Rs 70.4cr Industrial land lies idle for 6 years | Goa News

The CAG revealed that the land was acquired despite repeated warnings from the Goa Industrial Development Corporation (GIDC) that the compensation amount was exorbitantly high and would make plots unviable for entrepreneurs.The CAG report exposed how the govt disregarded concerns raised by GIDC and the Directorate of Trade, Industries and Commerce (DITC), and proceeded with the acquisition. The CAG said that the land lay idle for the past six years and generated zero employment opportunities despite the massive investment of public funds.“The acquisition of land for industrial purposes with an exorbitantly higher premium of Rs 70.4 crore, despite the reluctance expressed by both the GIDC and the DITC, resulted in the idling of the land for the last six years, defeating the purpose of land acquisitions,” the CAG report said.The flawed acquisition began in May 2013, when GIDC proposed acquiring 1.9 lakh sqm at Shiroda in Ponda for expansion of the existing industrial estate. However, when GIDC found out that the acquisition would cost Rs 70.4 crore, GIDC raised a red flag, warning govt that the high compensation rate would result in prohibitive premium costs.“In case the land was acquired at the award price, the premium amount to be charged for the developed plot would be about Rs 10,530 per sqm, approximately five times the prevailing highest premium of a plot for sale, which was Rs 2,310 per sqm at Verna Industrial Estate,” the GIDC calculated, adding bluntly that “there would be no takers for the plots at Shiroda Industrial Estate”.Despite GIDC and DITC asking the cabinet to drop the acquisition in July 2017, govt went ahead with the acquisition in Feb 2018.Since then, the land remained completely undeveloped. GIDC sought directions from govt on utilisation of the land in Nov 2023, but the matter remains unresolved.“No new industries were established and no employment opportunities were generated, despite an investment of Rs 70.4 crore,” the CAG noted.