ABSTRACT 

DEPARTMENT OF INDUSTRIAL DEVELOPMENT (INDUSTRIES & COMMERCE)

G.O.Ms. No.   11/2002-Ind                       Pondicherry, dated  06/11/2002

READ: 1. G.O.Ms No 2/2002 – Ind. Dated 16^th may, 2002 of the Department of Industrial Development (Industries & Commerce), Pondicherry.

          2.  I.D. Note No 2/IND/A8/2001 dated 10-12-2001 from the Director of Industries, Pondicherry.

            The following notification shall be published in an extraordinary issue of the Official Gazette.

NOTIFICATION

            AND WHEREAS as per item 1 under para 2 of the said notification, the Industries and Commerce Department have been required to grant incentives / concessions to the extent specified there- under,

            AND WHEREAS in order to implement the said G.O. in so far as it relates to the Industries and Commerce Department, it has become necessary to formulate a Scheme  to prescribe the procedure whereby the IT industries could avail of the incentives / concessions so offered;

            NOW, THEREFORE, the Lieutenant Governor, Pondicherry is pleased to approve the scheme for Accelerating the Growth of Information Technology Industries with two components viz ( 1) Capital Investment subsidy and (2) Connectivity Incentives, as detailed below:-

1. Short Title, extent and commencement:-

1. The scheme shall be called as “The Scheme for Accelerating the Growth of IT Industries (SAGII) in Pondicherry”
2.      It shall extend to the whole of the Union Territory of Pondicherry.
3.      It shall come into force at once.

2. Definition:- In this scheme, unless the context otherwise requires.-

a)     “IT Industries” means Hardware (Computers, Peripherals, telecommunication and related products), Software and  I.T. Services.

 b)     “IT Software” means any representation of instruction, data, sound, image including source code, object code recorded in a machine, readable form and capable of being manipulated or providing interactivity to use by means of automatic data processing machine falling under the head “IT Products”.

         c)      “IT Service” means any service which results from the use of any IT software over a system of IT products for realising value addition. 

d)     “Capital Investment” means investment made on Plant & Machinery.

e)     “ New IT Industry” means an industrial unit which has made investment on Plant & Machinery and starts production during the period of operation of the scheme.

f)        “Investment on plant and machinery” means the initial purchase price of the machinery and equipments as assessed by Industries Department.

 (viii)   An IT unit which has availed subsidy will not be eligible to apply for subsidy again.

4. CONNECTIVITY INCENTIVE:-

The IT policy of the UT of Pondicherry has recognised the importance of connectivity between the computing devices as extremely important to the growth of the information technology industry in the UT. In order to facilitate data transfer connectivity, it is proposed to provide subsidy on the leased lines/ RF ( Radio Frequency) obtained either from Department of Telecom or from other authorised/licensed vendors. Only new IT units would be entitled to connectivity subsidy for a maximum of sixty-four (64) kbps data line. In case a unit has higher capacity connection the subsidy would be limited to 64 kbps only.  The lease rental for the data line should be paid annually. The units could avail the subsidy as given below:-

(1)       New IT units would be entitled to a subsidy of 50% of the lease rental that it pays for its data line/RF subject to a maximum of Rs 10 lakhs per annum. It would be admissible annually for three years or the date of closure of the scheme, whichever is earlier. A unit would receive subsidy on actual annual lease rental paid for the connectivity of the nearest available international gateway.

(2)       Any fixed costs paid in the process of installing these lines will not be admissible for the connectivity incentive.

(3)       An Internet Service Provider or a cyber café or an IT unit which is in the business of providing internet connection/ services to others will not be eligible for this incentive.

(4)       The subsidy should be claimed in the prescribed form as in  Proforma – IV.

(5)               The units that have availed connectivity subsidy should operate at least for a period of one year

 5.         This issues with the approval of Finance Department vide their I.D. No. 29914/2002/F3 dt. 22-3-2002.

 // BY ORDER //

                                                                                              (P.M.EMMANUEL)

                                                            UNDER SECRETARY TO GOVT. (IND.& COM.)

