PM SETU Scheme to Transform ITIs with 1.2 Lakh New Seats in Emerging Sectors
In a significant move to modernize vocational education, the newly launched PM SETU (Prime Minister's Skilling and Employability Transformation through Upgraded ITIs) scheme proposes to add approximately 1.2 lakh additional seats across 1,000 industrial training institutes (ITIs) being upgraded nationwide. This expansion aims to bridge the skill gap in new-age industries and enhance employability for Indian youth.
Focus on Over 50 New Courses in High-Demand Fields
Sources reveal that these additional seats will cover more than 50 new courses, slated for introduction in the coming years. The curriculum will have a special emphasis on emerging sectors, including:
- Artificial Intelligence (AI)
- Solar and renewable energy
- Semiconductors
- Electric vehicles (EVs)
- Advanced manufacturing
- Automation
An official told TOI, "This additional capacity is expected to equip youth with job-ready skills and make training more practical, industry-aligned, and closely linked to employment. This will be an important step towards expanding the scale of skill training for these new sectors."
Addressing Challenges in Existing ITI Infrastructure
The proposal gains urgency as current estimates show about 2.3 million seats across nearly 15,000 ITIs in India, with many institutions struggling to fill them. Students often cite issues such as redundant courses, non-availability of instructors, and inadequate infrastructure. In response, last year, the Directorate General of Training (DGT)—the apex body under the skill ministry for vocational education—de-affiliated nearly 4.5 lakh seats in about 6,000 ITIs to streamline offerings.
Governance and Implementation Under PM SETU
Under the PM SETU scheme, ITI clusters have been identified across 32 states and union territories, with 26 of them already establishing steering committees. This indicates that robust governance and oversight mechanisms are being implemented to ensure effective rollout.
The official added, "States are strengthening institutional frameworks and financial processes, while a few have already begun taking concrete steps to roll out the scheme on the ground."
Budget and Funding Details
Announced in the Union Budget 2024-25, the PM SETU scheme has an outlay of Rs 60,000 crore, aimed at upgrading 1,000 government-run ITIs over the next five years using a hub-and-spoke model with industry participation. For the fiscal year 2025-26, Rs 3,000 crore was allotted, of which the skill ministry spent Rs 356 crore. Funding has since doubled to Rs 6,141 crore, reflecting increased commitment to this transformative initiative.
This upgrade is poised to revitalize India's skill training ecosystem, aligning it with global technological advancements and boosting economic growth through a more competent workforce.
