Karnataka cabinet made the statement approving the amendment of the Karnataka Industries (Facilitation) Act 2002 with an aim of allowing the industries to start their work without waiting for statutory clearance for the first three years. The Act is amended with an aim of boosting the investment across the sector and to provide ease of doing business.
The objective of the amendment is to simplify regulations and reduce procedural requirements and create a conducive investment environment, it said.
“It is a historic decision to bring in a change in the industrial system because this is in line with Prime Minister Narendra Modi and the state government’s vision of ease of doing business,” state Industries Minister Jagadish Shettar told reporters after the cabinet meeting.
He said, with the amendment, any industrialist once obtaining clearance from the land audit committee, after due approval for a project from the State High-Level Clearance Committee or district committees, can begin civil construction work or installation of machinery at the land identified.
“The industry will have three years to get all approvals in a place like- NOC, conversion, building plan- but need not wait to start work for setting up industries,” he added.
Under the amended Act, industry would not need any statutory permissions for the first three years, or whichever is earlier to set up operations in the state, officials said.