Appendix – I

(See clause – 3.1.2)

Illustrative list of IT Products

1.      Chemical elements doped for use in electronics, in form of discs, wafers or similar forms; chemical compounds doped for use in electronics

2.      Word processing machines

3.      Calculating machines and pocket­size data recording, reproducing and displaying machines with a calculating function; accounting machines, postage franking machines, ticket­issuing machines and similar machines, incorporating a calculating devices; cash registers:

4.      Electronic calculators capable of operating without an external source of electric power and pocket size data recording, reproducing and displaying machines with calculating functions

5.      Other electronic calculating machines incorporating a printing device

6.      Other calculating machines

7.      Accounting machines

8.      Cash registers 

9.      Automatic data processing machines and units thereof; magnetic or optical readers, machines for transcribing data onto data media in coded form and machines for processing such data, not elsewhere specified or included:

10. Analogue or hybrid automatic data processing machines

11. Portable digital automatic data processing machines, weighing no more than 10 kg, consisting of at least a central processing unit, a keyboard and a display

12. Other digital automatic data processing machines comprising in the same housing at least a central processing unit and an input and output unit, whether or not combined

13. Other digital automatic data processing machines presented in the form of systems

14. Digital processing units, whether or not in the same housing one or two of the following types of units : storage units, input units, output units

15. Input or output units, whether or not containing storage units in the same housing

16. Storage units, including central storage units, optical disk storage units, hard disk drives and magnetic tape storage units

17. Other units of automatic data processing machines

18. Automatic teller machines

19. Static converters for automatic data processing machines and units thereof, and telecommunication apparatus

20. Other inductors for power supplies for automatic data processing machines and units thereof, and telecommunication apparatus

21. Electrical apparatus for line telephony or line telegraphy, including line telephone sets with cordless handsets and telecommunication apparatus for carrier­current line systems or for digital line systems; videophones:

22. Line telephone sets with cordless handsets

23. Other telephone sets and videophones

24. Facsimile machines

25. Teleprinters

26. Telephonic or telegraphic switching apparatus

27. Other apparatus, for carrier­current line systems or for digital line systems

28. Other apparatus including entry­phone systems

29. Microphones having a frequency range of 300 Hz to 3,4 KHz with a diameter of not exceeding 10 mm and a height not exceeding 3 mm, for telecommunication use

30. Line telephone handsets

31. Loudspeakers, without housing, having a frequency range of 300 Hz to 3,4 KHz with a diameter of not exceeding 50 mm, for telecommunication use

32. Telephone answering machines

33. Magnetic tapes of a width not exceeding 4 mm

34. Magnetic tapes of a width exceeding 4 mm but not exceeding 6,5 mm

35. Magnetic tapes of a width exceeding 6,5 mm

36. Magnetic discs

37. Discs for laser reading systems for reproducing phenomena other than sound or image for reproducing representations of instructions, data, sound, and image, recorded in a machine readable binary form, and capable of being manipulated or providing interactivity to a user, by means of an automatic data processing machine

38. Magnetic tapes for reproducing phenomena other than sound or image

39. Media for reproducing phenomena other than sound or image

for reproducing representations of instructions, data, sound, and image, recorded in a machine readable binary form, and capable of being manipulated or providing interactivity to a user, by means of an automatic data processing machine

40. Transmission apparatus other than apparatus for radio­broadcasting or television

41. Transmission apparatus incorporating reception apparatus

42. Digital still image video cameras

43. Portable receivers for calling, alerting or paging

44. Aerials or antennae of a kind used with apparatus for radio­telephony and radio­telegraphy

45. Parts of:

a)     transmission apparatus other than apparatus for radio­broadcasting or television

b)     transmission apparatus incorporating reception apparatus

c)      digital still image video cameras,

d)     portable receivers for calling, alerting or paging

46. Indicator panels incorporating liquid crystal devices (LCD)or light emitting diodes (LED)

47. Electrical capacitors, fixed, variable or adjustable (pre­set):

48. Fixed capacitors designed for use in 50/60 Hz circuits and having a reactive power handling capacity of not less than 0,5 kvar (power capacitors)

