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1
L. A. BILL No. IV OF 2023.
A BILL
to create an effective Single Window System for delivery of services related
to issuing of permissions required for establishing and operating
industries; to enhance State’s competitiveness on trade and investments; to
develop an ecosystem to ensure Ease of Doing Business including grievance
redressal mechanism in the State; and to develop and maintain a portal
for providing all necessary information required for investment in the
State of Maharashtra and for the matters connected therewith or
incidental thereto.
WHEREAS it is expedient to enact a new law to create an effective Single
Window System for delivery of services related to issuing of permissions
required for establishing and operating industries; to enhance State’s
competitiveness on trade and for investments; to develop an ecosystem to ensure
Ease of Doing Business including grievance redressal mechanism in the State;
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MAHARASHTRA LEGISLATURE SECRETARIAT
The following Bill was introduced in the Maharashtra Legislative Assembly on the
28th February, 2023 is published under Rule 117 of the Maharashtra Legislative Assembly
Rules :—
RNI No. MAHBIL /2009/40123
2
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.
and to develop and maintain a portal for providing all necessary information
required for investment in the State of Maharashtra and for the matters
connected therewith or incidental thereto; it is hereby enacted in the Seventy-
fourth Year of the Republic of India as follows :—
1.
(1) This Act may be called the Maharashtra Industry, Trade and
Investment Facilitation Act, 2023.
(2) It shall come into force on such date as the State Government may by
notification in the Official Gazette, appoint.
2.
In this Act, unless the context otherwise requires,—
(a) “Competent Authority” means any officer or authority, of any
Department or agency of the Government, Local Authority, State owned
Corporation or any other authority or agency constituted or established
under any Act or rules or under administrative control of the
Government, competent to issue permissions for setting up or operating
an industrial undertaking in the State, including any officer or authority
of statutory licensees providing utilities to industrial undertakings;
(b) “Empowered Committee” means the Empowered Committee
constituted under section 6;
(c) “entrepreneur” means a person or body of persons or a company,
having majority investment or controlling interest in an industrial
undertaking;
(d) “Government” means the Government of Maharashtra;
(e) “industrial undertaking” means an undertaking engaged in
manufacturing or processing or both or providing service or doing any
other business or commercial activity as may be specified by the State
Government;
(f) “investor” means any person who invests capital in the State in
any new industrial undertaking or in any existing industrial undertaking
for expanding, modernizing or diversifying with the intent of securing
income or profit;
(g) “Nodal Agency” means the Nodal Agency declared under section
14;
(h) “permission” means any approval, no-objection certificate,
clearance, allotment, consent, registration, enrolment, license or the
like, by any Competent Authority in connection with the setting up or
operating an industrial undertaking in the State and includes all such
permissions as are required under any relevant law;
(i) “prescribed” means prescribed by rules made under this Act;
(j) “relevant law” means any Act, rules, regulations or any other
statutory instrument which is relevant for setting up or operating an
industrial undertaking in the State;
(k) “Secretary” includes the Principal Secretary or the Additional
Chief Secretary to the Government;
(l) “Single Window System” means the Single Window state-level
web-enabled online portal or platform meant for submission and
processing of applications for permissions required by an industrial
undertaking;
Short title
and
commence-
ment.
Definitions.
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3
(m) “specified time limit” means the time limit specified under the
Maharashtra Right to Public Services Act, 2015 or any other relevant
law within which it is mandatory to process and dispose off the
applications for permissions;
(n) “State” means the State of Maharashtra;
(o) “Supervisory Committee” means the Supervisory Committee
constituted under section 10.
3.
(1) An entrepreneur or investor or any other person duly authorised
by entrepreneur or investor, desiring to set up a new industrial undertaking
or continuing operation of an existing industrial undertaking in the State,
may make an application to obtain such permissions required therefor under
the relevant law as the State Government may by notification in the Official
Gazette specify, in electronic form, through the Single Window System.
(2) Any such application under sub-section (1) shall be accompanied by
such processing fees, as may be prescribed.
4.
(1) The Competent Authority shall, on receipt of an application made
under sub-section (1) of section 3 through the Single Window System, take
necessary action as per the provisions of the relevant law.
