Himachal Pradesh: In the past two years, the Sukhu government has granted approval for 355 units for investment under Section 118 in Himachal Pradesh. This includes 176 industrial units, 126 tourism-related ventures, and the remainder for real estate, hydroelectric projects, educational institutions, religious-charitable organizations, and other commercial establishments. The government has issued the most approvals for establishing industries under Section 118. The introduction of an online dashboard has led to an increase in the number of approvals granted to investors.
Section 118 of the Himachal Pradesh Tenancy and Land Reforms Act, 1972, allows non-residents to purchase land for various purposes with government approval. For establishing industries, or for investment or other commercial establishments in Himachal Pradesh, it is mandatory for non-residents to obtain permission from the government to buy land.
Over the past two years, only two applications have been approved for opening educational institutions in the state. Three applications have been approved for establishing hydroelectric projects. Additionally, the government has granted approval for 10 applications for religious and charitable institutions. Three other projects have also been approved under the commercial category.
The government has received the highest number of applications for opening hotels in Himachal. Investors are also showing interest in starting adventure activities. Furthermore, permits under Section 118 are being sought for residential buildings ranging from three to five bighas.
People are showing interest in investing in real estate in Himachal Pradesh as well. In the past two years, the government has approved 34 real estate projects under Section 118. The clean environment of Himachal is attracting people to live here, which is why large real estate companies are expanding in the region.