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The Comptroller and Auditor General has flagged the prolonged underutilisation of 81.42 acres of land in Baprola, southwest Delhi, by the Delhi State Industrial and Infrastructure Development Corporation. The land was acquired in 2006 for developing a Gems and Jewellery Park and a Fashion Design Hub, but repeated changes in the proposed use left nearly 59 per cent of the allotted area unused for more than 17 years. The audit also highlighted unfruitful expenditure of INR 29.45 crore and an outstanding ground rent liability of INR 15.79 crore.
The Delhi State Industrial and Infrastructure Development Corporation (DSIIDC) failed to utilise 81.42 acres of land in southwest Delhi's Baprola for more than 17 years due to repeated changes in the proposed use of the site, resulting in unfruitful expenditure of INR 29.45 crore, the Comptroller and Auditor General (CAG) has said.
The CAG report, tabled in the Delhi Assembly by Chief Minister Rekha Gupta, said DSIIDC acquired leasehold rights for 137.63 acres of land at Baprola from the Rural Development Department (RDD) in December 2006 for 99 years. The land was intended for developing a Gems and Jewellery Park and a Fashion Design Hub.
DSIIDC paid INR 38.09 crore to the RDD in January 2007 towards the cost of the land and the first year's ground rent. An audit of records covering April 2019 to March 2023 found that only 56.21 acres had been utilised, while 81.42 acres, or around 59 per cent of the allotted land, remained unused.
According to the CAG, the delay was linked to repeated changes in the development plans. In 2010, the proposed Gems and Jewellery Park and Fashion Design Hub were replaced with a Knowledge Based Industrial (KBI) Park after developers failed to show interest.
A consultant's report in March 2012 found the KBI Park financially feasible, but the proposal remained at the planning stage until 2018. Another assessment in 2019 subsequently found that the project was not feasible under the market conditions prevailing at the time.
The KBI Park proposal was dropped in August 2019 following a decision by the Delhi industries minister, with plans instead made to develop shop-cum-office spaces and factories on the site. However, this plan was also not implemented.
The Delhi government's 2022-23 budget later proposed developing an Electronics City on the available industrial land at Baprola. However, no further progress had been made till November 2024, as the Delhi Electronic System Design, Manufacturing and Refurbishment Policy 2024-29 was still awaiting approval.
The CAG said the indecision and repeated changes in the intended use of the land resulted in 81.42 acres remaining unutilised despite expenditure of INR 29.45 crore.
The audit also found that DSIIDC had not paid annual ground rent from December 2007 to December 2024, resulting in an outstanding liability of INR 15.79 crore. The liability could rise further due to applicable interest and penalties.
Source PTI
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