East Delhi Municipal Corporation

Factory license Department

Factory Licensing Guide Lines, Rules and Associated Processes

A person who intends to set up a factory for the following categories can apply for a Factory License.

  1. Categories of Factory License

Sl. No. / Trade Classification
1 / Conforming (Industrial) Area
2 / Relocation Scheme Site
3 / DDA/DSIDC/DI Built-up auction/allotted sheds
4 / Sub-letting of Lease Hold Plots/Sheds
5 / Free Hold Plots
6 / Local Commercial Category
  1. Allowed Categories with respect License Fee & Processing Fee

Please refer the License chargeson Home Page.

  1. Guidelines/Rules for Factory License Processing

Issue of New License

  • License Validity Period : 1 Year and valid upto 31st March of the

Financial Year

.

  • Charges associated with the License
  1. Application/Processing Fees - will be collected at the time of Submission ofApplication Form for New Factory License
  1. Registration Charges – will be collected at the time of Submission of Application Form for New Factory License
  2. License Fee – are the annual license fee and willbe collected at the time of Submission of Application Form for New Factory License
  1. Online Payment Convenience Fee -2.5937% of the total amount) towards Online Payment Convenience Feewill be collected at the time of Submission of Application Form for New Factory License
  2. Documents are to be Submitted for Obtaining Factory License

2.1 The following documents should be accompained with the application form for obtaining a factory license:

(a) Conforming Industrial Area Category:

  1. Proof of ownership for lease hold plots alloted by DDA, DSIDC, Delhi Govt. & any other Govt. Agency i.e., Copy of lease deed. In case the lease deed has not been executed, a copy of auction letter/allotment letter/possesion letter. In case of freehold property copy of Conveyance Deed is to be submitted.
  2. A Copy each of the sanctioned Building Plan and a copy of sanction letter.
  3. Affidavit to the effect that the building has been constructed as per sanctioned plan.
  4. Constitution of firm, if any. In case of public or private limited company.
  5. Details of proposed machinery with H.P. rating.
  6. Affidavit inprescribed proforma on Rs.10/- non-judicial Stamp Paper duly attested by the Notary Public/SDM/First Class Magistrate (Download Annexure-5).
  7. Consent from DPCC, if any, as per norms laid down for the applied industry.
  8. One copy each of site planand key plan.
  9. A rough sketch showing the proposed installation of machinery alongwith the list of machinery with power load (HP) rating.
  10. One copy of manufacturing process for the applied trade.
  11. Additional Undertaking/indeminity Bond/affidavit as prescribed for clusters of industrial concentration earmarked for redevelopment into conforming industrial areas as per MPD-2021 (Download Annexure-1 & 2)

Note: The license will be granted forthe area marked as working hall/workshop in the Sanctioned Building Plan. In case of clusters of industrial concentration earmarked for redevelopment into conforming industrial areas as per MPD-2021, the license will be granted for the Ground Floor only.

(b) In casewhere allotment is in lieu of the Non-conforming site, following additional documents are required:

12 Affidavit in prescribed proforma regarding stopping the industrial use of the Non-conforming site as per the Download Annexure - 8. (There is no restriction on the power load provided sufficient space is available for installation of machinery.)

(c) Documents for DDA/DSIDC/Directorate of industries built-up auction/alloted sheds:-

  1. Copy of the lease deed. If not executed, copy of auction letter, possession letter, NOC regarding trade.
  2. One copy each of site plan and key plan.
  3. Constitution of the firm, if any.
  4. Copy of terms and conditions for allotment of the Shed.
  5. Affidavit as prescribed (Download Annexure-5)
  6. A rough sketch showing the proposed installation of machinery alongwith list of machinery with power load (HP) rating.
  7. One copy of manufacturing process for the applied trade.

(d) Documents for Sub-letting of lease hold Plots/Sheds:

  1. Copy of rent receipt, license deed and/or rent agreement.
  2. One copy of site plan clearly demarcating the proposed area of sub-letting and existing/amended area of the original licensee with measurements and duly signed by the both parties.
  3. One copy eachof site plan and key plan.
  4. Constitution of the firm, if any.
  5. Affidavit in the prescribed proforma, Which is shown in Download Annexure - 5
  6. Undertaking in the prescribed proforma, Which is shown in Download Annexure - 7
  7. NOC from the landlord/owner. (Download Annexure-6)
  8. A rough sketch showing the proposed installation of machinery alongwith list of proposed machinery with power load (HP) rating.
  9. One copy of manufacturing process for the applied trade.

Note : i) The power load shall be granted @ 20 Horse Power for an area less than 500 Sq. Ft and minimum of 300 Sq. Ft. However there is no restriction on the power load for an area more than 500 Sq. Ft. provided sufficient space is available for installation of machinery.

ii) Factory license for relocation scheme plots will not be granted under sub-lettingcategory.

(e) Documents for free hold plots:

  1. Proof of ownership/tenancy/legal occupancy.
  2. One copy of site plan clearly indicating the proposed site and the existing units on the particular plot in question.
  3. Affidavit on stamp paper of Rs.10/- that no unauthorized construction has been carried out, which is as per Download Annexure - 5
  4. One copy of key plan giving the sailent features in neighbourhood of the site in question.
  5. Copy of the constitution of the firm, if any.
  6. Undertaking on the prescribed proforma, which is as per Download Annexure - 4
  7. A rough sketch showing the proposed installation of machinery alongwith list of machinery with power load (HP) rating.
  8. One copy of manufacturing process for the applied trade.

3. Local Commercial Category

License in this category can be obtained to run an industry mentioned in 'A', 'A-1', & 'B' categories of trades as per parameters for industrial units in different use zones and use premises mentioned in Table 7.1 of MPD-2021.

