The Haryana Government on Thursday allowed Special Economic Zones (SEZs) to opt for industrial colony licence, a move that will benefit developers of as many as two dozen SEZs in the state.

The SEZ scheme had collapsed in Haryana as farmers refused to sell their lands and it was not feasible for promoters to purchase land at very high market rates.

Following the state government's approval, the promoters of SEZs can now develop residential and industrial sites.

The new policy allows promoters to develop 15 per cent of land as residential areas, 45 per cent of land for industrial units, 5 per cent for commercial use, and the remaining 35 per cent for constructing infrastructure services like roads, public utilities and grounds.

The government approved the new policy after a committee recommended alternative use of land blocked under the SEZs and revision of policy about grant of licences to industrial colonies.

Haryana had shown a great enthusiasm for development of SEZs following the passage of the SEZ Act, 2005, by the Centre. But, farmers refused to part with the lands. Reliance Industries Limited, which had promised to develop a SEZ over 25,000 acre at a cost of Rs 40,000 crore had to withdraw the project after farmer in Gurgaon and Jhajjar refused to sell their lands at the price offered.