissible amount of incentive under this part of the scheme Category A B Cc wi Amount { R350 ctOre Rs.150 crore Rs.50 crore List of States 1. Maharashtra 9. Bihar 2. Tamil Nadu 10. Kerala 22. Himachal Pradesh 3. Uttar Pradesh 11. Odisha 23. Jammu & Kashmir 4. Karnataka 12. West Bengal 24. Tripura 5. Gujarat 13. Punjab 25. Goa 6. Madhya Pradesh 14. Chhattisgarh _ 26. Meghalaya 7. Rajasthan 15. Telangana 27. Manipur 8. Andhra Pradesh 16. Arunachal Pradesh |28. Nagaland 17. Haryana 29. Sikkim 18. Jharkhand 30. Puducherry 19. Assam B1. Mizoram 20. Uttarakhand 21. Delhi 4, Key Actions Required from State Governments: i. To promote implementation of electronic enforcement of road safety, States are required to: a. Install electronic enforcement devices on the identified high-risk and high-density corridors on State Highways and on critical junctions in towns/ cities with population of more than five lakh (as per data available based on census of India 2011) including the 132 cities as listed under Rule 167A of the Central Motor Vehicles Rules, 1989. b. Capture traffic violations from the installed electronic enforcement devices utilizing the Traffic Control Rooms and collect fines from the traffic violators in line with the Motor Vehicles Amendment Act (2019). ii. States will refer to the ‘Standard Operating Procedure for Implementation of Section 136A of the Motor Vehicles Act, 1988” to be published by MoRTH for the identification of high-risk and high-density corridors and for the identification of critical junctions. iii. To qualify under this part of the scheme, the State Government shall specify to MoRTH regarding the details of high-risk and high-density corridors on State Highways and critical junctions in towns/ cities with population of more than five lakhs (as per data available based on census of India 2011) including the 132 cities as listed under Rule 167A of the Central Motor Vehicles Rules, 1989. The details should include particulars such as the road name/ name of Page |7critical junction, start and end coordinates of the corridor (coordinate in case of critical junction), length of corridor, number of accidents and fatalities on the corridor/ critical junction for the previous two calendar years (2023 and 2024) as per eDAR in synchronization with SCRB/CCTNS database. The details should also include the location of existing facilities related to electronic enforcement devices in the State as on 01.05.2025 in an official letter issued by a competent authority of the State no later than 15.06.2025. Corridors and junctions with existing facilities related to electronic enforcement devices would not be considered. iv. The target nurnber‘of devices to be installed in the identified list of high-risk and high-density corridors on Staté Highways and critical junctions in towns/ cities shall be specified by the State Government to MoRTH in an official letter issued by a competent authority of the State no later than 15.06.2025. 5. States must achieve the following milestones to be eligible for incentives under this part of the scheme: 5.1 Milestone-1: Installation of electronic enforcement devices on the identified locations: i. States will be eligible to receive 40 percent of the admissible amount of incentive, as shown in Table 7, upon installation of electronic enforcement devices on the identified high-risk and high-density corridors on State Highways and on the identified critical junctions in towns/cities with population of more than five lakhs (as per data available based on census of India 2011) including the 132 cities as listed under Rule 167A of the Central Motor Vehicles Rules, 1989. ii. To qualify for this milestone, the State Government shall specify to MoRTH the number and location of installed electronic enforcement devices in an official letter issued by a competent authority of the State no later than 30.09.2025. Further, the official letter shall also provide a confirmation of the installation of electronic enforcement devices. iii. For the purpose of disbursing the admissible amount of incentive under this milestone, the total number of devices installed for electronic monitoring and enforcement will be prorated against the target number of devices specified by the State Government to MoRTH in an official letter issued by a competent authority of the State. iv. States will adhere to the installation requirements of electronic enforcement devices on the identified high-risk and high-density corridors and critical junctions as per the ‘Standard Operating Procedure for Implementation of Section 136A of the Motor Vehicles Act, 1988’ to be published by MoRTH. 5.2 Milestone-2: Integration of installed electronic enforcement devices with Traffic Control Rooms (TCRs): i. States will be eligible to receive 20 percent of the admissible amount of incentive, as shown in Table 1, for the integration of electronic enforcement devices installed under milestone- 1 with the appropriate Traffic Control Rooms (TCRs) (at either City, District, or State level including the operational Advanced Traffic Management Systems (ATMS) Command and Control Centres on National Highways and operational Integrated Command and Control Centres (ICCCs) in the respective State). Page |8ii, For the purpose of disbursing the admissible amount of incentive under this milestone, the number of electronic enforcement devices integrated with TCRs will be prorated against the target number of devices specified by the State Government to MoRTH in an official letter issued by a competent authority of the State to MoRTH. iii. The confirmation of the integration of electronic enforcement devices with TCRs shall be specified by the State Government to MoRTH in an official letter issued by a competent authority of the State no later than 30.11.2025. 5.3 Milestone-3: Generation of e-challans through electronic enforcement devices: i. States will be eligible to receive 10 percent of the admissible amount of incentive, as shown in Table 7, for successful operations of the integrated system and generation of e-challans through the electronic enforcement devices installed under milestone-1. ii. The proof of operations of the e-enforcement devices, the number of e-enforcement devices (as installed under milestone-1) utilized for the generation of e-challans, and the number of e-challans issued through such devices shall be verified by MoRTH through the central e- challan system. 5.4 Milestone-4: Efficiency of disposal of e-challans: i. States will be eligible to receive 10 percent of the admissible amount of incentive, as shown in Table 7, for achieving a minimum of 90 percent efficiency in disposal of e-challans generated under milestone-3. ii. For the purpose of disbursing the admissible amount of incentive under this milestone, MoRTH will examine the number of e-challans disposed against the number of e-challans generated as on 01.12.2025. States achieving below 90 percent efficiency in disposal of e- challans will not be eligible for the admissible amount under this milestone. 5.5 Milestone-5: Reduction in fatalities on State Highways and Major District Roads: is States will be eligible to receive the remaining 20 percent of the admissible amount of incentive, as shown in Table 1, for achieving a minimum of 50 percent reduction in fatalities on State Highways and Major District Roads over a period of three months after the completion of installation of electronic enforcement devices under milestone-1. ii. To qualify for this milestone, the State Government shall specify to MoRTH the total number of fatalities on State Highways and Major District Roads over a period of three months after the completion of installation of electronic enforcement devices under milestone-1 in an official letter issued by a competent authority of the State no later than 01.12.2025. Further, the official letter shall also specify the total number of fatalities on State Highways and Major District Roads over the corresponding period of three months in the previous year. iv. States will be eligible for an incentive amount per each slab as mentioned in Table 8 for achieving reduction in fatalities on State Highways and Major District Roads. For the purpose of disbursing the admissible amount of incentive under this milestone, the total Page |9number of fatalities on State Highways and Major District Roads over a period of three months after the installation of electronic enforcement devices as specified by the State will be evaluated against the total number of fatalities on State Highways and Major District Roads over the corresponding period of three months in the previous year. Vv. Table 8: Percentage eligible admissible amount of incentive under milestone-5, Part VI Percentage reduction in fatalities on State| Percent eligible admissible amount of Highways and Major District Roads _ | incentive under milestone-5 (as in Table-7) Up to 20 percent 5 percent 21 percent to 30 percent 10 percent 31 percent to 49 percent 15 percent 50 percent or greater 20 percent 6. State Governments after achieving milestones under this part of the scheme shall submit a report to MoRTH by 15.12.2025. MoRTH will examine the submissions by the State and thereafter make recommendations to the DoE for the release of incentive amount by 15.01.2026. 7. Utilization of Funds by States/ UTs: States may utilize the funds disbursed for infrastructure projects in any sector. 8. The e-enforcement devices installed prior to 1st April, 2025 shall not be eligible for funding under the scheme. 9. Incentives will be provided on ‘First Come-First Served’ basis. Part-VII (Land-related Reforms by State Governments in Rural Areas): 1. In the Budget Speech 2024-25, the Union Finance Minister announced that the State Governments will be incentivized for land-related reforms and actions, in both rural and urban areas through appropriate fiscal support. This will cover (1) land administration, planning and management, and (2) urban planning, usage and building bylaws. 2. Rural land related actions will include (1) assignment of Unique Land Parcel Identification Number (ULPIN) or Bhu-Aadhaar for all lands, (2) digitization of cadastral maps, (3) survey of map sub-divisions as per current ownership, (4) establishment of a land registry, and (5) linking to the farmers! registry. These actions will also facilitate credit flow and other agricultural services. 3. Further, in the Budget Speech of the interim budget for 2024-25 presented in February 2025, it was reiterated that “We will start a National Geospatial Mission to develop foundational geospatial infrastructure and data. Using PM Gati Shakti, this Mission will facilitate modernization of land records, urban planning and design of infrastructure projects”: 4. This Part of the Scheme is further divided into two Sub-Parts as per details provided in succeeding paragraphs. Page | 10Part- VILA (Modernization & Digitization of Rural Land Records): 1. Objective: The objective of this Part of the Scheme is to accelerate and complete the modernization and digitization of land records, ensuring that rural land records are accurate, up-to-date, and seamlessly integrated with various Government schemes and banking sector. This will empower farmers and foster rural development by facilitating improved credit flow and enhance access to various agricultural services. 