To boost tourism in Uttar Pradesh and realise the immense untapped potential in the sector, the state government is working towards a new tourism policy.
The policy is expected to give a leeway to private investment and promote public-private partnership (PPP) in the sector.
Although national and international backpackers visit tourist centres such as Agra, Varanasi and the Buddhist Circuit comprising Sarnath, Kushinagar, Sankisa Kaushambi, Shravasti and Kapilvastu, the potential of the sector in UP has not been unleashed due to government apathy and poor infrastructure.
A senior tourism department official told Business Standard the new tourism policy would give thrust to eco-tourism, since UP has backwater tourist spots, which have failed to flourish in the absence of heavy publicity and marketing.
The new policy is likely to be announced soon, according to the official.
Recently, the state government announced a new energy policy, which has given rich dividends and top companies, including Reliance Power, Lanco, NTPC, have submitted their bids to develop two thermal power plants in UP.
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At present, the tourism department is following two projects – disinvestment of 77 properties of UP Tourism Development Corporation (UPTDC) via PPP route and an international airport at Kushinagar. The 77 properties include 47 loss making and 30 profit making guest houses, hotels and tourist complexes across UP.
Although, the UP Tourism Employees’ Union alleges it was a privatisation move and will result in retrenchment, the department maintains the PPP model would ensure the transfer of all assets and liabilities along with the employees to the private partner.
Last month, the employees had even resorted to flash strike, but were taken into confidence by the Corporation with assurance of job security. On September 8, the financial bids of consultancy firms for the disinvestment will be opened.
On the other hand, the government had already invited bids from consultancies for preparing a comprehensive project report, bid document and concession agreement for the development of international airport at Kushinagar and the Buddhist Circuit in the PPP mode on Design Built Finance Operate Transfer (DBFOT) basis.
Earlier, these bids were to be opened on August 29, but since only once consultancy had made a bid, the date has been pushed forward.
“The feedback that we got from several consultants was that since, it was an international project, they would like to bid jointly with foreign firms…they wanted more time to seal an alliance and then bid,” the official informed.
A committee is considering the matter and would soon announce the new deadline for filing the bids. “We want a healthy competition in the interest of the project,” he underlined.
The government already owns about 160 hectares of land in Kushinagar for the airport and more would be acquired depending upon the report of the consultant.
The proposed international airport will directly connect Japan, Myanmar, Korea, China, Thailand, Bhutan and Sri Lanka with Kushinagar, since these countries account for the maximum number of tourists in the Buddhist Circuit.
Besides, the airport is likely to complement the Rs 4,000 crore Maitreya project in Kushinagar. The project is a tribute to Buddhism and would entail a 500 foot Buddha statue – the world’s largest.
The project aims to construct a big temple dedicated to Buddha. The project will also build free hospitals, schools and serve as a catalyst for infrastructure and tourism development.