The Maharashtra government’s SEZ Bill has once again run into trouble. The Union commerce ministry has objected to the provision in the Bill that allows the state government to override all other laws of the state in case they conflict with the SEZ Act.
After two years of prolonged correspondence between the state and the central government, the commerce ministry cleared the Maharashtra Special Economic Zones (SEZ) and Designated Areas Bill in May last year. However, it refused to allow the state government to relax the labour laws in the SEZs.
Subsequently, the state government prepared the Bill incorporating the changes suggested by the commerce ministry. However, it did not take the Bill to the legislature due to the controversy regarding land acquisition for some SEZs in the state. Instead, it decided to bring an Ordinance. But since here too the commerce ministry’s clearance was needed, the Bill was again sent to the Centre.
However, the ministry that had earlier cleared the provision in the Bill allowing the state to override all other laws, objected to it this time, said a senior official of the state government’s industry ministry.
An official from a company that is developing a multi-product SEZ in the state, said that lack of a legal framework would cause problems in case differences cropped up among the SEZ developer, state government and central government over the interpretation of various laws.