49. Tantalum fixed capacitors

50. Aluminium electrolytic fixed capacitors

51. Ceramic dielectric, single layer fixed capacitors

52. Ceramic dielectric, multilayer fixed capacitors

53. Dielectric fixed capacitors of paper or plastics

54. Other fixed capacitors

55. Variable or adjustable (pre­set) capacitors

56. Electrical resistors (including rheostats and potentiometers), other than heating resistors:

57. Fixed carbon resistors, composition or film types

58. Other fixed resistors for a power handling capacity not exceeding 20 W

59. Other fixed resistors for a power handling capacity of 20 W or more

60. Wirewound variable resistors, including rheostats and potentiometers, for a power handling capacity not exceeding 20 W

61. Wirewound variable resistors, including rheostats and potentiometers, for a power handling capacity of 20 W or more

62. Other variable resistors, including rheostats and potentiometers

63. Printed circuit Boards

64. Electronic AC switches consisting of optically coupled input and output circuits (Insulated thyristor AC switches)

65. Electronic switches, including temperature protected electronic switches, consisting of a transistor and a logic chip (chip­on­chip technology) for a voltage not exceeding 1000 volts

66. Electromechanical snap­action switches for a current not exceeding 11 amps

67. Plugs and sockets for co­axial cables and printed circuits

68. Connection and contact elements for wires and cables

69. Diodes, transistors and similar semiconductor devices; photosensitive semiconductor devices, including photovoltaic cells whether or not assembled in modules or made up into panels; light­emitting diodes; mounted piezo­electric crystals:

70. Diodes, other than photosensitive or light­emitting diodes

71. Transistors, other than photosensitive transistors, with a dissipation rate of less 1 W

72. Transistors, other than photosensitive transistors, with a dissipation rate of 1 W or more

73. Thyristors, diacs and triacs, other than photosensitive devices

74. Photosensitive semiconductor devices, including photovoltaic cells whether or not assembled in modules or made up into panels; light emitting diodes

75. Other semiconductor devices

76. Mounted piezo­electric crystals

77. Electronic integrated circuits and microassemblies

78. Cards incorporating an electronic integrated circuit ('smart' cards)

79. Metal oxide semiconductors (MOS technology)

80. Circuits obtained by bipolar technology

81. Other monolithic digital integrated circuits, including circuits obtained by a combination of bipolar and MOS technologies (BIMOS technology)

82. Other monolithic integrated circuits

83. Hybrid integrated circuits

84. Electronic microassemblies

85. Proximity cards and tags

86. Electrical machines with translation or dictionary functions

87. Other electric conductors, for a voltage not exceeding 80 V, fitted with connectors, of a kind used for telecommunications

88. Other electric conductors, for a voltage not exceeding 80 V, not fitted with connectors, of a kind used for telecommunications

89. Other electric conductors, for a voltage exceeding 80 V but not exceeding 1000 V, fitted with connectors, of a kind used for telecommunications

90. Optical fibre cables, UTP cables

91. Electrostatic photocopying apparatus, operating by reproducing the original image directly onto the copy (direct process)]

92. Other photocopying apparatus, incorporating an optical system

93. Instruments and apparatus for measuring or checking the flow, level, pressure or other variables of liquids or gases (for example, flow meters, level gauges, manometers, heat meters),

94. Instruments for measuring or checking the flow or level of liquids

95. Instruments and apparatus for measuring or checking pressure

96. Other instruments and apparatus for measuring or checking

97. Chromatographs and electrophoresis instruments

98. Spectrometers, spectrophotometers and spectrographs using optical radiations (UV,visible, IR)

99. Other instruments and apparatus using optical radiations (UV, visible, IR) of

100.         Instruments and apparatus for measuring and checking, specially designed for telecommunications (for example, cross­talk meters, gain measuring instruments, distorsion factor meters, psophometers)

Semiconductor manufacturing and testing equipment and parts thereof related to IT products