2. Categorization of States: States have been categorized into three groups A, B & C as indicated in Table-9 based on their area, population, current status of land records and existing gaps in implementation of the five milestones. Therefore, milestone-based incentive amount has been fixed accordingly. Table-9: Categorization of States for Incentive for Modernization and Digitization of Rural Land Records Category | States A Andhra Pradesh, Bihar, Gujarat, Karnataka, Madhya Pradesh, Maharashtra, Odisha, Rajasthan, Tamil Nadu, Uttar Pradesh, west Bengal (11 States) B Assam, Chhattisgarh, Haryana, Jharkhand, Kerala, Pun jab, Telangana (7 States) Cc Arunachal Pradesh, Goa, Himachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Uttarakhand (10 States) 3. Milestones to be achieved to receive incentive: Milestone-1 (Sub-Division/Survey-Re-survey): i. Sub-Division of all Land Parcels as per Current Ownership: This involves sub- dividing land parcels to reflect current spatial ownership, past mutations and ensuring that land records accurately represent actual possession, ownership and use, and simultaneous updating of the Record of Rights (RoRs) ii. Re-Survey and Upgradation of RoRs and Cadastral Maps: Re-surveying using various technologies and updating existing cadastral maps & land parcels and RoRs to ensure that these are accurate, up-to-date, and geospatially enabled, reflecting the current state of land possession, ownership and use. iii, | Survey of Non-Cadastral Areas: Conducting surveys in areas not previously mapped or where cadastral maps are destroyed, to ensure comprehensive land documentation. iv. Incentive Payment: Full incentive amount be payable to a State upon making the entire State's land records as reflected in Cadastral maps and RoRs up to date using either of the methods mentioned in the milestone. For partial achievement, a proportionate incentive amount will be provided. Page|11Milestone-2 (Unique Land Parcel Identification Number (Bhu-Aadhar) Assignment and Geo-referencing of All Land Parcels): i. ULPIN (Bhu-Aadhar) Assignment for All Land Parcels: Assigning a geo-referenced Unique Land Parcel Identification Number (ULPIN), also known as Bhu-Aadhar, to each land parcel, creating a standardized and unique precise identifier for land records, which would be extremely helpful in ensuring inter-operability between various GIS/MIS systems. ii, Consent based Aadhar seeding and authentication in the RoRs: Aadhar seeding and authentication ofall the owners/shareholders in the RoRs is important whether carried out independently as under DILRMP or under Agristack programme of Govt of India or under any scheme of the State Govt. iii. Mobile and Address seeding in RoRs: Mobile numbers and residential address are required to be seeded in all the RoRs. This would ensure timely and effective dissemination of all the land related notices to the concerned land owners during Registration and Land record mutation etc. based on the concerned RoR or to the complete village. iv. Standardization of RoR and Cadastral maps: The RoRs and Cadastral maps are currently maintained on variable formats with numerous fields. There is also extreme variation in the usage of terms, their meanings as also the units of measurement of land. Standardization & integration of RoR & Cadastral maps with metric system of measurement is required with transliteration/translation tools. Milestone-3 (Land Registry and Inter-linkage with Other Systems): i, Registry Process Completely Online and Paperless: Transforming the land registry process into a fully digital and paperless system, making it more efficient and accessible. Integrating the land registration system with the broader land records system and revenue court case system to ensure seamless updating and synchronization of data across platforms including auto-mutation triggers. ii. All Legacy Registries Online and Searchable by Citizens: Digitizing all legacy land registries and making them available online with metadata, allowing officials and citizens to easily search and access historical land records. Milestone-4 (Modernization of Revenue Court Case Management Systems): i. Completely Online & Paperless: Implementing online and paperless Revenue court case management system for improving efficiency and making the process paperless. Such a system must be completely integrated with Land Records and Registration systems. ii. Simplification of Revenue court case processes: Implementing process re-engineering in the Revenue court case’system for majority of the cases that includes mutation by way of sale and inheritance and boundary disputes. Department of Land Resources, Govt of India would issue detailed guidelines on this issue. This would include the following measures: - ” a. Making it a fact-based inquiry and decision-making system by simplifying the procedure and making necessary changes in the law/rules/regulations/guidelines accordingly. b. Case disposal should be timely & time bound with regular supervisory monitoring. Page | 12c. Appointment of officers exclusively dealing with revenue cases and Reduction in appeals, reviews and revisions. 4. Milestone-wise and State-wise Maximum Incentive Admissible: The maximum incentive available to States under this Part of the Scheme for the achievements in 2025-26, i.e. form 01.05.2025 is provided in Table-10. Table 10: Maximum incentive available to States under Part VIIA Category Milestone-1 [Milestone=2 .:Milestone-3 (i) | Milestone-3 (ii) | Milestone-4 (i) | Milestone-4 (ii) A 500 200 200 100 100 200 B 300 140 150 75 15 150 Cc 150 100 100 50 50 100 5. Guiding principle: i. Only the achievement made by states in FY 2025-26 under various milestones in this part shall be considered for determining incentives. Achievement of the previous financial years shall not be counted. States shall be eligible for incentive amount proportionate to the percentage of incremental progress made in various milestones in FY 2025-26. ii. States can achieve and claim incentives for progress made in 2025-26 for each individual milestone separately. Progress or completion of one milestone may not depend on the progress of others, allowing States to prioritize actions based on their specific needs and capabilities. iii. | The Department of Land Resources (DoLR), Government of India will issue detailed operational guidelines, as needed, for this Part of the Scheme. 6. Submission of Proposals: The State Government after achieving the milestone(s) will submit the compliance report to the DoLR, Government of India by 31.12.2025. Incentive will only be released after a thorough evaluation of the milestone(s) achieved by the DoLR. Additionally, the DoLR will conduct due verification to confirm accuracy and completeness of the reported achievement(s) before recommending any incentive to DOE. The DoLR should submit its recommendations to the DoE latest by 15.01.2026. 7. Fund Allocation: An amount of Rs. 5,000 crore is earmarked for this Part of the Scheme, which is available to participating States as an incentive on 'First-Come-First-Served basis and subject to progress in achieving the specified milestone(s) only during 2025-26. Achievement of previous years shall not be taken into account. 8. Application of Incentive Amount: The incentive amounts approved under this Part of the Scheme may be used by the State Government for infrastructure projects in any sector including that of Land Records and Settlement & Survey Department. The State Government must provide a list of capital projects online in PFMS portal, for which it intends to utilize the eligible incentive in the format prescribed in Annexure-2 of DoE's letter No. 44(1)/PF-S/2025-26 (CAPEX) dated 07.04.2025. Page | 139. Release of Funds: The amount approved by the Government of India will be released in a single instalment. Part-VII B (Incentives Digital Public Infrastructure for Agriculture) 1. Objective . This part of the scheme aims to accelerate the development of the Digital Public Infrastructure (DPI) for the Indian agriculture sector to empower farmers and foster the development of the agricultural ecosystem. This will be achieved by incentivizing States to (1) adopt digital systems -for development and maintenance of the State’s Farmers Registry linked to the State’s land records system and (2) to digitize and standardize the process of crop enumeration using the Digital Crop Survey programme. 2. Fund Allocation An amount of Rs 6,000 Crore is allocated for this part of the scheme. Within this part of the scheme, the funds have been earmarked as Rs. 4,000 Crores for Component 1 (i.e. Farmer’s Registry) and Rs. 2,000 Crores for Component 2 (i.e. Digital Crop Survey). Funds for Component-1 (Farmers Registry) will be available to the States on a “First-Come- First-Served” basis, depending on their progress on creating the State Farmer Registry. The States will be incentivized as they progress, linked to achieving the Milestones, until the amount under this part of the Scheme is exhausted. Rs. 500 Crores in Component 1 have been earmarked for only North-Eastern States. However, if the amount blocked against the NER States remains unutilised till 30" November 2025, the same will be available for all the States under Component- 1. Eligible States for Component-1 will be eligible to receive an incentive after creating at least 25% of targeted Farmer IDs in the States. Funds for Component-2 (Digital Crop Survey) are allocated to all the states based on their eligibility. Ifany fund remains unutilised for a particular State in Component-2 by 30" November 2025, the same will be available as additional funding for Component-1 for all the States. It may be noted that each milestone related to the progress mentioned in the sections below is sequential, and the States may claim the incentive upon completion of each of the milestones. The incentive will be available for progress made in FY 2025-26 only. Achievement of previous financial years shall not be counted. The incentive will be released to the State after (1) verifying the State’s compliance to the pre-requisites as detailed in the below section, (2) ratification of the progress achieved, and (3) adherence to principles as set for the Farmer Registry and Digital Crop Survey by the Government of India. 