69 ORlSSA ACT 14 OF 2004 *THE ORISSA INDUSTRIES (FACILITATION) ACT, 2004 [ Received Ihe assent of the Governor on the 241h December. 2004, first published in an Exlraordinary issue of Ihe Orissa Gazette, dated the 31 st December, 2004 (No. 1857)l AN ACT TO PROVIDE FOR THE CONSTITUTION OF CLEARANCE AU,TliORlTlES AT THE DISTRICT AND STATE LEVEL FOR SCRUTINY, CONSIDERATION AND FINAL DISPOSAL OF THE APPLICATIONS OF THE ENTREPRENEURS PROPOSING TO START INDUSTRIES IN THE STATE AND FOR MATTERS CONNECTED THERNV ITH OR INCIDENTAL THERETO. . .
BE i t enacted by the Legislature of the State of Orissa in the Fifty-fifth Year of the Republic of India as follows :-
CHAPTER I PRELIMINARY Shorl tille, 1. ( I ) This Act may be called the Orissa industries (Facilitation) Act, 2004.
exlenl and mmmwrzment . (2) It shall extend to the whole of the State of Orissa.
(3) .It shall come into force at once.
- Definifions, - 2. In this Act unless the context otherwise requires,-
(a) 'Authority' means any statutory body, Corporation or other Aulhority established by the Government, which are enlrusled with the powers - .
or responsibility to grant or issue clearances;
(6) 'Clearances' means supply of No Objection Certificates, allo'tments, consents. approvals, permissions, registrations, enrolments, licences or.the like, by the Deparlments of Stale or Central Government, Authorities or any other bodies;
(c) 'Deparlrnent' means a Department of i he Stale Government;
(d) 'Dislricl Level-Single Window Clearance Aulhority' means an Authority consliluled under Section 5 OF this Act;
(e) 'Entrepreneur' means a person or body of persons or a Company, having majority portion of inveslrnen t o; conrolling interest in an industry or enterprise;
(0 r~overnment' means the State Government of Orissa;
(g) 'High Level Clearance Authority' means a Commitlee constituted . under Seclion 3 of this Act; . .
(h) 'Industrial Policy Resolution' means the Pollcy issued by Industries Department from time to time;
(4 'Industrial Unit' means any industrial undertaking located inside the Slate and engaged in any manufacturing or servicing activity as ' detailed in the Industrial Policy Resolution from time to time;
liJ 'Nodal Agency' means the Nodal Agency at Ihe State Level or at the District Level consliluted under Section 8 of this Act; , - 'For the Bill, See Onssa Gazetle. Exlraordinary dated the 31 st December 2004 (NO. 1857) 70
(k) 'Notification' means a notificalion published in the Orissa Gazette and the word 'notify' will be conslrued accordingIy;
( I ) 'Prescribed' means prescribed by rules made under this Act; and
(m) 'State Level Single Window Clearance Aulhorit), means a committee conslituled under Section.4 of this Act. - - CHAPTER I1 CONSTITUTIONS AND FUNCTIONS OF DIFFERENT CLEARANCE AUTHORITIES High Level Clearance Authority.
Slate Level Single Window Clearance Aulharily. .
. 3. (1) Government may, by notification in the Oflicial Gazette, conslitute from time to time, a Committee known as the High Level Clearance Authority under the ChairmanshTp of the Chief Minister consisting of such other ex oficio members, as may be specified therein which shall examine and consider proposals for Industrial and other Projects to be set up in the State where lhe amount of investment 'is rupees fifty crores or more or such higher ainount as may fixed by the Government from time to time and shall have the power to direct concerned Departments or Aulhorities to issue the required clearances within the specified lime limit subject to compliance of Ihe provisions of the applicable Acts and , , Rules or Orders and Inslructions in force by the Industria!.Unit.
(2) The members of the Aulhority under this Seclion shall personally allend the meetings and in case of exigencies may depute a senior level official with written authorisalion to take appropriate decisions in the meetings.
