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PM-SETU Scheme: Upgradation of ITIs and NSTIs

UPSC / SSC current affairs note · Schemes

SchemesSkill DevelopmentEmployment

Why in news

The Ministry of Skill Development and Entrepreneurship released an update on the PM-SETU scheme, detailing the approval of six Strategic Investment Plans (SIPs) by the National Steering Committee (NSC) and the formation of State Steering Committees (SSCs) in 36 states/UTs. This matters as it shows progress in upgrading 1,000 ITIs and 5 NSTIs to align vocational training with industry needs.

Background

PM-SETU (Prime Minister Skill Development and Employment Transformation through Upgraded ITIs) is a central scheme launched to improve the quality and relevance of vocational training in India. It aims to upgrade government ITIs under a hub-and-spoke model and enhance five National Skill Training Institutes (NSTIs) as Centres of Excellence.

Key facts

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  1. Total outlay of PM-SETU is ₹60,000 crore, with central share ₹30,000 crore, state share ₹20,000 crore, and industry share ₹10,000 crore.

  2. Component I: Upgrade 1,000 government ITIs (200 hubs, 800 spokes) under hub-and-spoke model with smart classrooms, modern labs, digital content, and industry-aligned curricula.

  3. Component II: Capacity enhancement of five NSTIs at Bhubaneswar, Chennai, Hyderabad, Kanpur, and Ludhiana, establishing sector-specific National Centres of Excellence with global partnerships.

  4. NSC has approved six SIPs from leading industry partners: three from Telangana, one each from Andhra Pradesh, Odisha, and Gujarat.

  5. Approved clusters: Visakhapatnam (AP), Keonjhar-Barbil (Odisha), Surat (Gujarat), and three clusters in Telangana (Old City, Patancheru, Sangareddy).

  6. Maharashtra identified three clusters (Nagpur, Chhatrapati Sambhaji Nagar, Pune) and issued RFP; no SIPs pending from Maharashtra.

  7. Madhya Pradesh identified 20 clusters (20 hub ITIs, 81 spoke ITIs) and issued RFP; no SIPs pending from MP.

  8. 36 states/UTs have formed State Steering Committees (SSCs) chaired by Chief Secretary for scheme implementation.

  9. 23 states/UTs have issued RFPs for industry proposals.

Prelims pointers

  • PM-SETU: Prime Minister Skill Development and Employment Transformation through Upgraded ITIs
  • Total outlay: ₹60,000 crore (Centre: ₹30,000 cr, State: ₹20,000 cr, Industry: ₹10,000 cr)
  • Component I: 1,000 ITIs (200 hubs, 800 spokes)
  • Component II: 5 NSTIs (Bhubaneswar, Chennai, Hyderabad, Kanpur, Ludhiana)
  • National Steering Committee (NSC) approves Strategic Investment Plans (SIPs)
  • State Steering Committee (SSC) chaired by Chief Secretary
  • Hub-and-spoke model
  • Leading Industry Partner (LIP)

Mains angles

  • GS2: Government policies and interventions for skill development; role of state and industry partnerships.
  • GS3: Skill development as a driver of employment and economic growth; challenges in vocational training quality.
  • GS3: Public-private partnership models in education and training.
PM-SETU Scheme: Upgradation of ITIs and NSTIs — UPSC Schemes · in5points