3. Pre-requisites for Creation of State Farmer Registry and Implementation of Digital Crop Survey 3.1 Pre-requisites for Creation of the State Farmers Registry The pre-requisites for creating a usable, active Farmer Registry that can facilitate farmer-centric services, solutions and benefits are as follows: i. States must sign an MoU with the Government of India, committing to developing and implementing the Digital Public Infrastructure for Agriculture. Page | 14The State Government must submit a written commitment ensuring that all land-owning farmers (per the State’s Land Record Systems) will be included in the registry. iii. The registry must comply with the data format and structural standards prescribed by the Department of Agriculture & Farmers Welfare (DAFW), GOI. iv. The State’s Record of Rights (RoR) system must be updated regularly to ensure that land ownership details are current (updated mutation). The’ State’s Farmers Registry should have a link to the RoRs, reflecting updates as changes occur in the RoR. vi. The State should have a dedicated Project Management Unit responsible for the implementation of the Farmer Registry. vii. As per the Memorandum of Understanding (MoU) with the Central Government, states will share Farmer Registry data via Application Programming Interfaces (APIs) to support scheme implementation, policy decisions, and research initiatives. viii. The State must notify through an order a Department in the State as the Data fiduciary for the State Agri Stack, and the Nodal Department will be responsible for overseeing the creation and maintenance of the Agri Stack in the State. Additionally, the Nodal Department will govern the data sharing and consumption of Agri Stack. 3.2 Pre-requisites for Implementation of the Digital Crop Survey The pre-requisites for implementation of the Digital Crop Survey are as follows: i. States must sign an MoU with the Government of India, committing to developing and implementing the Digital Public Infrastructure for Agriculture. ii. States participating in the scheme must submit a written commitment that the State Government, wherever it carries out the manual Girdawari system, will transition to the Digital Crop Survey to replace the manual Girdawari system for enhanced accuracy and transparency. iii. States must ensure the completion of georeferencing for all agricultural plots as a prerequisite for the Digital Crop Survey. iv. The Digital Crop Survey must be conducted with a precision level of 0 to 20 meters from the plot's boundary to ensure accurate and reliable data collection. Additionally, a crop photo should be captured along with geo-tags to enable auditing of the crop information. As per the Memorandum of Understanding (MoU) with the Central Government, states share Farmer Registry data via Application Programming Interfaces (APIs) to support scheme implementation, policy decisions, and research initiatives. vi. The State should have a dedicated Project Management Unit to implement the Digital Crop Survey. The State must notify through an order a Department in the State as the Data fiduciary vii. for the State Agri Stack, and the Nodal Department will be responsible for overseeing the Page| 15creation and maintenance of the Agri Stack in the State. Additionally, the Nodal - Department will govern the data sharing and consumption of Agri Stack. 4. Milestone to be achieved to receive incentive 4.1 Component-1: Creating the State Farmers Registry in the State, dynamically linked to the State’s Land Records For the purposes of this component, the states have been divided into two groups: Group-A: North-Eastern arid :Hilly States (apart from Assam) and Group-B: Other Statés:- * * For every milestone as ‘defined below, the State will receive the incentive based on:Farmer IDs created in GY 2025-26 within that milestone, e.g., in case a State of Group-A has 1000 Farmers, they will receive 17,50,000 for Milestone-1, 12,50,000 for Milestone-2, 7,50,000 for Milestone- 3 and 5,00,000 for Milestone-4. Table - 11: Milestones and Norms for Assistance on Creation of Farmer Registry for Group-A States/UTs Incentive per . . Milestones | Description Farmer INE) dngentive: (in (in INR) Milestone -|25 percent of farmers in the State 1750 Number of Farmer 1 have Farmer IDs IDs X 1750 Milestone -| 50 percent of farmers in the State 1250 Number of Farmer 2 have Farmer IDs IDs X 1250 Milestone —| 75 percent of farmers in the State 750 Number of Farmer 3 have Farmer IDs IDs X 750 Milestone -] 100 percent of farmers in the State 500 Number of Farmer 4 have Farmer IDs IDs X 500 Table -12: Milestones and Norms for Assistance Creation of Farmer Registry for Group- B States/UTs . =a Incentive _ per | Total Incentive (in Milestones | Descripttiion Farmer (in INR) | INR) . 25 percent of farmers in the State have Number of Farmer Milestone - 1 | Farmer IDs 500 IDs X 500 . 50 percent of farmers in the State have Number of Farmer Milestone - 2 Farmer IDs ey IDs X 750 Milestone —] 75 percent of farmers in the State have 1250 Number of Farmer 3 Farmer IDs. IDs X 1250. 7 100 percent.of farmers in the State Number of Farmer Milestone - 4) ve Farmer IDs a IDs X 1750 Note: 1. In case a State has already received an incentive for achieving Milestones in SCA 2024- 25, it will not be eligible for the incentive for the same Milestone. Further, to avail themselves of the SCA after reaching the next milestone, such states must comply with all the commitments made when availing the SCA against the earlier milestones. Page| 162. Each State will receive an additional incentive of 2 Crores on reaching their first milestone in SCA 2025-26 for Farmer registry. 4.2 Component-2: Implementation of Digital Crop Survey in the State The milestones to be achieved in implementing the Digital Crop Survey (DCS) in the State are based on progress in surveying plots across the State. The amount is only available for Kharif Season of 2025-26. For the incentive calculation, the village survey will be marked as completed only -ifiat. least 90% of the plots in-the-village are surveyed and approved by. the supervisor.» + Additionally, where DCS captures more than 50% of the harvested plots in a village, it will not be considered for the incentive payment. A. States eligible for Table-A: List of States that conducted DCS in 2024-25: (1) Uttar Pradesh, (2) Gujarat, (3) Bihar, (4) Tamil Nadu, (5) Odisha, (6) Telangana, (7) Assam, (8) Maharashtra, (9) Madhya Pradesh, (10) Andhra Pradesh, (11) Rajasthan, (12) Kerala, (13) Chhattisgarh, (14) Punjab and (15) Karnataka. Note — States that have conducted DCS in 2024-25 will be eligible for either Sl. No. 1 or Sl. No. 2 under Milestone-1 based on its performance. Table - 12 A: Milestones for Assistance for DCS of States that conducted DCS in 2024-25 SL. 7 A Incentive for State No. Milestones | Description (Rs. in Crore) At least 90% of villages surveyed across state in 1 | Mitestone- | Kharif (2025-2026) 100 2 1 At least 80% of villages surveyed across state in 50 Kharif (2025-2026) 3 Milestone- | Utilization of Kharif 2025-26 DCS data for 30 2 production estimates by the SASA B. States eligible for Table-B: List of States that will conduct DCS across the State for the first time in 2025-26: (1) Goa, (2) Haryana, (3) Jharkhand, (4) West Bengal, (5) Andaman & Nicobar Islands, (6) Chandigarh, (7) Dadra and Nagar Haveli and Daman and Diu, (8) Lakshadweep, (9) Delhi and (10) Puducherry Table - 12 B: Milestones for SCA for States that will conduct DCS for the first time (This includes States that may have conducted Proof of Concept (PoC) earlier but have not rolled out DCS) SI. No. | Description Incentive for State (Rs. in Crore) 1 At least 90% of villages surveyed across state in 70 Kharif (2025-2026) 2 At least 75% of villages surveyed across state in 40 Kharif (2025-2026) 3 At least 50% of villages surveyed across state in 20 Kharif (2025-2026) Page |17C. States eligible for Table-C - List of North-eastern and Hilly States that will conduct DCS for the first time in 2025-26: (1) Arunachal Pradesh, (2) Himachal Pradesh, (3) Manipur, (4) Meghalaya, (5) Mizoram, (6) Nagaland, (7) Sikkim, (8) Tripura, (9) Uttarakhand, (10) Jammu & Kashmir, and (11) Ladakh. Note — Newly onboarded North-Eastern and Hilly States will get an additional Rs 10 Crores over and above the incentive amount when they claim their first Milestone. Table - 12C: Sequential Milestones for Assistance for DCS of Newly Onboarded North- eastern and Hilly States SI Description : Incentive for State (Rs No. in Crore) Proof-of-Concept of DCS carried out in at least 1 village 50 1 each in each District in the State At least 25% of villages surveyed across the State in Kharif 30 2 (2025-2026) 3 At least 50% of villages surveyed across the State in Kharif 15 (2025-2026) 5. Common Guiding Principles for Digital Crop Survey and Farmer Registry ii. iii. iv. vi. vii. Page The Government of India will assess States’ readiness and support the States in the creation of the Farmer Registry and the implementation of the Digital Crop Survey. The standards and compliance requirements will be ratified on a continuous basis. The detailed guidelines for the same will be released by DOA&FW. The Government of India will establish detailed guidelines for validating preconditions, and funds will be released to the States meeting the pre-requisites and complying with the applications and guidelines given by the Government of India. For the Farmers Registry — As the exact number of Farmers varies in different records of the States, the PM Kisan Database will be used as a reference to calculate whether a State has achieved the claimed milestone. For Digital Crop Survey — The performance will be assessed based on the number of villages surveyed. The number of villages has been taken from the LGD Directory as a reference to calculate whether a State has achieved the claimed Milestone. While claiming the incentive, the State must also comply with all the pre-requisite conditions as above. As incentive amounts will be provided to states on a “First-Come-First-Served” basis, the states achieving the milestones will be incentivized as they progress until the allocated amount under this part of the scheme is exhausted. Periodic data audits of a 2% sample dataset may be carried out on the Digital Crop Survey data by the Centre to ensure the accuracy of crops being recorded. In case a State fails to pass 95% plus accuracy in the sample data, the State will not be eligible for the incentive. | 18viii. | The data integrity and compliance with GOI-prescribed standards will be verified before releasing funds. 6. The incentive will be available for progress made in FY 2025-26 only. Achievement of previous financial years shall not be counted. 7. Submission of Claims After achieving the milestone(s), the State will inform the Department of Agriculture & Farmers’ Welfire, Government of India, along with proof of achievément(s) by 31.12.2025. The Department will examine the state’s claim and, if found eligible, will recommend the release of an admissible incentive amount to the DoE, Government of India, latest by 31.01.2026. 8. Release of Funds Based on the recommendations of DA&FW, MoAFW, Government of India and upon receipt of the list of projects in the prescribed format from the States, DoE will release the admissible incentive amount to the State Government in a single installment. 