(2) The Competent Authority may obtain additional information from
the applicant, if required, for disposal of such application within specified
time limit.
(3) The Competent Authority shall take decision on such application
within the specified time limit. If such application is rejected, the Competent
Authority shall specify the reasons for such rejection.
5.
(1) Notwithstanding anything contained in relevant law, if the
Competent Authority fails to dispose off an application within specified time
limit, then the Nodal Agency shall transfer such application to the
Empowered Committee for taking necessary action under the relevant law:
Provided that, only those applications, for which the powers for disposal
of applications under the relevant law are conferred on the competent
authorities under the State Government, shall be transferred to the
Empowered Committee.
(2) On transfer of the application under sub-section (1) to the
Empowered Committee, the Competent Authority shall cease to have the
powers to deal with such application under the relevant law.
(3) The Empowered Committee shall dispose off such application as
per the provisions of the relevant law.
6.
(1) There shall be Empowered Committee consisting of Development
Commissioner (Industries), Government of Maharashtra, as a Chairman and
such other members, as may be prescribed.
(2) The Empowered Committee shall meet at such times and at such
places and shall adopt such procedure to transact its business, as may be
prescribed.
Mah.
XXXI of
2015.
Filing of
application.
Transfer of
application.
Disposal of
application.
Constitution
of Empowered
Committee.
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7.
The Empowered Committee shall have the following powers,
namely :—
(a) to consider and dispose off applications for permission under
any relevant law in cases where the Competent Authority has failed to
process and dispose off such applications, within the specified time limit;
(b) to invite any officer or expert as it deems necessary, to participate
in the meetings of the Empowered Committee;
(c) to ask for reason for delay in disposal of application or rejection
of application and to call for necessary information and to require
personal appearance of concerned Competent Authority;
(d) to appoint any officer to inquire into the reason for delay in
disposal of applications by the Competent Authority or the grievances
raised by the applicant;
(e) such other powers as may be prescribed.
8.
(1) The Empowered Committee shall perform the following
functions, namely :—
(a) to supervise the work of Nodal Agency and to issue necessary
directions to it for meeting the objectives of this Act;
(b) to supervise the functioning of Single Window System and review
the status of all applications from time to time;
(c) to review all applications pending beyond specified time limit
and to pass appropriate orders for disposal thereof;
(d) to formulate guidelines and Standard Operating Procedures
required for an effective implementation of the Single Window System;
(e) to give directions to the concerned Departments and authorities
for online enablement of Government services and their integration with
the Single Window System;
(f) to make policy recommendations to the Supervisory Committee
as it deems appropriate and to develop an ecosystem to ensure Ease of
Doing Business and to enhance investment in the State;
(g) to entertain all grievances raised by the applicants and if found
necessary, call for a report from the concerned Competent Authority;
(h) such other functions as may be prescribed.
(2) The Empowered Committee shall submit its quarterly report to the
Supervisory Committee, about its activities under this Act.
9.
Notwithstanding anything contained in any relevant law, decisions
of the Empowered Committee shall be binding on applicants, authorities
and all other concerned persons.
10.
(1) There shall be a Supervisory Committee consisting of Secretary,
Industries as the Chairman and such other members as may be prescribed.
(2) The Supervisory Committee shall meet at such times and at such
places and shall adopt such procedure to transact its business, as may be
prescribed.
Powers of
Empowered
Committee.
Functions of
Empowered
Committee.
Decisions of
Empowered
Committee to
be binding.
Constitution
of Supervisory
Committee.
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11.
The Supervisory Committee shall have the following powers,
namely :—
(a) to examine the proposals referred by the Empowered Committee
and take a decision thereon;
(b) to invite any officer or expert, as it deems necessary, to participate
in the meetings of the Supervisory Committee;
(c) such other powers as may be prescribed.
12.
The Supervisory Committee shall perform the following functions,
namely :—
(a) to give directions to the Empowered Committee on any issues
regarding Ease of Doing Business in the State;
(b) to make policy recommendations to the concerned authorities
as it deems appropriate;
(c) to recommend disciplinary action, upon its satisfaction, in cases
referred to by the Empowered Committee where the Competent
Authority has failed to dispose of the application within the specified
time limit or rejected the application without sufficient reason, to the
concerned disciplinary authority of the Department;
(d) such other functions as may be prescribed.
