The Punjab government, to facilitate and expedite the process of approval for industrial projects, has implemented the system of ‘deemed approvals’ by its different departments. The state government has issued notification to various departments under the Punjab Industrial Facilitation Act.
The Act says the departments will have to grant approvals in a time-bound manner and in case of delay from any department, the approval from the concerned department will be treated as a deemed one. It is expected that these steps are likely to give an impetus to industrial development in the state.
In an interaction with Business Standard, Principal Secretary (Industries) S S Channy said, “We have issued notification under Section 14, Sub Section (2) of the Punjab Industrial Facilitation Act specifying time schedule for each clearance such as grant of change of land use, grant of licence under PAPR Act 1995, consent to establish and consent to operate by the Pollution Control Board, site clearance for hazardous industries, approval of building plans etc.”
Another notification under Section 15 of the Act, which provides deemed approval in case approval by the competent authority is not granted within the prescribed time schedule, has been issued. According to the notification, in such cases the deemed approval will be issued by the Department of Industries & Commerce after the expiry of prescribed time schedule.
“In case it is found that there is an intentional delay by any official of any department, the government will take disciplinary action under the Punishment and Appeal Rules. Since Punjab has locational disadvantages, these facilitative measures will go a long way in fueling the industrlisation of the state,” said Channy.
The state department is also modifying the composite application form to make it comprehensive. Also, the system of online submission of the composite application form and its online transfer to the concerned departments and further processing according to the notified time schedules has also been introduced.
Besides, the state government has recently set up three separate Industrial Development Boards each for the large-, medium- and small-scale industry. The aim is to directly involve the leading players from industry in the decision-making process of the government to create an industry-friendly climate in the state.
Analysts feel that these boards would serve to bridge the gap between the policy makers within the government and the actual target group, it would also enable the captains of industry in the state to clinch tie up with their counterparts elsewhere in the country to set up joint ventures in Punjab.
Also, the state government has constituted a core group under the chairmanship of Chief Secretary R I Singh to study the report on ‘Punjab Industrial Review’ submitted by the 3-member team led by Consultant UNIDO Isher Judge Ahluwalia to evolve consensus on the New Industrial Policy of the state that is likely to be come in force from 1st January, 2009.