9. Application of Incentive Amount The incentive amounts approved under this part of the scheme may be used by the State Government for infrastructure projects in any sector. The State Government shall provide to DoE, a list of capital projects online in PFMS portal, for which intends to utilize eligible incentive amounts provided under this part of the scheme, in the format prescribed by DoE. 10. Incentive recommended by DoLR or DoA&FW under Part-VII of SASCI 2024-25 on or before 31.03.2025 but could not be released in 2024-25 may also be released in 2025-26 under Part VII of SASCI 2025-26, provided that the State government had submitted the list of projects to be taken up from the incentive amount so recommended, before 31.03.2025. Part-VIII (Incentives for Land-related Reforms by State Governments in Urban Areas) 1. Objective: The objective of this Part of the Scheme is to incentivize States to achieve critical milestone(s) in urban land records creation. This would ensure that urban land records are accurate, up-to- date and seamlessly integrated with property tax records of ULBs thereby empowering urban citizens, improving ease of living and making property tax assessment efficient and effective. Increased efficiency and transparency in urban planning can also be achieved, if urban land records are created in rapidly growing peri-urban areas. Creation of Ortho Rectified Images (ORI) would lead to the following a) Creation of Urban Land Records: Land Revenue Department in States in association with Urban/TCP Departments would use the ORI for the preparation of detailed cadastral maps along with the names of the land owner. This will be achieved after establishing ground control points, feature extraction, ground truthing, attribute collection, followed by claims settlement and dispute resolution. Final maps and the property cards should then be published. Page| 19b) Basis for Assessment of Property Tax: The same ORI based land parcel maps and the 3D cadastre should be utilized by the ULBs to extract the built-up area of the constructions using various GIS software tools. Ground truthing and attribute collection will also provide an opportunity to assess the horizontal & vertical dimensions and type of usage. This should form the basis for a fresh realistic assessment of property tax for all the urban buildings. c) Master Plan Preparation: Subsequently or simultaneously, the same ORI should be used by the development authorities/TCP Departments/ULBs to prepare master plans, transportation plans, drainage plans etc. as part of comprehensive urban-planning especially in the peri-urban areas : Fund Allocation: 2. An amount of Rs. 5,000 crore is earmarked for this Part of the Scheme, which will be made available to participating States as an incentive, based on their progress in achieving the specified milestones on a 'First-Come-First-Served basis. The funds will be disbursed in a sequential milestone-based manner to ULB as per the prescribed unit rates. 3. Milestones to be achieved by States to become eligible for incentives: Milestone-1 (Aerial Survey & Mapping Including Feature Extraction (MAP-1)): a. Fixing of ground control points and city boundary by CORS network. b. High resolution digital aerial photography by using survey grade equipments. c. Data processing and 3 D feature extraction, including DEM & DTM. d. Quality control and production of ORI with land parcel boundaries. e. MAP-] publication in 1:500 scale. Milestone-2 (Field Survey & Ground Truthing by Rovers & DGPS (MAP-2)): a. Land parcel boundary & area ascertaining by CORS based GNSS rovers & controllers. b. Integration of property holding details of ULBs & ground validation. c Integration of other documents like authority approvals, land records etc. d. Standardized data collection and GIS platform. e. MAP-2 publication with GIS-ready land parcel maps & its dissemination Milestone-3 (Claims & Dispute Resolution and Finalization of Maps (MAP-3)): a. IEC, awareness, community engagement & sensitization. b. Issuance of notices, notifications c, Claim finalization & dispute resolution of ownership, area, boundary and shape of land parcels. d. Preparation of updated land and property records. e. Final MAP-3 publication with land property card & register. Page | 204. Norms for Incentive: The norms for eligibility of incentive are given in Table-13 below. These have been determined based on the population of Cities and the ULBs have been categorized into four different classes accordingly. The population for calculating unit rate would include peri-urban areas population, if that area is also included in the urban land survey. Table-13: Norms for Incentive Under Part VIII Milestone Unit Rate per ULB (Rs. In crore) Population (Less | Population Population Population than ~| (From 50,000] (From 1 lakh}(2 lakh & 50,000) D_ | to Less than 1 | to less than 2 | above) lakh) C lakh) B A Milestone-1 (Aerial Survey): Ortho Rectified image generation, quality | 5 10 15 20 check and preparation of MAP-1 Milestone-2 (Field Survey): Ground truthing by rovers & DGPS and integration with property | 10 20 25 30 tax holding & other documents and publication of MAP-2 Milestone-3 (Post Publication): Claim & dispute resolution, notices, Community engagement & 10 20 25 30 map-RoRs corrections and publication of final MAP-3 5. It is envisaged to take up about 150 cities of various population sizes in the 28 States as per their identification and willingness, completing Milestone-1 and Milestone-2 in the current financial year. However, a few cities in States could also complete and finalize Milestone-3. Incentivizing these pilots in 150 cities may lead many of the 4912 ULBs in 28 States to accomplish finalization of urban land records in a time bound phased manner. 6. Each milestone is considered a sequential step leading to the finalization of Urban Land and Property Ownership Records (ULPOR; MAP-3). However, States can achieve and claim incentive(s) for individual milestones separately as per their progress in a logical sequence. 7. States are expected to promptly begin and culminate the work on eligible milestones to maximize the benefits of the incentive structure. 8. After achieving the milestone(s), the State Government will send the report to the DoLR, by 31.12.2025. Incentive will only be released after due verification by the DoLR to ensure that the milestone(s) claimed as completed are indeed achieved as per the guidelines to be issued by Page| 21the DoLR, as required. Additionally, the DoLR shall conduct due verification to confirm the accuracy and completeness of the reported achievements before recommending release of incentive to DoE. DoLR should submit its recommendations to DoE latest by 31.01.2026. 9. Cities where the ORI was created before the current financial year, under any other programme of Government of India like AMRUT, MOHUA, NMCG, NHP and ICZM will not be provided incentive for the MAP-1 stage, if the ORI are of appropriate quality required for land parcel identification. However, they will be incentivized for Milestone-2 & Milestone-3 achievement, building upon already available ORE =" «>» : 10. The incentive will be available for progress made in-FY 2025-26 only. Achievement of previous financial years shall not be counted. ‘ Application of Incentive Amount: 11. The incentive amounts approved under this Part of the Scheme may be used by the State Government for infrastructure projects in any sector. The State Government will provide to DoE, a list of capital projects for which it intends to utilize eligible incentive amount in the format prescribed in Annexure-2 of DoE's letter No. 44(1)/PF-S/2025-26 (CAPEX) dated 07.04.2025. 12. Incentive recommended by DoLR under Part-VIII of SASCI 2024-25 on or before 31.03.2025 but could not be released in 2024-25 may also be released in 2025-26 under Part VIII of SASCI 2025-26, provided that the State government had submitted the list of projects to be taken up from the incentive amount so recommended, before 31.03.2025. Part-IX (Incentives to States for Efficiency in Financial Management): SNA SPARSH is a system of ‘Just-in-Time’ Release of funds under Centrally Sponsored Schemes (CSS). So far, 29 CSS have been notified for implementation under SNA SPARSH. More CSS will be notified in 2025-26. An amount of Rs. 6,000 Crore is earmarked for this part of the Scheme for 2025-26, which will be available to States on ‘First-Come-First-Served’ basis. 1. Under this Part, a State will be eligible for an incentive amount of Rs. 350 Crore, subject to fulfilment of following criteria: i, The State should have onboarded all Centrally Sponsored Schemes (CSSs) notified by 30.06.2025 to be implemented through SPARSH platform. Onboarding of a CSS in a ~ State on SNA SPARSH implies that the State should have made at least one payment each under all State Linked Schemes (SLS) of the CSS. ii. ©The State should have operationalized Aadhar based Direct Benefit Transfer (DBT) payment mechanism with RBI and NPCI under all schemes having DBT component and notified to be implemented through SPARSH platform and made at least one payment each under all SLSs having Aadhar based DBT of the CSS. iii. In compliance of para 3(xi) of DoE’s guidelines dated 13.07.2023, the State should have developed a State Cyber Treasury and an e-claim/e-voucher module in their State IFMIS to enable implementing agencies at all levels to generate e-claims in the State IFMIS. Page | 22The objective is to put in place an end-to-end digital processing of claims from the generation and submission of claims by Implementing agencies/Departments to credit of the funds into the bank account of the payees. 2. The incentive amount will be released to the State Government in a single installment. The incentive amount approved under this Part of the Scheme may be used by the State Government. for infrastructure projects in any sector. The State Government must submit on the portal a list of capital projects for which it intends to utilize eligible incentive amount provided under this Part of the Scheme in the format prescribed in Annexure-II of guidelines ~ dated 7/04/2025. 3. State Governments should submit their claims for under this part of the Scheme to the Office of Controller General of Accounts, Ministry of Finance by 31.12.2025. The Office of Controller General of Accounts shall submit its observations on the claims made by the State Governments latest by 15.02.2026. 4, Incentive earned by States under Part-XI of SASCI 2024-25 on or before 31.03.2025 but could not be released in 2024-25 may also be released in 2025-26 under this part SASCI 2025-26, provided that the State government had submitted the list of projects to be taken up from the incentive amount so recommended, before 31.03.2025. Part X —- Urban Planning Reform Allocation: This part of the scheme has two sub-parts. Under Part-A, = 13,000 Cr. is earmarked for reforms related to Governance, Finance & Urban Land & Planning Reforms. Under Part-B, %5,000 Cr. is earmarked for Ease of Doing Business (EoDB). This amount will be available to States as per these guidelines, as incentive for capital investment on the recommendations of Ministry of Housing and Urban Affairs (MoHUA). Objective: Catalyze urban planning as a major driver of development and foster sustainable urbanization through all reform measures stated hereunder. 