(3) The Authority under this Section shall,-
(a) meet at such times and places and shall adopt such procedures to transact its business as may be prescribed;
(b) examine the proposals brought before it, for selling up Industrial ' Unils; and (cJ take decisions and communicate its decisions to the entrepreneurs . and the Departments or Ihe Authorities concerned within the prescribed time li-mit.
(4) The Aulhwity under this Section shall be the final Authority in granting approvals for the projects placed before i t and the approvals given by it shall be binding on all the Departments or Authorities concerned and such Departments or Authorities shall issue the required clearances within the prescribed time limit.
4. ( I ) Government may, by notification in the Official Gazette, conslitute, from time to time, a Cornmillee under the Chairmanship of the Chief Secretary known as the State Level Single Window Clearance Authority hereinafter in lhis Section, referred to as the said Authority consisting af such other ex ofich members as may specified therein.
(2) The said Authority shall examine and consider proposals lor industrial and other projects to be set up in the State where the, amount of investment is rupees lhree crores or more but less lhan rupees fifty crores or such amount as .
may be fixed by Government, from lime to time.
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(3) Every member of the said Authority shall personally altend the meetings and in case of exigencies he may depute a senior level official with written authorisition 10 take appropriale decisions in Ihe meetings.
(4) The said Authority may exercise the following powers and shall perform the following funclkns, narneiy :- I
(j) to meet at such limes and places as the Chairman of the said.
Aulhority may decide and transacl business as per the procedure ' as may be prescribed;
(iij to review and monitor Ihe processing of applicalians by the ' competent authority, and lo'forward the orders of the competent authority lo the applicanl;
(iio to inform the applicant of the da(e on which lhe application was received by the competent adhority and the date ori which such applicalion may be deemed to have been approved in the case of deemed approval;
(iw) to review and monitor the functioning and performance of District Level Single Window Clearance Authorities; and (v] to exercise such other powers and perform such other functions as may be prescribed.
(5) The said Authority shall be Ihe final authority in granting approvals on proposals for the projects under sub-section (2) placed before it and the approvals given by il shall be binding on Ihe Deparlmenls or Authorities concerned and such Departmenls or Aulhorities shall issue the required clearance within the specified time limit subjecl to comliances of the provisions of the applicable Acl or Rules or Orders or Instructions by the Industrial Unit.
(6) The said Aulhority shall examine the prdposals brought before i t for setting up Industrial Unils and other projects and sf-tall take a decision and communicate its decision to the entrepreneurs and the Departments or Authorities concerned wilhin the prescribed time limit.
Districl Level 5. (1) Government may, by notification in the Official Gazelte, conslitute, a Single Window Clearance Cornmillee in each district known as District Level S-ingle Window Clearance Aulhonlies. Authority hereinafter in this Section, referred lo as District Authority, under Ihe Chairmanship of the Collector of such district consisting of such other ex oficio members as may-be specified in the notification and such authorily shall examine and consider proposal for induslrial and other projects to beset up in ihe respeclive districls, where the a iount of investment is less than rupees lhree crores or any amount fixed by Gover'hment from lime to time.
(2) The District Authority shall exercise the following powers and perform Ihe following functions, namely ;- (i,J to meet at such times and places as (he Chairman of the D'istrict Authority may decide and transact business as per Ihe procedure as may be prescribed;
{id to review an; monitor the processing-of applications by the competent authorilies and to forward the orders of the competent authorities to the applicant;
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(iii) to issue deemed approval as provided in Section 11 of this Acl;
- (ivJ to exercise such other powers and to perform such functions as may be prescribed.
' (3) Every member of the District Authority shall attend the meeting convened under clause (i) of sub-sectinn (2) personally and in case he is unable lo attend the meeting, he may depute a senior level'oficer with a written ' authorisition to take appropriate decision in the meeting. -
(4) The District Authority shall examine the proposals brought before it for setting up Industrial Units and other projects in its respective Districts and shall take decision and communicate its decision to the enlrepreneurs and the Departments-or Authorities concerned wilhin the prescribed time limit.
