Cabinet gets presentation from senior officers on EODB, directs minor changes

Bill to be revised, submitted again for nod

To be introduced in autumn session of Assembly

Sanjeev Pargal

JAMMU, Sept 2: The UT Cabinet headed by Chief Minister Omar Abdullah has been given detailed briefing by the administration on Ease of Doing Business (EODB) bill in a meeting held in Srinagar specifically for this purpose. The Cabinet has raised certain queries pertaining to Industry and Commerce, Housing and Urban Development, Fire Services Departments etc which the administration will reply and revised bill will be submitted in the next Cabinet meeting.

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"If cleared by the Cabinet, the bill will go to Lieutenant Governor Manoj Sinha for his approval. Subject to the LG's nod, the bill will be introduced in upcoming autumn session of the Legislature scheduled to be held in Srinagar from September 21,'' official sources told the Excelsior.

The Cabinet met in Srinagar under the chairmanship of Omar Abdullah with only presentation on the EODB by concerned senior officers of the administration on agenda. The officers gave a detailed briefing to the Cabinet on the EODB including its benefits on opening up of the businesses in Jammu and Kashmir and implementation of the legislation by other States.

“There was reportedly consensus on the EODB bill but the Cabinet is understood to have raised certain queries before the officers especially those pertaining to Industry and Commerce, Housing and Urban Development, Fire Services Departments like the building plans, Fire Safety measures, Environment etc,'' the sources said.

The prime concern of the Cabinet, as per sources, was that there should be no major violation of any law before giving nod to the EODB.

The EODB is aimed at giving major concessions to those intending to start their businesses as it has been observed that the aspirants had to fulfill long lists of formalities leading to prolonged delays. On some occasions, it was observed that the intending entrepreneurs left before starting their ventures because of the hurdles by some of the departments in giving NOCs and other certificates.

“The industry and other businesses will generate employment in the UT,'' the sources said.

The EODB was one of the major agenda items in the last Cabinet meeting held in Srinagar on August 4 for issuance of ordinance as the Legislature was not in session. However, some of the Ministers raised queries and sought presentation from the concerned officers after which the proposed legislation was deferred.

Now, with the presentation over, the concerned Department will revise the bill and submit it again to the Cabinet for approval. After getting the Cabinet nod, the bill will be sent to the Lieutenant Governor for approval and thereafter for introduction in the Assembly whose autumn session is beginning on September 21.

The Ease of Doing Business is Prime Minister Narendra Modi's concept and is being regularly monitored by the Union Cabinet Secretariat. It has been covering 28 priority areas.

"The Jammu and Kashmir's original Ease of Doing Business bill proposed moratorium of three years on certain formalities for opening a business. The businessman will be allowed to run his venture for three years and when it gets operational, the formalities can be completed,'' the sources said, adding the step is aimed at facilitating the businesses to run as they also generate employment.

The bill proposed drastic reduction in issuance of No Objection Certificates by multiple Government departments, self-certification as far as possible, avoiding multiple licenses etc.

For example, they said, it was observed that 36 NOCs were required for opening one of the businesses. These NOCs are proposed to be brought down to minimum which are absolutely necessary and delete the rest.

The formalities have also been reduced for opening of hotels, home stays, educational and medical institutions and various other businesses. The multiple inspections are proposed to be reduced to few and their reports are also required to be given within 24 hours by the concerned department.