13.
Notwithstanding anything contained in any relevant law, decisions
of the Supervisory Committee shall be binding on applicants, authorities
and all other concerned persons.
14.
(1) The Maharashtra Industry, Trade and Investment Facilitation
Cell (MAITRI) shall be the Investment Promotion Agency and also Nodal
Agency for Single Window System in Maharashtra, for the purposes of this
Act.
(2) The Nodal Agency may appoint or take assistance from experts from
various fields such as Information Technology (IT), law, finance, economics
or any other experts as may be required, from time to time.
15.
Subject to the superintendence, direction and control of the
Empowered Committee, the functions of the Nodal Agency shall be as
follows :—
(a) to function as the State’s agency for Investment Promotion and
setting up business or industrial undertakings in the State;
(b) to guide and assist entrepreneurs or investors to set up industrial
undertakings in the State;
(c) to place the applications of the entrepreneurs or investors before
the Empowered Committee, for its decision, where the concerned
Competent Authority has failed to consider and dispose off the
applications within the specified time limit;
(d) to monitor the status of applications and place the report of the
status of applicationss before the Empowered Committee;
Powers of
Supervisory
Committee.
Functions of
Supervisory
Committee.
Decisions of
Supervisory
Committee to
be binding.
Nodal Agency.
Functions of
Nodal Agency.
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(e) to assist an entreprenuer or investor in obtaining permissions
from the Central Government or State Government or their statutory
and other bodies;
(f) to coordinate with various Competent Authorities for
entrepreneurs’ or investors’ applications, integration of other websites
with MAITRI and any such support as may be required for the smooth
functioning of the Single Window System;
(g) to draft guidelines and Standard Operating Procedures for new
investments and to review and modify them from time to time;
(h) to respond to queries raised by entrepreneurs or investors;
(i) to render necessary assistance in policy formulation for industrial
progress;
(j) to promote environment friendly and technology-enabled
production practices;
(k) to prepare and issue Application Form or Combined Application
Form or Common Application Form for making application through the
Single Window System;
(l) to propose, facilitate or introduce regulatory reforms for
establishing industrial undertakings and their operations in the State
based on user feedback with the objective of Ease of Doing Business;
(m) to assist the entrepreneurs or investors in completing the
application forms;
(n) such other functions as may be prescribed.
16.
The inspections under the provisions of relevant law by the
concerned authorities shall, as far as practicable, be conducted jointly, based
on random selection.
17.
(1) The Directorate of Industries, Government of Maharashtra
shall incur all expenses necessary for the purposes of this Act.
(2) The directions received from Supervisory Committee and
Empowered Committee including any such directions regarding cost,
expenses or financial implications, etc., shall be duly fulfilled by the
Directorate of Industries by making adequate provisions in the budget.
18.
(1) The Supervisory Committee and the Empowered Committee
shall exercise their powers and discharge their functions under this Act
and the rules made thereunder within such time limit as may be prescribed.
(2) The Nodal Agency or Competent Authorities or Empowered
Committee shall respond to queries raised by an entrepreneur or investor
or any person within such time limit as may be prescribed.
19. The Nodal Agency may take such fees as may be prescribed for the
services to be availed through the Single Window System.
20. (1) The Nodal Agency shall design and develop a comprehensive
Online Wizard Module to assist entrepreneurs or investors in identification
of permissions that are required to establish, set up or operationalize
industrial, commercial or business related operations in the State.
Rationalization
of inspections.
Expenses.
Time limits.
Power to levy
fees.
Online
Wizard
Module.
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7
(2) The Wizard Module shall be equipped to accept certain inputs from
the entrepreneurs or investors, such as, type of industrial undertaking,
number of employees, location, etc.
(3) The Wizard Module shall provide links to application forms for
permissions and their relevant notifications that may be required by
entrepreneurs or investors for information.
(4) The concerned Department or authority shall endeavour to include
all existing permissions under the Wizard Module, from time to time.
(5) The concerned Department or authority shall provide information
on additional new permission to be included as part of the Wizard Module
within such time limits as may be prescribed.