(5) The District Aulhorily shall be Ihe final Aulhority in granting approvals for the projects placed before it and the approvals given by the District Authority .
shall be binding on all the Departmenls or Authorities concerned and such Departments or Authorities shalI issue thelequired clearances wilhin the specified ' Iime lirnil, subject lo compliance of provisions of the applicable Acts and Rules or Orders or lnstruclions by the Industrial Units.
Special 6. ( I ) Government may, by notification, constitute Special Single Window Committees.
Clearance Committees for any specified purpose, specified area or specified sector and delegate to them such powers and functions as Government may deem fit.
(2) A special committee shall consist of such number of ex ofticio members of whom one shall be nhminated by Government as Chairman by way of issuing nolificalion.
Appear. 7. Any person aggrieved by the decision of the High Level Clearance Authority, SIale Level Single Window Clearance Authorilyor District Level Single Window Clearance Authority may, within thirty days from [he date of receipt of , ., communication of the decision of the Authorities, appeal lo the Appellate Authority as may be prescribed.
, - Appointment 8. (1) Government may, by notification in the Official Gazelle, constitute a of Nda l Agencies.
, Nodal Agency at the State Level and the District Industries Centres shall be the Nodal Agencies at the ~ i s k i c l Level, to undertake industrial promolion activities and to facilitate investors.
{2,J Functions of the State Level Nodal Agency shall be as follows i- (0 inveslment promotional activities at the State, National and International level;
(ii) State's image building to altract investments;
W investment climate improvement exercises;
(I+) render necessaryassislance and feed back in policy formulation for industrial progress;
(v} guide and assist entrepreneurs lo set up induslries in Ihe State;
73 (w] prepare and regularly update an information booklet providing complete particulars relating 10-
(a) State and Central Industrial Policies;
(6) Department or Aulhorityuvise procedures to obtain h e required clearances: ,
(c) general information on industrial stalus and advantages existing in the, Stale;
(d) salient features of applicable Acts and Rules in relalion to Industry, Labour, Safety. Welfare, Pollution Control, Taxes, Duties, etc.; and
(e) any other matter useful to lhe entrepreneurs;
{vii) 'issue and receive Combined Application Form from entrepreneur and arrange required clearances from the Departments or Authorilits concerned,. wilhln the specified time limit;
(viiiJ provide secretariat and other support services to High Level Clearance Authorily and State Level Single Window Clearance Authority;
(ix) set up task force consisting of senior level representatives from key Depaflmenls and Authorities to review periodically the status ' of implementation of !he 'Projects and to sort out problems, if any.
(3) Functions of Ihe Dislrict Level Nodal Agency shall be as fallows :-
(i) investment promolional activities at the distrid level; ' ' (14 District's Image building to attract investments;
(iiiJ inveslment clirnaie improvement exercises;
(ivJ guide and assist entrepreneurs tb set up Industries in the Dislrict;
0 issue and receive Combined Application Form fiom entrepreneurs and arrange required clearances from the Deparlments or Authorities concerned, wilhin (he specified i m e limit;
(4 provide secretarial and olher support services to Dislrict Level Single Window Clearance Authority;
(vii) Set up a task' force consisting of representatives from key ~epadments or Authorities to review periodically Ihe slatus of irnplementalion of the projects and lo sort out problems, if any.
Combined Applicalion 9. (7) Government may prescribe the Combined Application Form for the I I ~ m . use of entrepreneurs whose projects are to be approved by any of the clearance Authorities as an alternative to the existing forms prescribed under any applicable Acts or ~ u i e s or Orders or lnstruclions for obtaining Ihe required clearances and \ all Departments and Authorhies concerned shall accept the Combir,ed ApplicaBon , Form for processing and issue of requlred clearances.
(2) Entrepreneurs, inlending to set up industries may submit the application. duly f lled in, along with required documents, either to the State Level ~ o d a l ~ ~ e n k ~ or la the District Level Nodal Agency, depending upon Ihe amouni of investment proposed to be made in setting up the induslries.
Sell ceriificalion.
