'Scrapping of Regional Plan will hit Goa's tourism sector'

The Goa government's decision to denotify the controversial Regional Plan 2011 would adversely affect the Goa's tourism industry and slow down the pace of investment in the hospitality sector, say experts.

"The plan had envisaged robust tourism growth in the state. The industry lacks adequate accommodation facilities for tourists, making it an expensive holiday destination," Nitin Kunkolienkar, president of the Goa Chamber of Commerce and Industry (GCCI), told Business Standard.

In 2004, the government had released a Tourism Master Plan, outlining its vision for future growth in the tourism sector. Several provisions of this document were included in the Regional Plan 2011, which was notified in August 2006. The plan was denotified due to strong opposition from the public.

The plan had proposed relaxation in construction rules to facilitate further residential and commercial contractions in coastal areas. Kunkolienkar stated that the denotification may queer the pitch for further investments by the hospitality sector which invested Rs 35,000 crore during the last two decades.

The draft final plan of the Regional Plan 2011 was prepared by Consulting Engineering Services, a Delhi-based company, on behalf of the government, which was notified under Section 13 of the Town and Country Planning Act.

It was notified on July 6, 2004 and subsequently on November 18, 2005. In the notification dated July 6, 2004, two months' time was granted for raising objections or suggestions. The time limit was extended till 15 December 2005, in the notification dated 18 November 2005.

Around 6,802 hectare additional land was classified as settlement zone by the government under Regional Plan 2011. Goa chief minister Pratapsingh Rane had stated that 1,847 hectare of cultivated land, 1,153-hectare natural cover, 960-hectare social forest, 22-hectare mangroves and 75-hectare export promotion zone (EPZ) were also classified as settlement zones.

He, however, claimed that 'no environment impact' assessment was done before finalising these changes.

The maximum increase in area in the settlement zone was in Bicholim taluka-974 hectares, followed by Tiswadi taluka (959 hectares) and Pernem taluka (915 hectares) in north Goa district. The Sanguem taluka, in south Goa, has the least increase-5 hectares.

"Goa has a shortage of a minimum of 5,000 hotel rooms. If there is a ban on further constructions, how do we manage to make up with this shortage?" the chief minister said.

The GCCI's 'Goa Agenda', a comprehensive report on the state's tourism activities released a few months ago, quotes a 1989 study recommending a maximum hotel bed capacity of 46,000 in coastal areas.

Goa has a bed capacity of 34,914, two-third of which was in the coastal areas, according to the 2003 statistics.