21.
(1) The Nodal agency may make online provisions for publication
of draft of any policies, rules and regulations with the feature to accept public
comments or feedback on such drafts.
(2) The concerned authorities may make use of the Single Window
System for publication of draft policies, rules and regulations and duly
consider the public comments or feedback on such policies, rules, regulations.
(3) The concerned authorities may also display the proposed new or
amended policies, rules and regulations along with the need or objectives of
such policies, rules and regulations and the way by which such proposed
policies, rules and regulations shall reduce burdens on business or industries.
22.
No agency or authority of the Government or any local authority,
including any functionaries thereunder, shall disclose to any other
enterpreneur or investor or to a person not duly authorized, any information
forming the intellectual property of the entrepreneur or investor without
the consent of such entrepreneur or investor.
23. The State Government may, from time to time, issue such general
or special directions, to the Empowered Committee in respect of policy
matters as it deems necessary or expedient for the purposes of carrying out
the objectives of this Act, and the Empowered Committee shall be bound to
follow and act upon such directions.
24.
The provisions of this Act shall apply to all investment proposals
which are under consideration of the Government or any of its agency,
authorities or undertakings on the date of commencement of this Act, if the
concerned entrepreneur or investor so opts by submitting an application
through the Single Window System.
25.
Save as otherwise provided in this Act, the provisions of this Act
or the rules made thereunder shall have overriding effect, notwithstanding
anything to the contrary contained in any law of the State for the time being
in force.
26.
No suit, prosecution or legal proceedings shall lie against the
Chairman or other members of the Supervisory Committee or Empowered
Committee or any employee of the Government acting under the direction
of such committee in respect of anything which is, in good faith, done or
intended to be done under this Act or any rules made thereunder.
27.
(1) The State Government may, by notification in the Official
Gazette, make rules to carry out the purposes of the Act.
Public
consultation
on draft
policies, rules
and
regulations.
Confidentiality.
Power to give
directions.
Transitional
provisions.
Overriding
effect.
Protection of
action taken
in good faith.
Power to
make rules.
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(2) Every rule made under this Act shall be laid, as soon as may be,
after it is made, before each House of the State Legislature, while it is in
session for a total period of thirty days, which may be comprised in one
session or in two or more successive sessions, and if, before the expiry of the
session in which it is so laid or the session immediately following, both Houses
agree in making any modification in rule or both Houses agree that the rule
should not be made, and notify their decision to that effect in the Official
Gazette, the rule shall from the date of publication of such decision in the
Official Gazette, have effect only in such modified form or be of no effect, as
the case may be; so however, that any such modification or annulment shall
be without prejudice to the validity of anything previously done or omitted
to be done under that rule.
28.
(1) If any difficulty arises in giving effect to the provisions of this
Act, the Government may, as occasion arises, by an order published in the
Official Gazette, do anything not inconsistent with the provisions of this
Act, which appears to it to be necessary or expedient for removing the
difficulty:
Provided that, no such order shall be made after the expiry of a period
of two years from the date of commencement of this Act.
(2) Every order made under sub-section (1) shall be laid, as soon as may
be, after it is made, before each House of the State Legislature.
Power to
remove
difficulty.
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9
STATEMENT OF OBJECTS AND REASONS
The role of the Government in the overall business ecosystem has
changed due to rapid growth and innovation across industries and service
sectors. The Government is expected to not only play the role of a regulator,
but also as an business ecosystem developer.
2.
In order to facilitate investments in the State, the Government of
Maharashtra has, in the year 2014, set up the Maharashtra Industry, Trade
and Investment Facilitation Cell (MAITRI) to redress grievances of
investors.
The Government of Maharashtra has, by Government Resolution,
converted MAITRI as a State Single Window System.
3.
In order to effectively function as a State Single Window System,
MAITRI needs to be empowered with additional powers.
Establishment of
a robust Single Window System brings in multiple benefits. Creation of an
investor and entrepreneur-first environment in the State not only drives
the economy of the State as well as helps create jobs across a variety of sectors,
apart from ensuring the State becomes a preferred destination for domestic
and foreign investments. Hence, the Government considers it expedient to
enact a new law for the purposes of creating an effective Single Window
System for delivery of services related to the issuing of permissions,
approvals, clearances and no-objection certificate required for establishing
and operating industries under different laws.
