Punjab Cabinet approves rules to promote and develop MSMEs

The micro, small and medium enterprises (MSMEs) in Punjab will get an impetus with the state cabinet approving rules to provide a legal framework for their operations, with effective mechanisms to mitigate the problem of delayed payments to such enterprises.

The Cabinet, in a virtual meeting on Friday under chairmanship of Chief Minister Amarinder Singh, okayed the Punjab Micro and Small Enterprises Facilitation Councils Rules, 2021 under Micro Small and Medium Enterprises Development (MSMED) Act, 2006, to facilitate promotion, development and competitiveness of MSMEs.

These rules provide the first-ever legal framework for recognition of the concept of "enterprise" (comprising both manufacturing and services), and integrating the three tiers of these enterprises, namely micro, small and medium, an official statement said.

Apart from clearer and more progressive classification of each category of enterprises, particularly the small ones, the Act provides for a statutory consultative mechanism at the national level, with wide representation of all sections of stakeholders and with a wide range of advisory functions.

One of the salient features of the Act is that it provides an effective mechanism for mitigating the problems of delayed payments of micro and small enterprises, the statement said.

With a view to eliminating the pendency of Protection of Children against Sexual Offences (POCSO) Act and rape cases, the Cabinet also approved the setting up of 9 fast track special courts with the creation of 117 posts for the same.

These nine fast track special courts would be set up in Amritsar, Bathinda, Fazilka, Gurdaspur, Hoshiarpur, Mansa, Moga, Patiala and S.A.S. Nagar.

To facilitate quick and effective implementation of mission "Lal Lakir", the cabinet decided to cut down by half the time for filing objections prepared under the Svamitva scheme - from the existing 90 to 45 days.

Earlier in February this year, the cabinet had approved implementation of mission "Lal Lakir" aimed at facilitating villagers to monetise property rights and availing benefits provided by government departments, institutions and banks in all villages across the state.

Fulfilling his government's universal healthcare poll promise, the chief minister announced free insurance cover for the 15 lakh families who were earlier not included in the ambit of the Ayushman Bharat-Sarbat Sehat Bima Yojana (AB-SSBY).

The chief minister announced his decision at the cabinet meeting, where the health department had proposed bringing these families into the government schemes cover on a co-sharing basis, which would have required the beneficiaries to pay for part of the expense.

However, Amarinder suggested making the insurance cover for these families also completely free in line with his government's promise of universal healthcare for the people of Punjab.

Barring the families of government employees/pensioners, who were already covered under Punjab Medical Attendance Rules, all the remaining nearly 55 lakh families in the state will now come under the ambit of this scheme.

The state government will now be bearing a total cost of Rs 593 crore per annum to cover 55 lakh families to provide insurance cover of Rs 5 lakh per family for secondary and tertiary care treatments in empanelled public and private hospitals.

Further, fulfilling a pending demand of terrorism/riot affected families and Kashmiri migrants, the Cabinet also gave approval to enhancing their subsistence allowance.

While subsistence allowance of terrorists/riot affected families has been hiked from Rs 5,000 to Rs 6,000 per month, financial assistance being given to Kashmiri migrants as ration money has been increased from Rs 2,000 to Rs 2,500 per month per family.

This move would benefit 5,100 terrorists/riot affected families and 200 Kashmiri migrants with an annual outlay of Rs 6.16 crore, the statement said.

The financial assistance of terrorists/riot affected families was earlier increased in 2012 and for Kashmiri migrants, it was hiked in 2005.

In another decision, to strengthen industry-oriented teaching, skill training and research in the state, the cabinet approved the establishment of private self-financed 'Lamrin Tech Skills University' at Railmajra in Balachaur (SBS Nagar).

It will have an annual intake of 1000-1100 students when the campus is fully established.

The Punjab government has made it mandatory to reserve 15 per cent seats exclusively for students from Punjab in the upcoming University.

The Cabinet also accorded its approval for the establishment of private self-financed 'Plaksha University' in Mohali's IT city.

The cabinet also approved the Punjab Custom Milling Policy for Kharif 2021-22, for conversion of paddy procured by state procurement agencies (Pungrain, Markfed, Punsup) into custom milled rice and its delivery into the central pool.