New Tourism Policy-2022 Approved in Uttar Pradesh - 2 | Course for UPPSC Preparation - UPPSC (UP) PDF Download

Capital Investment Subsidy

• An additional 5% subsidy is provided for underserved destinations in Tier 2 or lower cities, women entrepreneurs, and SC/ST/Backward classes, focusing on Tourism Destinations notified by the Department. The cumulative incentives are capped at 30%. The eligible portion of purchased land is included in the Capital Investment. Public-Private Partnership (PPP) projects are also eligible for incentives.

Interest subsidy

• A 5% interest subsidy is granted for a 5-year period on bank loans up to INR 5 crore. Units can apply for either capital or interest subsidy. Hotels and resorts are accorded industry status, subject to industry rates for house tax, water sewerage tax, and electricity duty.
• Construction is allowed in notified industrial areas, with a 100% stamp duty exemption on the first transaction and full reimbursement of land conversion and development charges. Employment Generation subsidy offers 100% reimbursement of Employee Provident Fund (EPF) expenditure over a 5-year period.

Industry status to hotels and resorts

• Units catering to specially-abled individuals receive a payroll assistance of INR 1500 per month per worker. A grant of INR 5 lakh is provided for the revival of scarce art and culture.

Incentives for ICT Enablement

• One-time assistance of 25% is offered for the procurement of equipment. There is a 25% subsidy for promotional content using technology, AI, and the metaverse. Financial assistance is extended for the introduction of Information and Communication Technology (ICT) in tourism.

Support to Responsible Tourism:

• Financial assistance includes a 75% reimbursement for the cost of conducting an energy audit, 20% reimbursement for the capital cost of setting up a sewerage plant, and a 50% reimbursement of green certification fees. Achieving Responsible Tourism Society of India certifications results in a 100% reimbursement. Assistance for research in the travel/hospitality sector is provided to five projects by recognized travel associations, management institutes, and hospitality bodies.
• There is a 50% subsidy on space rent, with INR 30,000 for national events and INR 1 lakh for international events. MICE activities receive a 50% reimbursement for the cost of international conferences in accordance with standards. YUVA tourism is supported with a one-time grant of INR 10,000 to youth clubs within government educational institutes.
• Units can win up to INR 1 lakh in prize money through State Tourism Awards. Heritage Hotels enjoy a 25% subsidy on capital costs without compromising architectural integrity. Self-expenditure and loans are considered eligible capital investment. A 5% subsidy is granted for 5 years on bank loans up to INR 5 crore. There is a 100% exemption on stamp duty and land use conversion, along with a 50% reimbursement on first-year Excise license fees.

Allotment of Govt land:

• Land allotment is based on prevailing District Level Committee rates, and land allocated under this policy cannot be repurposed for at least 30 years.