1.1 Reform Roadmap and Timelines: i. Reforms undertaken between 16th January 2025 and 15th December 2025 will be considered for incentives under Part A of the scheme, while reforms undertaken between 1st April 2025 and 15th December 2025 will be considered for incentives under Part B of the scheme. State should submit the claim with evidence to MoHUA latest by 20" December, 2025. ii. |MoHUA reserves the right to issue clarifications to the guidelines and amend submission timelines in consultation with stakeholders/partnering states with approval of DoE. 1.1.1 Release of incentives: The incentives will be released in a single installment. The claims will be evaluated and recommended by MoHUA to DoE. Page | 231.1.2 Grouping of States: (PART A & PART B) States, including UTs with legislative assemblies have been divided into 3 groups as follows: Other than NE/Hill States NE/ Hilly States (Group A) (Group B) (Group C) Maharashtra Telangana Uttarakhand Uttar Pradesh ‘Bihar s Tripura Linas Tamil Nadu Haryana Nagaland | West Bengal Punjab Manipur Gujarat Jharkhand Himachal Pradesh Karnataka Odisha Meghalaya Kerala Chhattisgarh Mizoram - | Madhya Pradesh Assam Arunachal Pradesh Rajasthan Goa Sikkim NCT of Delhi Puducherry Jammu & Kashmir Andhra Pradesh 1.2 Conditions i. The state shall submit the list of capital projects to be undertaken from the incentive amount to Dept. of Expenditure in the prescribed format. ii. Recommendations to DoE shall be made within the overall outlay under the scheme. REFORM COMPONENTS PART A: The scheme comprises of governance reforms, finance reforms and urban planning reforms and % 13 ,000 Cr. is earmarked for following reforms, under this part. I. Governance Reforms- Building Municipal Cadres, & Digital Interventions for improved Governance Il. Finance Reforms- Integrated Property Tax Portal with Unique ID & Diversifying Revenue Sources Il. Urban Land and Planning Reforms- Implementation of Town Planning Scheme (TPS)/ Land Pooling Scheme (LPS), Revitalizing the Central Business Districts/ Historic Core of the State Capitals / Major Cities, Theme Based Greenfield Cities, Neighbourhood Improvement Plans, Transit-Oriented Development (TOD), Creation of Sponge Cities, City Greens & Urban Forest Pathways, Rejuvenation of Existing Wells, Conservation & Rejuvenation of Urban Waterbodies, Inclusion of Green Building Initiatives in Building Byelaws, Page | 24PART - X A: Details of Reform Components: I. Governance Reforms: A. Building the Municipal Cadres A study across 470 city governments in 13 States by Janaagraha 2023 shows an average vacancy of 36%. This gap worsens from municipal corporations (33%) to town panchayats (58%), severely impacting service delivery. Therefore, there is an urgent need to strengthen municipal governance by filling up of sanctioned posts arid creating new posts wherever needed. ; The States were incentivized for hiring Urban Planners under SASCI 2023-24. Therefore, in order to maintain continuity and build on the capacity created, a minimum threshold of urban planners should be maintained. State should also factor in the retirements due in the next 5 years and undertake to fill them in a time bound manner. Filling and creation of posts A.1 Completion of the recruitment for at least 50% of already sanctioned vacant posts of engineers of Public Health, Mechanical, Civil, Electrical in ULBs (more than One lac Population) The state will be incentivized to fill at least 50% sanctioned vacant posts in order to strengthen the capacity of the ULBs and improve governance. States are expected to submit appointment letters for recruitment as evidence. The States would share their baseline data as on 1“ April 2025 for these posts in the prescribed format. The hiring should have taken place during the reform period. The incentive will be provided on pro-rata basis. Maximum allocation: 1. Incentive amount for Group A States - 50 Crore 2. Incentive amount for Group B States - 30 Crore 3. Incentive amount for Group C States - 20 Crore A.2 Hiring for Contractual post: In States where regular appointment may not be possible during the reform period, vacant posts may be filled on contractual basis. The state will be incentivized to fill vacant posts on a contractual basis for a minimumof five years. The state would be eligible for an incentive for strengthening the technical municipal cadres. The hiring should include engineers from disciplines of Public Health, Mechanical, Civil, Electrical and finance specialists. States are expected to submit appointment letters for recruitments as evidence. Incentives will be approved on a pro-rata basis. Maximum allocation: 1. Incentive amount for Group A States - 25 crores (50 posts) 2. Incentive amount for Group B States - 15 crores (30 posts) 3. Incentive amount for Group C States - 5 crores (10 posts) A.3 Creating a Municipal Staff Framework for Small Towns (up to population 1 lakh) Page | 25States will be incentivized to create cadres of Municipal Administrative Service, Municipal Finance Service and Municipal Technical Service. The state shall be hiring executive officers- managerial level, accountants and the engineers like public health, civil, mechanical, electrical, etc., at the ULB level. The States would share their baseline data as on 1‘ April 2025 for these posts. The ULBs with a population less than 1 lakh would be organized into Clusters based on geographical distances and will be incentivized for hiring Municipal Officials with a maximum - of 10 ULBs in a cluster:-A cluster should have a minimutn‘of 10 officials comprising: « -. Municipal Administrative Service: One Executive Officer, ¢ Municipal Finance Service: One Financial Officer, One Accountant ¢ Municipal Technical Service: Engineers: 3 Civil, 2 Mechanical, 1 Electrical, 1 Public Health. e« AMinimum 50 per cent of officials as prescribed in a cluster should be filled. For example, if there are 600 ULBs in a State, 60 clusters would be formed and, in every cluster, a minimum of 10 officials per cluster are need to be filled. If a minimum of 5 posts is filled in a cluster, the state will be incentivized. However, different categories of officers should be hired on regular basis in a proportionate manner. States are expected to submit appointment letters for recruitments as evidence. a. States with ULBs up to 200 would be incentivized with 100 crores. b. States with ULBs more than 200 would be incentivized with 150 crores. c. Group C- North Eastern/Hilly States would be incentivized with 50 crores. A.4 Sanction of posts of Environmental Engineers and Hydrologists. In the cities, the specialist posts like Environmental engineers and hydrologists are either non- existent or are not filled. Environmental engineers are needed to protect the environment, improve public health and sustainable practices. Their work involves waste management / wastewater management, air & water quality control and site remediation, etc. Hydrologists are required in the cities for efficient water management through shallow aquifers management, monitoring water tables/ quality and can provide technical inputs for urban flood mitigation. The states shall be incentivized for sanctioning these posts and completing the recruitment process of 50 percent of the sanctioned posts to facilitate sustainable development in the ULBs. The States would share their baseline data as‘on 1“ April 2025 for these posts. The advisory on ~ qualifications for these posts would be issued separately. States should submit G.O. for new sanctioned posts and appointment letters for recruitments as evidence. Group A & B States will be incentivized with Rs. 75 Crore, while Group C states will receive an incentive of Rs. 50 Crore. The hiring should be done within the reform period. Desirable number of posts in each statutory town as per the population: 1. For a city with a Million-Plus population - 03 posts 2. Fora 1 lakh to 1 million Population - 02 posts Page | 26. Under 1 lakh - Minimum 3 Engineers / Environmental Scientists / Environmental Experts / Hydrologists in a cluster level of 10 ULBs. (No. of clusters would depend upon number of ULB’s in the state. The ULBs with a population less than 1 lakh would be organized into Clusters based on geographical distances and shall be incentivized for hiring Municipal Officials with a maximum of 10 ULBs in a cluster). In each.of the category as stated above, deputation from any other.department shall not be consideredfor filling up of posts. : The incentives received under components I.]to 1.4 should preferably be used for the development or augmentation of infrastructure in the cities. The incentives received under components 1.1 to 1.4 to the states are being provided as one-time incentives for creation of cadres & filling up of existing vacant posts in order to strengthen the municipal governance. The regular payments / salaries of these employees shall be the responsibility of the State/ ULBs. The Government ofIndia shall have no legal liability towards payment of salaries / emoluments to the employees & the sole responsibility would lie with the states / ULBs. B. Digital Interventions for improved Governance B.1 GIS-based Utility Mapping (Water, Sewerage and Storm Drainage Network) Rationale of the Reform: Under AMRUT, GIS-based maps at 1: 4000 scale have been created using high-resolution satellite data. Some states may have also created their geo-database using State resources. Mapping of water/sewerage/stormwater drainage networks would enhance resource management, improve public health, mitigate environmental impacts, and enable cities to respond effectively to both present needs and future challenges. Only AMRUT Cities shall be eligible under this reform States are expected to map/digitize the existing water network, stormwater drainage, and sewerage network layers on the final GIS-based base layers created under the AMRUT GIS Sub-Scheme or any other government scheme or initiative. All networks should be created on the GIS platform. The GIS data structure and content may be in adherence to the Design & Standards published by MoHUA in May 2016. States shall mandatorily publish all GIS utility maps on PM Gati Shakti Portal. Further, States shall provide an undertaking to regularly update the PM Gati Shakti Portal to capture changes in the network length of water/sewage/storm water/drainage etc. through any projects undertaken by municipal/state/central funding agency. Milestones and incentive allocated: 1. Eligible Incentive of = 3 Cr. per City (Rs.1 Cr. per utility) 2. Funds will be approved as per details below: Page | 27Milestones and incentives allocated: SI. | Reform Component % of | Amount (in | Remarks incentive | Cr.) 1 | Initiation of mapping (evidence to be|25% %0.75 Cr/| One Utility = submitted) city 33% 2 | Minimum 50 per cent utility network digitized | 50% 21.5 Cr/| Two Utilities on GIS and reflected ‘on:PM Gati Shakti Portal city = 66% 3. |Full utility network ‘digitized on GIS and | 100% %3 Cr/ city | All’: Utilities: reflected on PM Gati Shakti Portal 100% Note: The total length of the network (water/ sewerage/ storm water) in the AMRUT city should be submitted along with the claim. B.2 Mapping of Municipal Assets and Digital Inventory of all Government Lands Online database of municipal assets and government lands is needed to leverage land as a resource. It is expected that all assets are mapped on a geo-spatial database with full attributes and ground truthing of these assets is carried out to find out the actual status on ground. This mapping can further help in aggregation of government offices and adaptive use of underutilized government assets. Under the reform, the state will be incentivized for mapping all the Municipal Assists/Properties on a geo-spatial platform. Reform Eligibility e GroupA &B - Cities with more than 1 million would be eligible for claiming incentives under this component. ¢ Group C - For Hilly/NE states, the capital and one large city would be eligible. Reform Component Amount Mapping Municipal Assets/properties on the GIS platform along with ground|5 Cr per truthing details available online city B.3 Digital Twin Modelling These models are powered by real-time data and can be used to monitor, analyze, and predict the behaviour of the physical counterpart. The digital twins of urban areas will help in master planning, policy planning and disaster management as it will provide details on vulnerability aspects of properties and infrastructure through digital terrain/surface models. They can also facilitate better decision-making support including traffic management, urban development, revenue management and ecological planning. 