The Cabinet has approved the Pradhan Mantri Skilling and Employability through Upgraded ITIs (PM SETU) scheme to enhance the overall quality and relevance of vocational training in the country. The scheme comprises of two components:

i.   Component I – Upgradation of 1,000 Government ITIs (200 Hub ITIs and 800 Spoke ITIs) in a Hub and Spoke model.

ii.  Component II – Capacity Augmentation of five National Skill Training Institute(s) NSTIs located in Bhubaneswar, Chennai, Hyderabad, Kanpur and Ludhiana, including setting-up sector-specific National Centres of Excellence for skilling, with focus on advanced training of trainers with global partnership.

As per the Cabinet approval the scheme has a five-year implementation period. Selection criteria for ITIs are determined by the respective States/Union Territories (UTs) in consultation with industry partners, ensuring representation from aspirational districts and to promote opportunities for industry collaboration, in alignment with emerging skill requirements, local industrial potential.

Under the scheme, for upgradation of ITIs in hub and spoke arrangements, an institutional structure of Special Purpose Vehicle (SPV) is proposed to be established by bringing in a credible Anchor Industry Partner (AIP), along with other industry partners, if required, to manage the hub and spoke cluster/s and deliver agreed outcome-based training and employment outcomes. These outcomes shall be defined by the industry in the Strategic Investment Plan submitted by the industry partners.

Under the scheme, various mechanisms have been envisaged to ensure curricula remain aligned with evolving global and domestic skill requirements and enhance trainee employability. These include, inter alia, introduction of industry-designed curricula, enhanced training delivery through modernized and industry-relevant lab, adoption of digital learning content, and capacity building of instructors in collaboration with reputed industry partners. These parameters are linked with outcome-based funding to monitor cluster performance and to support trainees in securing employment in relevant industries.

This information was given by the Minister of State (Independent Charge), Ministry of Skill Development and Entrepreneurship (MSDE), Shri Jayant Chaudhary in a written reply in the Rajya Sabha today.

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