(a) Documents for Local Commercial Category:

  1. Copy ofLease Deed. If not executed, Copy of auction letter, possession letter.
  2. Proof of ownership/tenancy/legal occupancy.
  3. Copy of terms and conditions for allotment of the premises by the Land Owning Agency.
  4. One copy each of site plan and key plan.
  5. Constitution of the firm, if any.
  6. Affidavit as prescribed, which is as per Download Annexure - 3
  7. One copy of the site plan with dimensions (blue print)
  8. One copy of key plan earmarking the sailent features in neighbourhood site in question alongwith Zonal Plan and Part Layout Plan indicating the site.
  9. Affidavit regarding no unauthorized construction having been carried out, which is as per Download Annexure - 5
  10. A rough sketch showing the proposed installation of machinery with list of machinery with power (HP) rating.
  11. One copy of manufacturing process for the applied trade.

Note : Online Factory license in this category will be granted only for the premises allotted for commercial/industrial use by the Government land owning agencies.

Note : Minicipal factory licenses will be issued for running factories only on ground floor. However in case of approved flatted fctories the licenses will be given forall sanctioned floors.

Renewal of Licenses

  • License Validity Period :
  1. One Year and valid up to 31st March of the Financial
  • License Renewal Period and Late Fee Charges
  1. Valid (non-expired) Licenses can be renewed in the month of March and April only without any late fees. In other words, the Licenses can be renewed prior to 30 days from the date of expiry and within one month after expiry without any late fee.
  1. Expired Licenses renewed after 30th April and within 1 year from date of expiry of license

- Late Fee Charges @5% of License Fee per month will be

collected.

3. Expired Licenses renewed after 1 year

- Late Fee Charges will be double the Annual License Fee for

everyexpired year + 5%of License Fee per month for part

months, if any.

(i.e. Late Fee = License Fee X 2 X No. of years + (5% of License

Fee X part months), if any)

  • Charges associated with the Renewal of License
  1. Application/Processing Fees - will be collected at the time of Submission of Application Form for Renewal Factory License
  1. License Fee – are the annual license fee and will be collected at the time of Submission of Application Form for Renewal Factory License
  1. Online Payment Convenience Fee - 2.5937% of the total amount towards Online Payment Convenience Feewill be collected at the time of Submission of Application Form for Renewal Factory License

Renewal of Licenses(ECIL-SARK SYSTEM CASES)

  • License Validity Period :
  1. One Year and valid up to 31st March of the Financial
  • License Renewal Period and Late Fee Charges
  1. Valid (non-expired) Licenses can be renewed in the month of March and April only without any late fees. In other words, the Licenses can be renewed prior to 30 days from the date of expiry and within one month after expiry without any late fee.
  1. Expired Licenses renewed after 30th April and within 1 year from date of expiry of license

- Late Fee Charges @5% of License Fee per month will be

collected.

3. Expired Licenses renewed after 1 year

- Late Fee Charges will be double the Annual License Fee for

every expired year + 5% of License Fee per month for part

months, if any.

(i.e. Late Fee = License Fee X 2 X No. of years + (5% of License

Fee X part months), if any)

  • Charges associated with the Renewal of License
  1. Application/Processing Fees - will be collected at the time of Submission of Application Form for Renewal Factory License
  1. License Fee – are the annual license fee and will be collected at the time of Submission of Application Form for Renewal Factory License
  1. Online Payment Convenience Fee - 2.5937% of the total amount towards Online Payment Convenience Feewill be collected at the time of Submission of Application Form for Renewal Factory License
  • Documents are to be Submitted for Renewal of Factory License

1. / Latest copy of G-8 Receipt
2 / Copy of Factory License
3 / Copy of DPCC if required
4 / NOC from Fire Department

Amendment of FactoryLicenses

  • Allowed Amendments in the License

Owner Change

Trade Change

Power Load Change

  • Charges associated with the Amendment of Licenses
  1. Application/Processing Fees –Rs.550-00 + 2.5937% of the total amount towards Online Payment Convenience Feewill be collected at the time of Submission of Application Form for Amendment of Factory License
  1. Registration Charges – NIL
  1. Amendment Fee – will be decided by EDMC officials depending on the Type of Amendment at the time of approval of the application.
  • Documents are to be Submitted for Amendment ofFactory License

1 Proof of ownership for lease hold plots allotted by DDA, DSIDC, Delhi Govt. & any other Govt. Agency i.e., Copy of lease deed. In case the lease deed has not been executed, a copy of auction letter/allotment letter/possession letter. In case of freehold p

2 Constitution of firm, if any. In case of public or private limited company. (Change of Constitution of firm)

3 Details of proposed machinery with H.P. rating.(only Trade or power load Change)

4 Affidavit in prescribed Performa on Rs.10/- non-judicial Stamp Paper duly attested by the Notary Public/SDM/First Class Magistrate (Download Annexure-5).

5 Consent from DPCC, if any, as per norms laid down for the applied industry.

6 A rough sketch showing the proposed installation of machinery along with the list of machinery with power load (HP) rating.

7 One copy of manufacturing process for the applied trade.

8 Additional Undertaking/indemnity Bond/affidavit as prescribed for clusters of industrial concentration earmarked for redevelopment into conforming industrial areas as per MPD-2021 (Download Annexure-1 & 2)

Surrender of Factory Licenses

  • Charges associated with Surrender of FactoryLicenses
  1. Application/Processing Fees Rs.550-00 + 2.5937% of the total amount) towards Online Payment Convenience Feewill be collected at the time of Submission of Application Form for Surrender of Factory License

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