5 cities in maximum 5 States would be selected on a challenge mode on a pilot basis under this component. e Group A & B (3 States): Cities with a population of more than 1 million e Group C (2 States): Any one capital or a large city in NE/Hilly. Page | 28Milestones and incentives allocated: SI. | Reform Component Amount (in Cr.) 1 | Evidence of Work Order for two cities in states other than NE/Hilly. | = 1 Cr per city Evidence of Work order for one capital city or large city in the Northeast/Hilly States 2 | Final Completion of Work with scenario analysis and Optimization. | % 4 Cr per city Total Amount (Group A, B & C) 5 Crore/city Maximum Allocation Group A & B - 715 Cr. Group C - 710 Cr. II. Financial Reforms These reforms aim at enhancing the revenue stream of the ULBs through improved collection of taxes/municipal dues. A. Integrated Property Tax Portal with Unique ID Aims at creating a unified ID through integration of property tax portal, building permission portal and revenue/registration portal. Reform components would include: 1. Preparation of dynamic digitized property tax register with unique IDs of each property. 2. Linking of registration portal with the property tax portal and building plan approval. 3. Improved collection of property tax. Outcomes: o Property IDs will be generated for left out urban properties. o Increase in collection of property tax and stamp duty. o Recovery of property tax dues before sale of property o Transition to market valuation-based property tax assessment. o Real time land use information to revenue department. Reform Eligibility States to link the property tax portal with the online building plan approval portal of all cities more than | lac population for e Group A & B - Cities with more than | lakh plus population would be eligible for claiming incentives under this component for states other than Hilly/NE states. e Group C - For Hilly/NE states, the capital and one large city would be eligible. Page | 29Milestones and incentives allocated: Sl. | Reform Component Amount 1 | Linking Property Tax Portal with Online Building plan Portal 22 Cr/ City for all cities more than 1 lac. population for Group A & B state Capital &1 Large city for Group C states 2.. | Linking Property Tax Portal with Registration/Revenue portal- Unified IDs. 10: cities with population more than 1 lac or capital city would be incentivized in Group A & B State and Capital and Large city in Group C State. 2.1 | Linking of up to 25% of properties = 1 Cr./ City 2.2 | Linking of up to 50% of properties = 2.5 Cr/City 2.3 | Linking of more than 50% of properties %5 Cr/City B. Diversifying Revenue Sources Usually, property tax contributes to maximum share in the tax revenues of a city. Therefore, there is a need to diversify the municipal revenue through innovative use of urban planning tools like transferrable development rights, land value capture, selling of premium FSIs and revenues from commercial advertisements, parking, renting of municipal properties such as vacant land, Community halls etc. If a ULB is able to increase the municipal revenues from all these sources in the reform period vis a vis 2024-25, it would be incentivized. (Audit report of 2024-25 of municipal revenues should be used as baseline). The incentive is applicable for million plus cities for Group A & B States and Capital city in Group C States. Milestones and incentives allocated: Reform Component Amount Performance based incentive to State - = 10 Cr/City 10% increase in revenue from other sources. IL. Urban Land and Planning Reform A. Urban Planning Reforms A.1 Implementation of Town Planning Scheme (TPS)/ Land Pooling Scheme Overview of the Reform: States shall take up development in greenfield/ semi-greenfield areas for planned urban expansion through TPS/LPS/any other mode of planning for urban expansion. Milestones and incentives allocated: In order to achieve this reform, States are required to make progress with reference to their baseline and increase TPS/LPS/etc. across cities/no. of schemes for cities. Incentives shall be as per the following Page | 30SL./ Category A: | Category B: Category C: | Category D: Requirement | States without | States with legal framework | States with States that legal in place and no _ TPS| legal already have framework implemented framework | legal in place and | framework have and have implemente | sufficient d<5TPS experience of implementin g TPS, ie, >STPS Objective Initiate the | Deepen the reform Deepen and widen the reform reform Interpretatio | States that do | States where legal provisions | States to | States to n not have any | are in place on 15 January 2025 | increase increase TPS/ legal and no TPS/ Land Pooling|TPS/ Land | Land Pooling provisions in| Scheme has been implemented | Pooling Schemes place for TPS/ Schemes across Cities/ Land Pooling across cities/| number of Scheme up till number of | schemes 15 January, schemes within each 2025 within each | city. city Milestones 2100 Cr. to|For States incentivized under |For schemes |For schemes and incentive | each State will| Category A during SASCI| incentivized | incentivized allocated be granted for | 2022-25, under under formulating o %75Cr. for each| Category B| Category C legal scheme for draft | during during SASCI provisions plan (published | SASCI 2022-25, %25 (i.e. after due | 2022-25, %50| Cr. for each formulation of consultation) in| Cr. for each | TPS for act, rules and place. scheme for | reconstitution implementing o 2100 Cr. | draft and taking authority with (cumulative) approved possession of clear roles & foreach scheme |and taking|land for at responsibilities for draft | possession of | least one approved and|land for at| road. The State can taking least one | (Maximum 8 also implement possession of road. schemes will TPS, land for at least (Maximum 4 be advancing to one road. schemes will considered). Category B. For remaining States be o %40 Cr. for draft considered) 212.5 Cr. for plan new schemes. o %50 Cr. %25 Cr. for (cumulative) new for each scheme schemes. for draft approved and taking possession of land for at least one Page | 31road. (Maximu m 2 schemes will be considered) Total Maximum Allocation: = 200 Cr for Schemes that were admitted during 2022-25 = 100 Cr for new schemes. Note: 1. TPS/LPS/other such schemés that were admitted during 2022-2023/2023-2024/2024-2025 till Draft stage will be considered for incentives if the ‘Draft scheme’ is approved by’ thé State Govt. during this scheme period @ 25 Cr/TPS (max. admissible will be 8 TPS). . 2. For ongoing schemes during 2023-2024/2024-25/2025-26, incentive will be considered for those schemes that reach the ‘Draft stage’ during this scheme period, @25 Cr/TPS (max. admissible will be 4 TPS). 3. States that already have notified policy/Act for implementation of TPS/LPS/other such schemes. 4. Cities with 10 TPS already implemented, either draft stage approved, or final stage approved and implemented, shall not be considered for the incentive. TPS in other cities will be considered. 5. For steps and documentary evidence to be submittedfor TPS/LPS/etc. refer Annexure |. 6. The maximum admissible incentive under this reform component is Rs 200 Cr/100 Cr as described above. 7. The incentives given for this component should preferably be used for the development of master plan roads in the cities or creation/ augmentation of infrastructure in the town planning/local area plan scheme area/ Land pooling scheme area. A.2 Revitalizing the Central Business Districts/ Historic Core of the State Capitals / Major Cities Overview of the reform components: Aims at revitalizing, restoring, and retrofitting city cores and marketplaces of historical importance to turn them into vibrant economic and cultural spaces. The focus should be on improving the legacy infrastructure (older physical and technological systems in urban environments that were built to support the functions of the city but are now outdated or unable to meet modern demand) and adaptive use of underutilized government assets/infrastructure. Through creatively reorganizing the city spaces, city can increase land under public realm, promote pedestrianization, and create blue-green public spaces, wherever possible. Reform shall be applicable for ¢ Group A & B - The State can submit 2 cities, including the state capital ¢ Group C - Capital City and one large city Page | 32Milestones and incentives allocated: SI. | Reform Component Amount (in Cr.) 1. [Concept plan (Stakeholder mapping and] 50 Crore / City consultation) 1. Area Identification & Delineation e Each state can submit 2 2. One nodal officer/team establishment cities, including the state 3. Formulation of differential building bye- capital. laws, ; ‘| NE/Hilly’ ‘States — Capital 4. Transportation plan of the delineated area City and Large City in the and provide off-street parking facilities. state 5. space should be for trade 6. Planning for retrofitting legacy infrastructure 7. Drainage plan and basic infrastructure planning 8. Increasing public realm places, including blue-green infrastructure 9. Pedestrianization initiatives 2 | Initiation of the minimum one project in within the | 90 Crore / City delineated area (Public/private) Total maximum incentive allocation Incentive per city - 150 Cr. Total incentive per State: 300 Cr A.3 Theme Based Greenfield Cities Overview of the reform components: Aims at developing new urban centers with strong identifiable economic anchors to drive growth and employment. These greenfield cities should be planned based on thematic