Maharashtra Government Abolishes Non-Agricultural Permits, Simplifying Industrial Sector's Development

In a big relief to the industrial sector, the state government has scrapped the requirement of non-agricultural (NA) use permission to develop their land parcels. From now on, an industrial unit opting to develop its land will simply be required to provide a copy of the development permission issued by the local or civic body to the revenue authorities to make changes in the government record, according to official sources.

The NA permission, mandatory for any development on land owned by industries, is considered a major stumbling block for construction. The business sector had been seeking relief from the existing system, which requires extensive documentation and causes inordinate delay.

They were also required to make the rounds of the district revenue authorities for the NA permission. After due diligence, the state industries department had asked the state Revenue Department to start a ‘one-window system’ to facilitate NA permissions. The revenue department headed by Chandrashekhar Bawankule has, in a bold initiative, done away with this requirement entirely.

The state order, issued on Wednesday, is a part of its ease-of- doing business (EoDB), an initiative launched by the department for promotion of industry and internal trade (DPIIT). Such decisions should be implemented as part of the business reforms action plan, according to the DPIIT. The NA permission required to develop a piece of land has been an age-old procedure, considered time-consuming and entailing numerous rounds of the concerned office.

The Mahayuti government announced doing away with the NA permission before the state assembly elections last year. To abolish the system, the state is expected to amend the Maharashtra Land Revenue Code, 1966. The state is currently working on making changes to sections 42 (A), (B), (C), and (D), as well as section 44-A, which will remove the clauses for NA permission.

A bill for the same is expected to be introduced in the budget session of the state legislature in March, said an official in the know of the development. The government thought it fit to offer relief to the industrial sector before making the amendments in the land revenue code by also issuing a circular to the revenue authorities, said the official.