TelecomLive April 2024

Semiconductor Plants www.telecomlive.com 63 TelecomLIVE April 2024 onc e t he deve l ope r ha s completed investment and obtained completion certifi- cate from the respective Authority and has fully paid complete lease rent, approval of the Board of Authority will be a prerequisite for cancella- tion of the lease deed in case of any violation by such semi- c ondu c t o r un i t s o f t h e Authority norms/ bylaws. vii.Three Shift Operations: Semiconductor units shall be pe rmi t t ed t o have 24x7 operations and employment of women in all three shifts, subject to the units taking necessary precautions with respect to safety and security of women employees. viii. Self-Certifications: Semiconductor units are exempt from inspections under the following Acts and the Rules framed thereunder, barring inspections arising out of specific complaints. These units are permitted to file self-certificates, in the prescribed formats: ¦ The Factories Act The Maternity Benefit Act ¦ The Shops & Establish- ments Act ¦ The Cont rac t Labour (Regulation & Abolition) Act ¦ The Payment of Wages Act ¦ TheMinimumWages Act ¦ T h e E m p l o y m e n t Exchanges (Compulsory Notification of Vacancies) Act Process of Application Applicants must use the Nivesh Mitra portal to submit their proposals, which will then guide them to the Online Incentive Management System. Here they would be required to submit essential proposal details and documents related to the project, to apply for a Letter of Comfort (LoC) from the Department of IT and Electronics under the UP- Semiconductor Policy 2024. cost (subject to a maximum of 10 crore) will be borne by Government of UP. The company will have to consider only one option out of paras ix or x that is either they can avail subsidy of setting up R&DCentre or CoE. xi. Reimbursement of Patent Registration Fees: Patent Registration fees shall be reimbursed (one-time) at the rate of 75 per cent of the expenses subject tomaximum Rs 10 lakh for acquiring domestic patents and subject to maximum Rs 20 lakh for a cqu i r i ng i n t e rna t i ona l patent in one-instalment. xii.Industrial Housing: 10 per cent of the cost of develop- ment of workers housing/ d o rm i t o r y a n d r e l a t e d collective facility within a radius of 10 km of the pre- mises of the unit or Rs 210 crore, whichever is lower, will be provided in 7 equal annual instalments. Non-Fiscal Incentives i. Mission Critical Infra- structure: The semiconduc- tor Industry in the state shall be classified under Essential Services andMaintenance Act (ESMA) as an e s s ent i a l service provider. ii. Wa t e r Supp l y : S t a t e Government will ensurewater supply to Semiconductor units at their Project site. iii. Unit shall be permitted to get power through open access. iv. Power banking for Renew- able/ Green Energy shall be provided to the unit, it will be governed as per (Electricity Regulatory Commission) ERC guidelines of the state. v. The government will ensure sufficient redundancy in the power grid to guarantee a reliable power supply for the seamless operations of FAB projects. vi. Non-Disturbance Provi- sion: In order to provide assured business continuity, 20K support per student. c. Semiconductor being the sunrise industry, the supply of world class talent in India is limited. To bridge the gap and attract world class talent i n s e t t i ng up o f t h e semiconductor industry, one time support to hire s u c h t a l e n t w i l l b e provided for a period of 12 months subject to a limit of Rs 1 crore per unit. ix. Standalone R&D Centre: The government will reim- burse 25 per cent of the cost of setting up such Standalone R&D Centre subject to a maximum of Rs 10 crore, provided: a. Such R&D Centres must have a minimum Eligible Capital investment of Rs 20 crore. b. It must have a clearly demarcated facility inside or outside an industrial unit. c. It must be recognized by Council of Scientific & I ndu s t r i a l Re s e a r c h (CSIR)/ Department of Scientific and Industrial R e s e a r c h ( D S I R ) / So f tware Techno l ogy Parks of India (STPI). d. Th e s u b s i d y w i l l b e provided in instalments of 50 per cent on approval of the project, next 25 cent after 3 years of approval a nd l a s t 2 5 c e n t o n a c h i e v eme n t o f t h e committed results in 5 years. x. Center of Exce l l ence (CoE): Policy envisages to create world class infrastruc- ture in the form of CoE to promote research, innovation in the semiconductor sector. Policy aims to establish CoEs in collaboration with reputed academic institutions and/ or i n d u s t r y a s s o c i a t i o n s / industry or any other Govt/ Private entity. Up to 50 per cent of the total CoE project