concepts such as Tourism (including spiritual/religious/wellness), Knowledge & Skill, Logistics & Manufacturing, MICE, Research & Innovation, IT/IT-ES City, Aero-city, Medi-city, Heritage etc. The focus should be on designing inclusive spaces that cater to diverse income groups, ensuring equitable access to housing, amenities, and opportunities. These cities should be planned with a minimum size of over 25 hectares for Hilly/NE states & 50 hectares for other states to accommodate comprehensive development and phased growth. Key features should include modern civic amenities, essential social infrastructure like education. and healthcare facilities, integrated blue-green infrastructure, renewable energy infrastructure, and promotion of Non-Motorized Transport (NMT) solutions to create sustainable and resilient urban environments. Additionally, effective governance mechanisms & disaster readiness strategies should be integrated to enhance resilience and liveability, thereby establishing a thriving urban ecosystem that balances economic vitality with ecological responsibility. Reform shall be applicable for e¢ Group A & B - Other states (1 City Proposal/State) e Group C - NE/Hilly states (1 City Proposal/State) Note: Maximum of 12 projects in the country would be selected on challenge mode under this component. MoHUA shall constitute a committee to select 12 best projects among the applicant Page | 33States. Incentives shall preferably be utilized for development of trunk infrastructure of the identified city. Milestones and incentives allocated: Sl. | Reform Component Amount (in Cr.) 1, |Concept plan (Stakeholder mapping and consultation) - Theme- | = 200 Cr based (Other states), i. Land Availability- Partial land availability (25-30%) must be ** “contiguous, encurhbrance-free, accessible &° strategically located : 2100 Cr ii. Preparedness for Master plan with defined land use and | (NE/Hilly States) layout plan iii, Identification and on boarding of implementing agency 1. Each state can iv. Connectivity with major transit hubs (ports, railways, bus submit 1 city terminal, sea port, highways) proposal. v. _ Environmental Clearance Initiated 2. Minimum size vi. City planning ensuring building bye-laws, master plan, local of 50 hectares area planning, computerized land records, State RERA for other states applicability, development architecture aligned with & over 25 constitutional provisions, and statutory compliance. hectares for vii. | Adequate Social Infrastructure as per standard Hilly/NE viii. Financial sustainability plan states ix. Technology and Data led Governance x. Environmental sustainability prioritizes non-motorized transport, EV infrastructure, improved air and water quality, wetland protection, resource recycling, resilience strategies, climate-proof buildings, green-blue infrastructure, energy- efficient designs, and net-zero emissions. 2 | Initiation of minimum one project in within the delineated area =50Cr Total maximum incentive allocation Group A & B - = 250 Cr Group C - = 150Cr A.4 Neighbourhood Improvement Plans The city should select wards that require urban form and planning improvement. The improvement plans should provide for seamless transit/infrastructure and services in the area; a proper service level benchmarking of the area of the services should be part of the plan. Reform shall be applicable for 1 million-plus cities: e Group A & B States - Two (2) Cities with a population of more than 1 million * Group C States - Any one capital or-a large city in NE/Hilly. Milestones and Incentives Allocated Sl. Reform Component Amount (in Cr.) 1 Two cities from states other than NE/Hilly, | city for NE/Hilly States 225 Cr. (Group A & Development of Safe City Street for women, children and specially- B states) abled plan including: Page | 341. Identification of high-risk zones/ accident-prone/black spots, %15 Cr. (Group C congested streets etc. States) 2. All schools should be mapped as part of the action plan, and the safe city street plan should include a strategy to increase accessibility. 3. Improve urban safety and security, particularly for women, children, and disabled individuals. It involves states improving pedestrian infrastructure, installing CCTV surveillance, energy- efficient street lighting, security apps, alarm systems, and-real- -. - time monitoring. 4. A detailed action plan endorsed jointly by law enforcement agencies and the urban department of urban local government/authority. 5. Utilities and infrastructure of the delineated area of the plan should be digitally mapped. 6. The plan involves the mitigation strategies of urban flooding/stormwater management. 7. Create business spaces in the delineated area of the neighbourhood plan. Maximum2 projects in Group A & B State’s %25 Cr per project Maximum1 project in NE/Hilly states Total maximum incentive allocation Group A & B- 275 Cr Group C - %40 Cr A.5 Transit-Oriented Development (TOD): Aspect of the reform: Densification and ease of Transit. The focus should be on providing seamless multi modal integration and reduced block size for pedestrian friendliness. Reform shall be admissible as per the following: Applicable for cities with population of 3 million plus Ring-fencing of resources so that funds generated through urban planning tools like enhanced FSI, TDRs, etc. are used for strengthening of infrastructure in the TOD corridor. Creation of the Urban Infrastructure Development Fund (UIDF) with dedicated escrow account and provisions for betterment levies and cess charges Milestones and incentive allocated SI. | Reform Component Amount (in Cr.) 1_| Notification of TOD Corridors (Maximum5 corridors) %10 Cr./ corridor 2. | Draft: Local Area Plan (LAP) for densification of corridors (Maximum| @10 Cr./ corridor 2 corridors) 3. | Final: Local Area Plan (LAP) for densification of corridors (Maximum | 710 Cr,/ corridor 2 corridors) 4 | Taking up public/ private projects in TOD corridors (at least 2 projects) | €50 Cr. 5 | Creation of the Urban Infrastructure Development Fund (UIDF) with a | %10 Cr./ State dedicated escrow account and provisions for betterment levies and cess charges Page [356_| Differential building byelaws including land value capture 210 Cr/ State Total %100 Cr./ State B. Environment and Sustainability Reform (Climate Change Resilient Strategies) B.1 Creation of Sponge Cities: take a water-logging area and plan to hold green spaces (Other than NE/Hilly States) Creation of Sponge Cities The Sponge City concept is an.urban:water management approach designed to enhance a city's « ability to absorb, store, and reuse ‘rainwater while reducing urban flooding. Key Principles of Sponge Cities 1. Natural Water Retention: Utilizing green spaces, wetlands, and permeable surfaces to absorb rainwater. The cities may identify flood-prone areas and create sunken spaces to increase the water-holding/ retention capacity and channelize the flow of access water during the rain. 2. Flood Risk Mitigation: River Channelization and Storm Water Management 3. Groundwater Recharge: Enhancing natural infiltration through various strategies. 4. Heat Island Mitigation: Green blue spaces act as carbon sinks thereby reducing urban heat island effect & enhancing climate resilience of the city Reform shall be applicable for 1 million plus cities Milestones and Incentives Allocated. SI. | Reform Component Amount | Maximum (in Cr.) Incentive Claim 1__| Storm water drainage plan for the city including %5 Cr 30 Cr e A digital elevation model (DEM’s for the city) e Identification of urban flooding hotspots e A detailed plan for managing water in waterlogged areas: Improved Drainage Systems, Water-Resilient Landscaping and Ecosystem-Based Solutions. ¢ Maximum 6 cities 2 | Undertaking projects (maximum 5 projects @ 5 Cr for one | $5 CR 225 Cr project; maximum 2 projects in one city in flood prone areas/ zone) such as e Bio-swales, rainwater harvesting structure, retention ponds & Desilting and cleaning of storm water drains/ rainwater harvesting pits e Permeable pavements and rain gardens etc. ¢ Sunken green spaces to hold storm water Storm water drainage or any other related projects Evidence of work order to be submitted Total Maximum Incentive Allocation %55 Cr Page | 36B.2 City Greens & Urban Forests (Other than NE/Hilly States) States shall be incentivised for creating urban green spaces and urban forests that are interconnected. Reform shall be applicable only for 0.5 million plus cities. Milestones and Incentives Allocated SI. |Reform Component: : « Amount (in Cr.) 1 | Development of a total of 50 acres of green space/city-level urban | €25 Cr. per city parks, comprising of not more than 5 land parcels (25 Cr per city, maximum 2 cities ). 2 i. Integration of parks, urban forests through seamless walking |%2 Cr. per city trails. For every additional km 50 lakhs up to the 10 Cr. (Minimum 5 km) ii. Operation and maintenance of the corridor should be| Max 10 cr. per city provided for in the project, preferably through SHGs. Total Maximum Allocation =70Cr B.3 Rejuvenation of Existing Wells (Other than NE/Hilly States) Rejuvenation of Wells refers to the process of restoring or improving the functionality of existing wells to enhance their water storage, quality, and flow. It is essential to ensure a reliable water supply, especially in areas where groundwater is the primary source of drinking water or irrigation. Reform Components 1. Eligible only for Group A & B states. 2. 