The Government of India has also recently launched the National Single
Window System (NSWS) with the objective of ensuring Ease of Doing
Business across the country. MAITRI will help complement the efforts of
the Central Government and the State Government in this regard by ensuring
effective linkages between the Centre and the State portals.
4.
The salient features of the proposed law are as follows :—
(i) to provide that MAITRI shall be the Investment Promotion
Agency and Nodal Agency for Single Window System in Maharashtra
State;
(ii) to provide for making an application for any permission
required under relevant law electronically through Single Window
System;
(iii) to provide for constitution of the Empowered Committee
consisting of Development Commissioner (Industries) as a Chairman
to supervise the work of MAITRI, decide and dispose off such
applications which are not disposed off by the Competent Authorities
within specified time limits, to resolve grievances of applicants,
etc.;
(iv) to provide for constitution of the Supervisory Committee
consisting of Secretary (Industries) as a Chairman to examine the
proposal referred by the Empowered Committee, to give directions
on any issues regarding Ease of Doing Business, to make policy
recommendations to the concerned authorities, etc.;
(v) to provide that inspections under the provisions of relevant
laws by Competent Authorities, shall as far as practicable be
conducted jointly, based on random selection;
(vi) to provide for designing and developing of comprehensive
Online Wizard Module to assist the entrepreneur or investor to
set up industries in the State.
¦ÉÉMÉ {ÉÉSÉ--+----4-3+
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5.
The State of Maharashtra through MAITRI, a Nodal Agency for Single
Window System shall be able to carve out a pole position for itself in Ease of
Doing Business by offering a smooth single window clearance system to all
investors and entrepreneurs desiring to set up their businesses in the State
of Maharashtra.
6.
The Bill seeks to achieve the above objectives.
Mumbai,
UDAY SAMANT,
Dated the 23rd February 2023.
Minister for Industries.
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11
MEMORANDUM REGARDING DELEGATED LEGISLATION
The Bill involves the following proposals for delegation of legislative
power, namely:-
Clause 1(2).–Under this clause, power is taken to the State Government
to appoint, by notification in the Official Gazette, the date on which this Act
shall come into force.
Clause 3.–Under this clause, power is taken to the State Government,-
(a) under sub-clause (1), to specify, by notification in the Official
Gazette, the permissions required under the relevant law for which
application shall be made through the Single Window System;
(b) under sub-clause (2), to prescribe by rules the processing fees be
accompanied by an application made under sub-clause (1).
Clause 6.–Under this clause, power is taken to the State Government,-
(a) under sub-clause (1), to prescribe by rules, the members of the
Empowered Committee other than the Chairman thereof;
(b) under sub-clause (2), to prescribe by rules, the time and place of
conducting meetings of and the procedure to be adopted to transact
business of, the Empowered Committee.
Clause 7(e).–Under this clause, power is taken to the State Government
to prescribe by the rules, powers of the Empowered Committee other than
those specified in clause 7.
Clause 8(1)(h).–Under this clause, power is taken to the State
Government to prescribe by rules, the functions of the Empowered
Committee other than those specified in clause 8(1).
Clause 10.–Under this clause, power is taken to the State Government,—
(a) under sub-clause (1), to prescribe by rules, members of the
Supervisory Committee other than the Chairman thereof;
(b) under sub-clause (2), to prescribe by rules, the time and place of
conducting meetings of and the procedure to be adopted to transact the
business of, the Supervisory Committee.
Clause 11(c).–Under this clause, power is taken to the State
Government to prescribe by rules, the powers of the Supervisory Committee
other than those specified in clause 11.
Clause 12(d).–Under this clause, power is taken to the State
Government to prescribe by rules, the functions of the Supervisory
Committee other than those specified in clause 12.
Clause 15(n).–Under this clause, power is taken to the State
Government to prescribe by rules, the functions of the Nodal Agency other
than those specified in clause 15.
