Maharashtra Clears Policy To Give Free Government Land For ESIC Hospitals, Boosting Worker Healthcare

In a major step to strengthen healthcare infrastructure for workers, the Maharashtra government has approved a policy to provide government land free of cost for new Employee State Insurance Corporation (ESIC) hospitals across the state. The decision includes complete exemption from land revenue and taxes, making the land “revenue-free” and fully waived of all applicable charges.

Government Resolution Issued

Revenue Minister Chandrashekhar Bawankule announced the decision, and the Revenue Department has issued an official Government Resolution (GR). The move is expected to significantly expand healthcare facilities and offer major relief to lakhs of insured workers by ensuring easier access to quality medical treatment.

Statewide Implementation After Earlier Cabinet Approval

This development follows the state cabinet’s June 2025 approval to allot 15 acres of grazing land in Karodi, Chhatrapati Sambhajinagar district, for a 200-bed ESIC hospital. Now, the same policy will apply statewide. Wherever ESIC has proposed hospital projects and suitable government land is available, it will be granted free of cost under the new rule.

Clear Norms for Land Valuation and Approvals

The government has laid down clear norms for the valuation and approval of land allotted for ESIC hospitals:

Land valued up to ₹1 crore: Decision at departmental level.

Land valued above ₹1 crore: Approval with concurrence of the Finance Department.

Despite the free allotment, ownership will remain under Occupancy Class-2, meaning the land cannot be sold or transferred and must be used strictly for public purpose.

Land Area Linked to Hospital Bed Capacity

The land size to be allotted will depend on the proposed hospital’s bed capacity and available FSI (1.5 or 2.0). The government has specified the following norms:

500-bed hospital: 8–12 acres

300-bed hospital: 6–9 acres

200-bed hospital: 5–7 acres

100-bed hospital: 3–5 acres

These guidelines aim to ensure sufficient space for medical blocks, staff housing, patient amenities, and future expansion.

Government Emphasises Timely, Accessible Healthcare

Speaking on the decision, Minister Bawankule said providing accessible and high-quality healthcare to workers is the government’s responsibility. He noted that major hospital projects often get delayed due to high land costs or non-availability.

“We want workers to receive advanced medical treatment close to their homes. To avoid project delays and strengthen medical services under ESIC, the government has decided to provide land free of cost for these hospitals,” Bawankule said.