100 wells at public places in a city of more than 5 lakh population in the states other than NE/Hilly states. Milestones and incentives allocated: Reform Component Amount 2 cities in one state in states other than NE/Hilly 1. Rejuvenate the Existing Well or construct new well Rs. 15 Cr each 2. De-silting and Sediment Removal 3. Replace or Repair the Casing 4. Pumping System Maintenance 5. Testing mechanisms for Contamination Total Maximum Allocation Rs. 30 Cr B.4 Conservation and Rejuvenation of Urban Waterbodies For Conservation & Rejuvenation of Urban Waterbodies, Sates have undertaken rejuvenation of water bodies to conserve water, improve sources of water supply, improve water quality, rejuvenation of spaces around water bodies & mitigate Urban Heat Island effects. Under this component, States will be incentivised for demonstrating completion of urban water body rejuvenation projects between 2023 — December 2025 with minimum area of 0.5 acres, Page | 37demonstrating evidence of improved quality & quantity of water, other than those under AMRUT/ AMRUT 2.0 scheme. Milestones and incentives allocated: Reform Component Amount (in Cr.) 1. Water bodies with minimum area 0.5 acres up to 1 acre = 10 L/water body project completed 2. Water'bodies more than‘area of 1 acre 2°25 L / water body completed 3. Evidence to be submitted by states shall include before and after photographs, geo tag locations, before and after quality test reports of water, and before and after effect on temperature of surrounding areas. Total Maximum Allocation = 50 crore / state (for Group A & B states) % 20 crore / state (for Group C states) B5. Inclusion of Green Building Initiatives in Building Byelaws Inclusion of Green Building Codes in building byelaws makes sustainable practices like energy efficiency and water conservation mandatory for new constructions and major renovations. This reform ensures environmentally responsible & sustainable development, helping cities reduce their carbon footprint and promote healthier living environments. Milestones and incentives allocated: Reform Component Amount (in Cr.) ¢ Inclusion of green building codes such as Energy Conservation & = 10 Cr/ state Sustainable Building Code (ECSBC) for Commercial & Office (Group A & B Buildings & Eco Niwas Samhita (ENS) for Residential Buildings state) Adoption of green rating systems in building bye-laws to ensure = 5 Cr/ state that new constructions meet sustainability and energy efficiency (Group C state) standards by providing green building incentives such as additional FSI/ FAR, ete. Inclusion of cool roofs / green roofs Promotion of renewable energy initiatives in new development Any other step deemed progressive by MOHUA. Page | 38Total Maximum Allocation = 10 crore / state (for Group A & B states) % 5 crore / state (for Group C states) PART - X B: Compliance Reduction & Deregulation for Ease of Doing Business (EoDB Allocation: 25 ,000 Cr. is earmarked for these reforms related to compliance reduction & deregulation for Ease of Doing Business (EoDB) by States/UTs with legislature for implementing reforms under the priority areas outlined. Objectives: Promoting Ease of Doing Business through Compliance Reduction and Deregulation needs focus to enable ease of operation of existing / setting up of new Businesses, industries including MSME’s for job creation & to promote economic growth. Modalities: e The states have been categorised into three different groups (A, B & C): Small, Medium & Big, & the corpus fund has been appointed accordingly e This incentive shall be allowed on ‘first come -first serve’ basis, e An incentive of maximum = 700 Cr. Shall be earmarked for each of the priority areas given below. ¢ Operational Guidelines would be issued by MoHUA. The recommendation of the designated task force member for the concerned state/UT will be sought by MoHUA before recommending the proposal to DoE. Reforms implemented in the period commencing from 1" April 2025 to 15" December2026 will be considered for incentives under this component. MoHUA will submit its recommendations to DoE by 20‘ December, 2026. A. Priority area I: Land Sl. | Reform Component Amount (in Cr.) 1 | Adopting flexible zoning framework for mixed-use development |% 100 crore per activities state (for Group A e Inclusive Zoning which would operate on the basis of| states) negative list of activities that are non-permissible in the zone & allowing all other uses = 50 crore per e Regularizing Non-Conforming Legacy Uses state (for Group B « Mixed Land Use, especially for TOD zones states) e Walk to Work concept in TOD Zones e Enabling provisions to increase more commercial &|% 25 crore per industrial activities in Urban Development Authority Areas. | state (for Group C e Reducing the number of sub-classifications of land use states) Page | 39Flexible GIS based master plans Industry linked Affordable housing projects with dwelling units < 60 sq mt areas should be encouraged with differential building bye laws Updated notification / Master plans / Byelaws shall be submitted as evidence 2 | Simplify and digitize the process for land use change (plan area) = 100 crore per in rural/urban areas with clearly defined timelines __ state (for Group Aj, . .Change of land use (CLV) services available through an states) online single-window system. Portal should provide clear information on fees, procedures & required documents. = 50 crore per Rationalize the documents and levels of approvals. state (for Group B No CLUs in Designated Industrial Areas/Estates states) Allow industrial worker housing as part of core activity in industrial areas/ estates/ parks. — No CLU should be = 25 crore per applicable for such industrial housing state (for Group C Increase in Validity of CLUs states) Relaxed CLU norms for MSME s Explore the possibility of PM-Gati shakti platform for CLU 3 | GIS databank for industrial land available in State, integrated = 100 crore per with India Industrial Land Bank (IILB) state (for Group A Ensure availability of data of all land banks (Vacant plots) in states) state/UT owned industrial estate (Estate wise) on an online = 50 crore per system / portal which is in public domain, such data may also state (for Group B include details of industries or sectors for which the land can states) be used = 25 crore per state (for Group C states) 4 | Rationalizing minimum road width requirements for different = 100 crore per categories of industries/ commercial use in rural areas. state (for Group A This may be done based on Risk Based Classifications. The states) principles of fire safety, disaster proneness of an area and nature of = 50 crore per industry should be considered while amending road widths state (for Group B states) = 25 crore per state (for Group C states) . B. Priority area II: Building & Construction SI. | Reform Component Amount (in Cr) 1 Amend building regulations to reduce land loss in industrial plots | ¥ 100 crore per Rationalize Setbacks including side & rear setbacks basis plot | state (for size (eg. Plots less than 500 sqm & plots more than 500 sqm) Group A states) Page | 40Rationalize Parking Norms subject to local site conditions and = 50 crore per basis best practices of other state / international practices. state (for Review and increase FARs, Ground Coverage & Height basis Group B states) best practices. = 25 crore per Rationalize Minimum plot area for industrial purpose. state (for The principles of fire safety, disaster proneness of an area and Group C states) nature of industry should be considered while amending building bye laws irs) alia building regulations to reduce land loss in commercial plots % 100 crore per Rationalize Setbacks including side & rear setbacks state (for Rationalize Parking Norms subject to local site conditions and Group A states) basis best practices of other state / international practices. = 50 crore per Review and increase FARs, Ground Coverage & Height basis state (for best practices. Group B states) Rationalize Minimum plot area for commercial purpose. = 25 crore per The principles of fire safety, disaster proneness of an area and state (for nature of business should be considered while amending Group C states) building bye laws 3 Increase the role of empaneled third parties in building approvals = 100 crore per and joint inspections state (for Increase the role of empaneling third parties in building plan GroupA states) approval process = 50 crore per Third party joint inspections for NOCs /Completion state (for /Occupation Certificates. Group B states) Self-Certification (by Architects / Developer /Owners) based on = 25 crore per a trust and verify model for low-risk buildings state (for Increasing the validity of NOCs Group C states) Online system of assigning Third Parties. 4 |Simplify the process of issuing Occupation/Completion = 100 crore per certification of buildings state (for Implementation of an integrated end-to-end digital portal Group covering all cities for building approvals, from application to issuance of occupancy and completion certificates, involving all relevant internal and external agencies (CLU, NOCs, fire services, utilities, AAI, NMA, Forest, Labour, Factory Directorate). o Online application with integrated payment for all Internal / External agencies for NOCs/ CLU’s / Building Approvals o Scheduled timelines, Service level Benchmarking (SLB) with online tracking o Automated review of building plans to ensure compliance with uniform building codes & bye laws, using Auto DCR or similar software A states) = 50 crore per state (for Group B states) = 25 crore per state (for Group C states) Page| 41o Issuance of digitally signed & approved building plans / Occupancy / Completion certificate o E-intimation on commencement of construction/completion o The portal should display the status of applications submitted/approved. o The incentive would be released upon due verification _. of MIS. Mandatory Reform: e The. States shall issue a notification stating that offline submissions shall not be accepted post adoption of integrated portal. Payment of Incentives: 1. State Government(s) after achieving prescribed reforms under various components of this Part shall submit a report to MoHUA for further examination and submission of recommendations to the Department of Expenditure. 2. States who have claimed incentives under Part-V (Stimulating Industrial Growth) of SASCI 2024-25, for Reform-I (i.e. notifying changes in ground coverage, setbacks, and parking requirement for industrial plots of standalone factories to ensure that, on an average, the unit level land lost on account of prevailing building regulations is less than 30 percent); and Reform -3 (i.e. notifying changes to building regulations to increase the base FAR for all commercial buildings in municipal and development areas to at least 5 and increase the base FAR for all commercial buildings in Central Business Districts and transit-oriented development corridors to 5+2) shall not be eligible to claim incentives for said amendments under this part. 3. MoHUA will examine the submissions by the State governments and make recommendations to the DoE for release of incentive amount to each State. The incentive received under this part should preferably be used for the augmentation of infrastructure under the concerned components in the cities. 4. Incentive recommended by MoHUA under Part-XIII of SASCI 2024-25 on or before 31.03.2025 but could not be released in 2024-25 may also be released in 2025-26 under this part of SASCI 2025-26, provided that the State government had submitted the list of projects to be taken up from the incentive amount so recommended, before 31.03.2025. Other provisions: 1. The Union Government may allocate additional funds under Part-1 of the scheme to states which due to any special reason/situation have witnessed contraction in expenditure or revenue collection in last two financial years impacting capital investment in the state. An amount of Rs 2,000 crore has been set aside for this purpose to expedite the pace of capital expenditure and development in such states. Page | 422. The general conditions as enumerated in the Letter F No. 44(1)/PF-S/2025-26 (CAPEX)Dated 7 April 2025 shall be applicable for all the above parts. 3. These guidelines will come into effect immediately on their notification. 4. The concerned Nodal Ministries should issue operational guidelines for parts concerning their ministries latest by 15.06.2025. In case of any delay, the funds earmarked for the part concerning them may be assigned to other parts of SASCI 2025-26. re 4 This issues with the approval of Finance Minister. Yours faithfully, IP arfos[uo2e (Chinmay Pundlikrao Gotmare) Director, (PF-States) Phone : 011-2309 5647 Page | 43