The Ministry for Skill Development has completed talks with stakeholders on the government scheme announced in the FY25 Budget to upgrade 1,000 Industrial Training Institutes (ITIs) and is drafting guidelines before seeking Cabinet approval, a senior ministry official said.
“We are going through the process as devised by the government. We are nearing the approval process. We have clarified a lot of our ideas. While the one on internship is a pilot scheme, our scheme is taking more time because we are talking of re-imagining the ITIs. The scheme will be announced as early as possible,” the official said.
Union Finance Minister Nirmala Sitharaman in her July Budget had announced the scheme to upgrade the ITIs in hub-and-spoke arrangements (200 hubs and 800 spokes) in five years, which is expected to benefit 2.5 million students.
The scheme is aimed at re-designing and reviewing the existing courses and introducing specialised courses aligned to needs of industry. The new centrally sponsored scheme will be launched in collaboration with states and industry with an outlay of Rs 60,000 crore with the Centre and the states contributing Rs 30,000 crore and Rs 20,000 crore, respectively, while industry is to contribute Rs 10,000 crore through, among other things, its provision for corporate social responsibility.
“We are refining our approach. Industry, the states, and the Centre will be brought together to have ‘state-owned industry-managed modern aspirational skilling centres’. This is our catchline, in accordance with which the guidelines are being formulated.”
Asked whether the private sector had agreed to contribute the Rs 10,000 crore, the official said: “They are willing to participate if the conditions are appropriate for them.”
The official said states had been consulted and they were on board. “Certain states are industrialised, certain states are not, and certain states send workers to other states. So there are different varieties. That’s why it is a complex exercise. We are trying to find a system that is flexible enough to take into account the needs of the states as well as industry. We are trying to make it as simple as possible,” the person added.
SKILLING UP
> Finance minister Nirmala Sitharaman, in the July Budget, announced the scheme to upgrade 1,000 ITIs in hub-and-spoke model in five years > It is expected to benefit 2.5 mn students
> The centrally sponsored scheme will be launched in collaboration with states and industry
> Total outlay is Rs 60,000 crore, with Centre and States contributing Rs 30,000 cr and Rs 20,000 cr, respectively
> Industry to contribute Rs 10,000 cr including through CSR
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