Maharashtra to fast track approvals for industry, cut clearances from 75 to 25

Our Bureau Updated - January 24, 2018 at 02:48 PM.

The Maharashtra Government is reducing the number of permissions and regulatory approvals require for setting up industry in the State from 75 to 25, said the Chief Minister, Devendra Fadnavis, on Friday.

He was addressing the members of industry at the Maharashtra Economic Summit.

In his inaugural address, Fadnavis said that when his office scrutinised the 75 permissions, it realised that a single permission required four additional no-objection certificates.

In effect, 300 clearances are required, to set up industrial units in the State. Such large numberof clearances were affecting companies; therefore, the Government wants to reduce it to 25, he said. He assured the members of the industry that an IT-enabled platform would be created, which will be in an automatic mode. If permissions are not granted within a stipulated time, they would be treated as deemed permissions.

For making the environment in the State more business friendly, the State Government is also thinking of changing current legislations or even bringing new ones.

The Land Revenue Code of Maharashtra was changed 22 years ago for facilitating alteration of land use from agricultural to industrial. But in all these years, only 2100 permission were given because the law had a rider, which gave discretionary powers to the State Government officials.

The new Government wants to get rid of many such riders in the laws, which will enable faster implementation of the projects, Fadnavis said. He pointed that compared to other States; the power tariff for industry in Maharashtra was higher, which was pinching the industry. The tariff was more because the agricultural consumers got cross subsidy from industrial consumers.

On power situation

The State Government-owned power producer Maharashtra State Power Generation Company Ltd (Mahagenco) was operating at 50 per cent efficiency, while the national efficiency was 75 per cent,

The expensive loans taken by Mahagenco for capacity expansions had also impacted the balance sheet of the company leading to rise in tariffs. The company was also hauling coal from a distance of 700 to 900 km, which was adding ₹1.80 on every unit of power produced in the plants, he said.

“I hope under the new coal block policy, Mahagenco would be able to get blocks closer to power station, which will reduce the tariff,” he said.

Published on January 16, 2015 18:07