Kerala: Single windows get more teeth

THIRUVANANTHAPURAM: The single window clearance system has been in force since June 2000 but, thanks to many restrictive clauses in various statutes, the state has never been able to implement the investment-facilitating system in any meaningful manner. Result: The state continues to languish lower down the scale, now at the 20th position in the country, when it comes to its attractiveness as an investment destination. The LDF, to change the non-friendly image of the state, has now put in place a brand new single-window system, called Kerala Investment Promotion and Facilitation Cell. The cells, like before, will operate at both state and district levels. 

Both will have representations from all major departments. But this time the government has attempted to pave the way for its smooth implementation by amending a slew of acts, most notably the Headload Workers Act, 1978, the Kerala Panchayati Raj Act, 1994, the Kerala Municipality Act, 1994, and the Kerala Industrial Single Window Clearance Boards and Industrial Township Area Development Act, 1999. The Headload Workers Act has been amended to do away with the need to employ the services of outside headload workers. The Act allows the entrepreneur to employ his own men. In the case of the Panchayati Raj and Municipality acts, amendments have been brought in to give the approval process an unprecedented urgency. 

In their earlier form, these Acts were silent about acknowledging the applicant. The amendments specify that the authorised officer should verify the documents “on the spot”, and if at all documents were found missing, it should be informed to the applicant within five days. Further, post amendment, rejecting an application has been ruled out. Either the permission has to be granted fully or partly subject to conditions. The right of panchayats and municipalities to refuse permission has been taken out. What’s more, the permission has to be granted before 30 days as against the earlier 60 days.

The amendments, bro-ught in through the Kerala Investment Promotion and Facilitation Ordinance, 2017, have given the Industrial Single Window Clearance Boards and Industrial Township Area Development Act, 1999, more intent. For instance, the 1999 Act did not specify the frequency with which the Clearance Board had to meet.  The amendment makes it mandatory that the State Cell, chaired by the chief secretary, should meet every 30 days. In the case of district cells, headed by collectors, they have to meet at least every 20 days.