The National Steering Committee has approved a ₹320 crore Strategic Investment Plan for the Kurukshetra ITI Cluster in Haryana under the PM-SETU scheme on 21 September 2026. With this decision, the total investment cleared under PM-SETU has risen to ₹2,491 crore across 10 ITI clusters. The Kurukshetra plan will upgrade seven government Industrial Training Institutes through an industry led model.
What Is the PM-SETU Scheme?
The PM-SETU scheme stands for Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs. It is a Centrally Sponsored Scheme to modernise government Industrial Training Institutes and make their training closely linked to industry needs. The scheme aims to improve training quality, update machines and labs, introduce new courses in emerging fields, and improve jobs and self employment outcomes for trainees.
The Union Cabinet approved PM-SETU on 7 May 2025 after announcements in the Union Budgets of 2024-25 and 2025-26. The Prime Minister launched the scheme on 4 October 2025. PM-SETU will run for five years, from 2025-26 to 2029-30, with a total outlay of ₹60,000 crore. The goal is to skill 20 lakh youth and turn ITIs into aspirational institutes that are government owned but industry managed.
PM-SETU Under Which Ministry?
PM-SETU comes under the Ministry of Skill Development and Entrepreneurship (MSDE). MSDE is the nodal ministry for all skill development work of the central government. The ministry was first created as a department on 31 July 2014 and became a full ministry on 9 November 2014. Its aim is to connect skill training with industry demand and to support entrepreneurship.
Within MSDE, the Directorate General of Training (DGT) acts as the apex body for long term vocational training. DGT frames training standards, designs course content, grants affiliation to ITIs, and conducts trade tests and certification. Two training verticals of the former Directorate General of Employment and Training were shifted from the Ministry of Labour and Employment to MSDE on 16 April 2015. DGT now supports ITIs through a network of National Skill Training Institutes (NSTIs) and Regional Directorates across states. Jayant Chaudhary is the Minister of State (Independent Charge) for MSDE (as of September 2026).
What Has Been Approved for the Kurukshetra ITI Cluster?
The National Steering Committee (NSC) approved a Strategic Investment Plan (SIP) worth ₹320 crore for the Kurukshetra ITI Cluster on 21 September 2026. A Strategic Investment Plan is a detailed investment and action proposal submitted by an industry partner in response to a government Request for Proposal. It explains how the partner will upgrade buildings, machines, courses, faculty, and placement support. Release of funds under PM-SETU is linked to approval of this plan.
With the Kurukshetra approval, the cumulative investment cleared under PM-SETU has reached ₹2,491 crore across 10 ITI clusters. Earlier approvals covered clusters in Telangana, Andhra Pradesh, Gujarat, Odisha, and Rajasthan. The NSC functions as the apex body for PM-SETU and is chaired by the Secretary, MSDE. It gives overall direction, finalises operational guidelines, and monitors progress. At the state level, a State Steering Committee led by the Chief Secretary guides implementation.
For the Kurukshetra cluster, Jindal Naveen Avsar Limited will work with the Government of Haryana as the Anchor Industry Partner. The Anchor Industry Partner is the lead industry entity that co invests, co manages, and leads training change in the cluster. The same company is also the industry partner for the Barbil ITI Cluster in Odisha, which has an approved plan of ₹240 crore.
Seven Government ITIs in the Kurukshetra Cluster
The Kurukshetra cluster follows the hub and spoke design and includes seven government ITIs. Government ITI, Kurukshetra will act as the Hub ITI, while the other six institutes will act as Spoke ITIs.
| Role | Institute Name |
|---|---|
| Hub ITI | Government ITI, Kurukshetra |
| Spoke ITI | Government ITI (Women), Kurukshetra |
| Spoke ITI | Government ITI, Kaithal |
| Spoke ITI | Government ITI (Women), Kaithal |
| Spoke ITI | Government ITI, Pehowa |
| Spoke ITI | Government ITI, Pabnawa |
| Spoke ITI | Government ITI (Women), Ambala City |
The ₹320 crore investment will support stronger buildings, modern training facilities, new industry aligned courses, and better employability support for trainees across all seven institutes.
How Will the Hub and Spoke Model Work?