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Clause 18.–Under this clause, power is taken to the State Government,—
(a) under sub-clause (1), to prescribe by rules, the time limit to
exercise the powers and discharge the functions under this Act and the
rules made thereunder, by the Supervisory Committee and the
Empowered Committee;
(b) under sub-clause (2), to prescribe by rules, the time limit to
respond to queries raised by an entrepreneur or investor or any person,
by the Nodal Agency or Competent Authorities.
Clause 19.–Under this clause, power is taken to the State Government
to prescribe by rules, the fees for the services to be availed through the
Single Window System.
Clause 20(5).–Under this clause, power is taken to the State
Government to prescribe by the rules, the time limit to provide information
on additional new permission to be included as part of the Wizard Module,
by the concerned Department or Authority.
Clause 23.–Under this clause, power is taken to the State Government
to issue general or special directions, to the Empowered Committee in
respect of policy matters as it deems necessary or expedient for the purpose
of carrying out the objectives of this Act.
Clause 27.–Under this clause, power is taken to the State Government
to make rules, by notification in the Official Gazette, to carryout the purposes
of this Act.
Clause 28.–Under this clause, power is taken to the State Government
to issue an order published in the Official Gazette, for removing any difficulty,
which may arise in giving effect to the provisions of this Act, within a period
of two years from the date of commencement.
2.
The above-mentioned proposals for delegation of legislative power
are of normal character.
¨É½þÉ®úɹ]Åõ ¶ÉɺÉxÉ ®úÉVÉ{ÉjÉ +ºÉÉvÉÉ®úhÉ ¦ÉÉMÉ {ÉÉSÉ-+, ¡äò¥ÉÖ´ÉÉ®úÒ 28, 2023/¡òɱMÉÖxÉ 9, ¶ÉEäò 1944
13
FINANCIAL MEMORANDUM
Clauses 3, 6, 10 and 20 of the Bill provides for filing of an application
by an entrepreneur or investor in electronic form through Single Window
System to set up a new industrial undertaking or continue operation of
an existing industrial undertaking in the State, constitution of
Empowered Committee, constitution of Supervisory Committee and to
design a comprehensive Online Wizard Module by the MAITRI to assist
entrepreneurs or investors in identification of permission required to
establish, setup or operationalize industrial, commercial or business
related operations in the State, respectively.
Thus, the Bill would involve approximately non-recurring
expenditure of rupees five crores and recurring expenditure of rupees
eight crores per year from the Consolidated Fund of the State on its
enactment as an Act of the State Legislature.
14
¨É½þÉ®úɹ]Åõ ¶ÉɺÉxÉ ®úÉVÉ{ÉjÉ +ºÉÉvÉÉ®úhÉ ¦ÉÉMÉ {ÉÉSÉ-+, ¡äò¥ÉÖ´ÉÉ®úÒ 28, 2023/¡òɱMÉÖxÉ 9, ¶ÉEäò 1944
GOVERNOR’S RECOMMENDATION UNDER ARTICLE 207 OF THE
CONSTITUTION OF INDIA
(Copy of Government of Maharashtra Order, Law and Judiciary
Department)
In exercise of the power conferred upon him by clause (3) of Article
207 of the Constitution of India, the Governor of Maharashtra is pleased
to recommend to both Houses of the State Legislature, the Consideration
of the The Maharashtra Industry, Trade and Investment Facilitation
Bill, 2023.
Vidhan Bhavan :
RAJENDRA BHAGWAT,
Mumbai,
Principal Secretary,
Dated the 28th February, 2023.
Maharashtra Legislative Assembly.
ON BEHALF OF GOVERNMENT PRINTING, STATIONERY AND PUBLICATION, PRINTED AND PUBLISHED BY DIRECTOR,
RUPENDRA DINESH MORE, PRINTED AT GOVERNMENT CENTRAL PRESS, 21-A, NETAJI SUBHASH ROAD, CHARNI ROAD,
MUMBAI 400 004 AND PUBLISHED AT DIRECTORATE OF GOVERNMENT PRINTING, STATIONERY AND PUBLICATIONS,
21-A, NETAJI SUBHASH ROAD, CHARNI ROAD, MUMBAI 400 004. EDITOR : DIRECTOR, RUPENDRA DINESH MORE.