Deemed approval.
Power to make rules.
Direction by Governrnenl.
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70. (1) Every entrepreneur shall furnish a Self certification al Ihe time of submitling the duly completed application form to the Nodal Agency, undertaking that he would comply with the provisions af applicable Acts and Rules or Orders - or Instructions.
(2) Such underlaking shall be furnished in the prescribed format on a non-judicial stamp paper of the value equivalent to a security bond or as fixed by the Governrnenl from time to time.
(3) All Departmenls or Authoriries concerned shall accept the self certification . . for the purpose of issuing the required clearances.
(4) Entrepreneur who fails lo complywith the underlaking as furnished in Ihe self certification, shall be liable to pay fine amounting to rupees five thousand for the first such offence and rupees ten thousand for the second offence and i f the offence is repeated lhereafter such entrepreneur shall be liable for legal aclion as specified under the relevant provisions of applicable Acts and Rules or Orders or Instructions.
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11. ( I ) EveryDepartment or Authority concerned, shall issue the required clearances after prbcessing the application as required under Ihe applicable law wilhin the specified time limit and in case of failure to issue the required clearances wiihin the specified time limit, such clearances shatl be deemed to have been issued and the entrepreneurs may proceed with the impIementation of the project.
(2) The deemed approvals shall continue to be in force until the Formal clearance is issued by the Departments or Authorities concerned.
(3) The Nodal Agency shall communicate in wfiling to the entrepreneurs allowing the deemed approval as per the provision and a copy marked to Ihe Department or Authority concerned.
(4) In the eventuality of delay which results in issue of deemed approval.
the Heads of the Departmenls or Aulhority shall be liablefor imposition of penalty as prescribed.
72. (1) Inspections under the provisions of applicable Acts and Rules or Orders or Instructions by different Authorities shall be conducled jointly with the Office of the Labour Commissbner, Chief Inspector of Factories and Boilers and Orissa State Pollution Control Board, once in a year and such inspections shall be based on random selection and shall be organised in the manner as may be prescri6~.
(2) lnspections against specific complaints may be conducted with authorisation by the ~ e a d s of the Departmenb and inspections in respect of pollution and .safety aspects may be conducted as required under the relevant Acts and Rules or Orders or Instructions.
13. Government may, by notification in the Official Gazette make rules for effective implemenlation of Ihe provisions of this Act.
14. Government may, from time to time, issue policy directions as deemed necessary to the clearance Aulhorities for the purpose of carrying out the objective of this Act and the concerned clearance Authority shall be bound to follow and act upon such direclions.
Offences and Penall~es.
Overriding, effect of the Acl.
Protection or action laken in g a d faith.
Power la remove doubts and dificullies.
MISCELLANEOUS
15. Government may, by nolification, exempt any clearances from any of the provisions of this Act.
16. Where an offence under this Act has been cammilled with the consent or connivance of. or that comrnissi~n of the offence is attributable to any neglect on the part of, any Director,,Manager, Secretary or other officer authorised in that behalf of the Company, such Director, Manager, Secretary or such other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation -For the purposes of this Section,- . (a) "Companf means any body corporate and includes a firm or other association of individuals; and b "Director" in relation to a firm means a parlner in the firm.
17. Save as otherwise provided in this Act lhe'provisions of this Act shall have effect notwithstanding anything inconsisteni [herewith conlained in any other State Law or Rules or Orders or Instructions f& [he time being in force or any custom or usage or any instrumenls having effect by virtue of any such law.
, 18. No suit or legal proceedings shall be instituted against, or damage .
claimkd from, the clearance authoiities or members or employees of such authorities for anything, which is in good faith, done or intended to be done, or for any order passed in good faith, in pursuance of this Act and the Rules framed thereunder.
19. If any doubt or difficulty arises after Ihe commencement of this Act or otherwise. in giving effect to the pravisions of this Acl, the Government may, by order, do anything not inconsistenlwilh the provisions of this Act which appears to ii to be necessaryor expedient for the purpose of rernbving the doubt or difficulty.