PM-SETU has two parts. Component 1 aims to upgrade 1,000 government ITIs, which include 200 Hub ITIs and 800 Spoke ITIs. On average, each hub is linked to four spokes to form a cluster. Component 2 aims to strengthen five NSTIs located at Bhubaneswar, Chennai, Hyderabad, Kanpur, and Ludhiana, including the setting up of sector specific National Centres of Excellence for Skilling with focus on advanced training of trainers through global partnerships.
In the Kurukshetra cluster, the Hub ITI will host advanced facilities such as smart classrooms, modern laboratories, digital learning systems, and new age courses linked to local industry needs. The Spoke ITIs will provide basic training that feeds into the hub and will share faculty, machines, and digital content. The plan also covers hostels and soft support where needed, along with innovation spaces and placement services at the hub level.
Each cluster is managed by an industry led Special Purpose Vehicle (SPV). A Special Purpose Vehicle is a separate not for profit body created to run the cluster. In this SPV, the Anchor Industry Partner holds 51 percent management control and works with the central and state governments. The SPV can suggest changes in course design, teaching methods, infrastructure, industry exposure, apprenticeships, and placement drives. The Directorate General of Training has already introduced more than 30 new age courses under the Craftsmen Training Scheme, including artificial intelligence programming, drone piloting, semiconductor technology, green hydrogen production, solar technology, robotics, Internet of Things applications, and 5G network technology. States can adopt these courses in their ITIs.
How Is PM-SETU Funded and Monitored?
PM-SETU is a Centrally Sponsored Scheme, which means the cost is shared between the central government, state governments, and industry. This is different from a Central Sector Scheme, which is fully funded by the centre. The sharing pattern is shown below.
| Contributor | Share in ₹60,000 Crore Outlay |
|---|---|
| Central Government | ₹30,000 crore |
| State Governments | ₹20,000 crore |
| Industry Partners | ₹10,000 crore |
Half of the central share, which is ₹15,000 crore, will be co financed equally by the World Bank and the Asian Development Bank (ADB). The World Bank is headquartered in Washington D.C. in the United States and was established in 1944, while ADB is headquartered in Manila in the Philippines and was established in 1966. For the Union Budget of 2026-27, PM-SETU alone received ₹6,140.50 crore, which is more than 60 percent of the total MSDE scheme allocation of ₹9,540.50 crore.
Progress under PM-SETU is tracked through six Disbursement Linked Indicators. These indicators measure job outcomes for ITI graduates, access to better quality courses, stronger management of ITIs, better state level leadership, better quality training at NSTIs, and stronger national leadership. The Indian Institute of Management Indore has been engaged to carry out independent third party verification of these results. States must first form a State Steering Committee, invite industry interest through an Expression of Interest or Request for Proposal, and then get the Strategic Investment Plan cleared by the National Steering Committee before funds flow through the Special Purpose Vehicle.
Why the Haryana Skill Ecosystem Matters
Haryana runs its ITI network through the Directorate of Skill Development and Industrial Training. The state has earlier upgraded ITIs with central support, including 16 ITIs under the World Bank assisted Vocational Training Improvement Project started in 2006. Haryana also set up the Haryana Skill Development Mission (HSDM) in May 2015 to act as a single point for skill schemes across departments. HSDM combines efforts under programmes such as SURYA, SAKSHAM, and Pradhan Mantri Kaushal Vikas Yojana.
The Kurukshetra cluster covers districts with strong local demand for skilled workers. Kurukshetra, Kaithal, Pehowa, Pabnawa, and Ambala City have manufacturing units, farm machinery workshops, food processing activity, and service enterprises that need fitters, electricians, welders, and technicians. Three of the seven institutes in the cluster are women only ITIs, which will help increase training access for young women. Industry participation in course design, faculty development, apprenticeships, and placement drives is expected to link classroom learning with real factory and service floor needs and improve employment pathways in the region.
Key Takeaways
- The National Steering Committee approved a ₹320 crore Strategic Investment Plan for the Kurukshetra ITI Cluster in Haryana on 21 September 2026.
- The approval under PM-SETU takes cumulative investment to ₹2,491 crore across 10 ITI clusters.
- PM-SETU stands for Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs and is a Centrally Sponsored Scheme under MSDE.
- The scheme has a total outlay of ₹60,000 crore for 2025-26 to 2029-30 to upgrade 1,000 ITIs and 5 NSTIs.
- The Kurukshetra cluster includes seven government ITIs, with Government ITI, Kurukshetra as the Hub and Jindal Naveen Avsar Limited as Anchor Industry Partner.
