Fireworks likely as Punjab budget session begins today
Plans to table the ‘Punjab Bureau of Investment Promotion Amendment Bill 2021’ in budget session for system-generated automated deemed approvals
CHANDIGARH : With the budget session of the Punjab Vidhan Sabha starting on Monday, the opposition parties –SAD and AAP – are all set to corner the ruling Congress on the state government’s alleged “failure to fulfil the promises made in the run-up to the 2017 polls”. On the first day, the SAD plans to put up a show of strength by gheraoing the assembly.
CHANDIGARH: The Punjab government has adopted the Kerala model to streamline the regulatory clearances process by granting deemed approvals to facilitate new industrial projects to take off expeditiously.
The state government, which plans to table the ‘Punjab Bureau of Investment Promotion Amendment Bill 2021’ in the budget session for system-generated automated deemed approvals within stipulated period for 30 regulatory services required for industrial projects, had examined the process being followed in states such as Telangana, Andhra Pradesh, Kerala and Haryana before taking the decision, according to two senior officers familiar with the matter. All four states are granting deemed approvals for ease of doing business in case regulatory clearances do not come about with the stipulated timeframe.
Andhra Pradesh, Telangana and Haryana have vested powers to grant deemed approvals with a nodal agency/committee, whereas Kerala grants automatic deemed approvals through an online single window portal without any undertaking or self-certification from the applicant firm that it will comply with provisions of the applicable rules and regulations.
The Punjab government has opted for the system generated automatic deemed approvals, as is being done by Kerala, to cut delays, but with some modification.
“The automatic deemed approval seems to be more advantageous as it will eliminate the process of conducting meetings. However, an undertaking or self-certification assuring compliance with all the provisions of applicable Acts, rules or regulators will be taken at the initial stage of filing common application form itself,” according to an official note.
The regulatory clearances, which are proposed to be granted deemed approval through the ‘Invest Punjab Business First Portal’ within the time limit prescribed under the delivery of public service law, pertain to Punjab Pollution Control Board, food and drugs authority, department of food, civil supplies and consumer affairs, labour commissionercum-director of factories, department of local government, department of excise and taxation, and department of housing and urban development.
Deemed approvals are proposed to be granted on real-time basis automatically without human intervention for better transparency and accountability and to encourage the designated officials to grant approvals within the stipulated time limits, according to the draft bill approved by the state cabinet last week to amend the Punjab Bureau of Investment Promotion Act, 2016.
The deemed clearance can be revoked only by an administrative secretary or an officer one rank below authorised by him or her in case of wilful submission of false and fraudulent information or violation of provisions of relevant rules and regulations.
Before drafting the bill, the investment promotion department had sought the comments of different departments and agencies on deemed approvals and auto-renewal of regulatory clearances, but they were not too enthused by proposed changes. The Punjab Pollution Control Board, for instance, expressed reservations regarding the overriding effect of provisions of the amendment bill on other enactments, stating that the state law cannot override the central legislation. However, the investment promotion department said there was no proposal to override any central law and only the timelines notified under the Punjab Transparency and Accountability in Delivery of Public Services Act, 2018, were being considered for deemed proposal.