70002 R E E O B T I I DRAFT FINAL REPORT PREPARED BY IMACS UNDER THE WORLD BANK TECHNICAL ASSISTANCE TO THE GOVERNMENT OF BIHAR AUGUST TABLE OF CONTENTS ABBREVIATIONS ACRONYMS .................................................................................................................. I ACKNOWLEDGEMENTS ......................................................................................................................... III EXECUTIVE SUMMARY ............................................................................................................................. I INTRODUCTION ................................................................................................................................6 A ........................................................................................................... 6 A ........................................................................................... 6 AN OVERVIEW OF BIHAR S REGULATORY FRAMEWORK FOR BUSINESS .......................................9 A B ......................................................................................... 9 L ................................ 12 B ......................................... 13 P ......................................................................... 17 F ........................................................................................................... 22 A I B T B B I ................................................ 23 ASSESSMENT OF REGULATORY REQUIREMENTS AND SUGGESTIONS .........................................27 L A B I A D A BIADA ......................... 33 E B S E B ........................................... 36 W L W R D ............................................................. 38 B R ................................................................................................... 40 C T D .................................................................................... 42 S E D .............................................................................................. 43 P B S P C B .............................................. 44 F D ...................................................................................................... 47 F D .......................................................................................................... 48 L D F I I B .......... 50 E S I C ......................................................................... 56 E E ................................................................................................. 57 W M ................................................................................................ 58 S D ................................................................................................ 60 D C .......................................................................................................... 61 M D ..................................................................................................... 63 H D .............................................................................................. 64 H D ...................................................................................................... 66 SPECIFIC SUGGESTIONS AND ACTION STEPS .................................................................................68 SUMMARY AND CONCLUSIONS .....................................................................................................74 ANNEXURE STUDY OBJECTIVES TERMS OF REFERENCE ................................................................83 ANNEXURE STATE LEVEL CLEARANCES TO SET UP A GENERAL INDUSTRY IN BIHAR .......................85 ANNEXURE PROCESS MAPPING OF BIHAR S DEPARTMENTS FOR ISSUING LICENSES .....................96 A A ................................................................... 96 A R ........................................................................................... 98 A L B I A D A ................................ 102 A P C B S P C B BSPCB ........................... 106 A E S C B S E B .................................... 109 A W L W R D ....................................................... 113 A I B ........................................................................................... 117 A F I .............................................................................................. 120 A L W ............................................................................................................ 124 A F D ................................................................................................. 127 A F D .................................................................................................... 132 A S E D ........................................................................................ 134 A C T D ............................................................................... 136 A E S I C ................................................................... 136 A E E ........................................................................................... 139 A W M D ........................................................................... 139 A S D .......................................................................................... 141 A D C ..................................................................................................... 145 A M D ............................................................................................... 147 A H D ........................................................................................ 148 A H D ................................................................................................ 150 ANNEXURE REGULATORY BENCHMARKS FROM FOUR INDIAN STATES.........................................152 A L B I ...................................................................... 152 A P O I B I ........................................ 155 A R B I ...................................................................... 156 A C B .......................................................................... 157 ANNEXURE INVESTORS VIEWS ON SIMPLIFICATION OF REGULATORY REQUIREMENTS .............159 ANNEXURE INVESTORS DEPARTMENTS MET DURING THE STUDY................................................160 ANNEXURE CASE STUDIES STATUS OF APPLICATIONS THROUGH SIPB APPROVALS....................161 ANNEXURE BIBLIOGRAPHY ..............................................................................................................166 LIST OF TABLES T I P B A I ...........................................................................9 T L F P R S B A I ...................................................10 T C I ...........................................................................11 T S B ....................................................................17 T S A ...................................................................22 T B .......................................................................24 T B ........................................................25 T B .....................................................25 T A ...............................................27 T S S A S ...................................................................................68 LIST OF FIGURES F S .....................................................................................10 F C I ...................................................12 F S .............................................................................................................14 F S T ...........................................................................15 F C BIADA ........................................................................33 F R BIADA ............................................................35 F C BSEB .............................................36 F C W R D ......................39 F R W R D ....................................................40 F C DIC .........................................................................................................41 F R ...............................................................42 F P .............................................................................................44 F C M EF ......................................................................................45 F C BSPCB ...........................................................................46 F P .................................48 F C F D .........................................49 F R F D .............................50 F C F ....................................................................................51 F R F ........................................................................52 F C B ...............................................................................53 F C ESI .........................................................................57 F P W M D .........................................59 F C ........................................60 F C .........................................................................62 F R ............................................................63 F C M .......................................................................................64 F C ..............................................................65 F C ...............................................................................................66 F T ...................................................................82 A A AOA A A BERC B E R C BIADA B I A D A BSEB B S E B BSPCB B S P C B CAF C A F CCF C C F CE C E CII C I I CTE C E CTO C O D C D C DFO D F O DHO D H O DIC D I C DIPP D I P P DMI D A M I DPR D P R EAC E A C ESI E S I FM F M GM G M G I G I GSDP G S D P HO H O HTS H T S IBA I B A IBR I B R IEM I E M IM CS ICRA M C S L I IP I P IT I T V K VA K A LOI L I LTIS L T I S MOA M A M EF M E F MSMED A M S M E D A NOC N O C NPV N P V P M P M PCC P C C PCCF P C C F PF P F PMC P M C PRDA P R D A PWD P W D ROC R C SCR S C R SEAC S L E A C SEIAA S E I A A SIA S I A SIPB S I P B SOI S I SSI S S I TIN T P I N TOR T R VAT V A T W M W M II A This study was prepared as part of a non-lending technical assistance initiative for private sector development in Bihar and at the request of the Industries Department, Government of Bihar for assistance from the World Bank to support the implementation of the single window system in Bihar. The World Bank Group team guiding this work included Mark Dutz, Suhail Kassim, Une Lee and Niraj Verma. Alberto Criscuolo provided highly valued inputs into the initial Terms of Reference and the study launch, and Peter Ladegaard provided helpful comments on an earlier draft. ICRA Management Consulting Services Limited, a Delhi-based management consulting firm, was selected to carry out the review for Bihar, based on specifications developed as part of World Bank Group's technical assistance engagement in response to a request from the Government of Bihar. During preparation of this study, several missions made up of World Bank Group staff and the consultants visited Bihar and held discussions with Government of Bihar officers and representatives of the private sector. Funding for this study was supported by the World Bank managed DFID trust fund, SASPF and WBIFP. We would like to express our thanks to all the participating Government of Bihar Departments for their cooperation and support. III E S 1. Bihar is India’s third largest state by population and one of the poorest. Over the years it has been plagued by political dissonance and unresolved friction that has resulted in stagnation. While modest progress was made in the 1990’s to reduce poverty levels, Bihar’s performance lags behind national trends. Only recently, a new political dispensation has tried to reverse this feeling of apathy on both economic and social planes. 2. A predominately agrarian economy, the share of industry in Bihar remains small (13.7 percent of GSDP) and has experienced little structural change over the past decades. Agriculture accounts for 30.3 percent of GSDP and 73.5 percent of employment. The share of services has been growing and currently accounts of 53.3 percent of GSDP. While Bihar is endowed with fertile land and good water resources, the volatility of the agricultural sector accounts for its erratic growth. 3. As part of its technical assistance initiative to develop (and strengthen) the regulatory framework for business, the single window system to stimulate the development of the private sector, the World Bank commissioned ICRA Management Consulting Services Limited (IMaCS) to conduct a detailed review and assessment of the investment and operating requirements in Bihar to understand its impact on implementation of the single window system and in turn to improve the overall investment climate in the state. This is particularly important as only 11 proposal of over a 1311 proposals received by the nodal State Investment Promotion Board (SIPB) have managed to reach the operational stage of business. 4. The study was conducted in three phases: (i) Detailed mapping of the regulatory process for business entry at the pre-entry/post-entry stage for business entry in Bihar; (ii) Assessment of each license, clearance and inspection across parameters such as necessity, legality, efficiency and scope for simplification; and (iii) Suggestions on which licenses/ clearances/inspections should be retained, which could be abolished. This study was essentially based on primary research Figure A: State-level clearances for general industry Pre-Construction Stage During Construction Stage Upon Completion of Construction 1 3 4 5 SIPB Approval Pollution (NOC) Land – BIADA Permanent Registration (optional) 45-60 days (Lease Deed) 2-3 days 7-8 days 10 days 3 5 4 1 Factory (Lay out Pollution (Consent to Factory (License) Provisional approval) Operate) 30-40 days Registration 90 days 45-60 days 1-2 days 3 4 5 Power (Load Power (Connection) Commercial Taxes (CST & Sanction) 21 days – in case of 2 no extension works VAT Registration) 7 days Land Allotment- BIADA 7 days 65-75 days till issue 4 3 5 of physical Water Linkage Water Linkage (Agreement) ESI (Registration) possession order 15-20 days 40-50 days 7-10 days 3 4 5 Fire (Lay out Labor (Contract Weights & Measures approval) registration) (Clearance Certificate) 5-10 days 7-10 days 2-3 days *Same serial 3 4 number denotes 5 State Excise State Excise parallel processing Employment Exchange (NOC) (License) (Registration) 15-20 days 30 days 7 days Average 160 -185 days 40-50 days 45-60 days timelines EXECUTIVE SUMMARY Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation i (multiple meetings with all concerned departments at both the central and state-level and with a cross-section of investors) as some new areas had to be addressed, particularly in the context of Bihar. Some of the key departments met include: Industries Department, Udyog Mitra, Bihar State Pollution Control Board, Bihar State Industries Development Corporation, Bihar Industrial Area Development Authority. Further, a number of stakeholders including private investors and state level industry associations were also consulted. Process mapping: Journey of the investor 5. The “journey of an investor� for a typical application for state level clearances in Bihar’s present context can be either through the single window system or independent of it. Whereas setting up of the Single Window System in Bihar is an important step, the institution has not yet been able to achieve its overall objectives of ensuring rapid clearance of procedures for establishing industries and speedy issuance of licenses. Therefore, in many cases the investors choose to directly approach the departments. Hence, the “journey of an investor� has only changed notionally, since this system is not yet mandatory, a factor that alone can corrode the very purpose of the single window system. The typical route of a typical application is illustrated in Figure A. 6. A comprehensive analysis of the processes involved for each and every business entry clearance (and license) is presented in the report. For instance, in case of the Factories Inspectorate, Labour Department, the process involves 4 steps (30 days) for obtaining approval of the plan and another 5 steps (90 days) to secure a license as depicted in Figure B. Based on this analysis, an average timeline for each stage of the journey of the investor was constructed (see Figure A). 7. As the time required for obtaining all the required clearances for setting up an industry was over 245 days, a constraint in itself, a conservative estimation of the savings for Bihar for each day reduced (in terms of tax revenue only) was over Rs. 100 Million2. This opportunity cost Figure B: Factories license is actually even higher as only 11 out of 131 SIPB proposals materialized. 8. Although the number of clearances reduces (to renewals) at the post-operation stage, the burden of inspections and returns to be filed with each department, increases considerably. 9. Inspections are one of the most significant regulatory burdens on investors. Investors have to bear the cost of additional resources to manage these ad- hoc and subjectively defined inspections. Not only do inspections within the same department occur at a varying frequency, there are multiple officers within the same departments that visit the factory premises. The smaller investor especially faces the major brunt of these inspections because of their limited means. 10. Similarly, returns also increase paperwork and associated costs since multiple Acts demand filing of returns under separate Acts. In this regard, potential for introduction of common return under the same department can greatly facilitate investors (& investment) Detailed Assessment of Regulatory Requirements 1 Source: Information as provided by Industries Department, Government of Bihar 2 Approximate notional loss which takes into account lost tax opportunity for Industry and Services. EXECUTIVE SUMMARY Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation ii 11. To formulate contextual suggestions and action steps for Bihar to initiate, an overall understanding of how other states in the country have achieved success in addressing the regulatory framework for business was done. Hence, IMaCS’ extensive database on investment climate and, in particular, its earlier study (“Single Window Systems in India – Best Practices and Lessons�) for WBI was used to devise “benchmarks� for each license/inspection (in terms of time taken, cost and process rationalization. The key learning’s from the comparative benchmarks and experience of Andhra Pradesh, Rajasthan, Uttar Pradesh and Tamil Nadu was that they had focused on addressing the back-end of processes first rather than focus on window dressing the front-end single window system. 12. As each department was mapped and assessed in detail, a “to-be� benchmark for Bihar was devised based on Bihar’s present baseline. This benchmark was used to evolve specific suggestions and action steps that Bihar could implement so that it can transit from the “as-is� to the to-be� scenario. 13. Based on the process mapping and Bihar’s performance as per both comparative and “to-be� “benchmarks�, specific recommendations and action steps were suggested for each department. An instance of this is given in Table A for the Factories Inspectorate. 14. In line with the Central Government’s directions Bihar could immediately set in process necessary administrative fiat to repeal the State Cold Storage Order and thus de-regulate the industry (Ministry of Agriculture repealed the Cold Storage Order in 1997). T A S F I S. Name of Which criteria Scope for Final recommendation* Action steps No. license/ does it fail? streamlining? 1. Factories • Efficiency Yes (Very • Prior layout approval for non-hazardous industries upto a • Layout plans are • Deemed High) specific electricity load / workers may be done away with prepared/certified by Approval • Deemed approvals should be implemented for Layout certified engineers • Internally Approvals; or at least the time limit should be brought authorized by the obtainable down to 30 days from the current 90 days Government information • Simplification & rationalization of returns and registers, • Simplification/rationalizati inspections etc. needs to be done simultaneously with on of returns, registers and reforms in labor department inspections by some of the • Introduction of self-certification (in non-hazardous other progressive states & industries) under various acts administered by Factories their experience can point Inspectorate may be considered Govt. of Bihar in the right • Joint Inspections, inspection by technically qualified third direction parties may be considered Summary and Conclusions 15. In summary, Bihar’s regulatory framework and processes therein are not effective for facilitating private investment in the state. There is significant scope for simplification of the requirements for each regulatory requirement. However, this should in fact be done in synchrony with a concerted effort to develop a true one-stop-shop, where the front-end fully performs the intended functions. If Bihar is able to walk on these two connected but different strands then it will be able to better address the concerns of the investors and significantly improve the investment climate in Bihar at the same time. 16 The key overarching suggestions that could be considered by the state government in taking calibrated (and sequenced) action steps to accelerate the progress in making Bihar attractive for investment are: EXECUTIVE SUMMARY Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation iii • 0DNH WKH VLQJOH ZLQGRZ V\VWHP ZRUN As the present system is functioning sub- optimally and there is a need to focus on rejuvenating it resolutely by addressing the back-end through simplification, combination and rationalization of the processes and empowering the front-end through careful selection and capacity building of personnel who lead it. This one-stop-shop must profit from successful experiments of Andhra Pradesh and Tamil Nadu3. Some of their initiatives that Bihar can profit from include introducing a common application form (CAF) based (not replicated) on Andhra Pradesh and Tamil Nadu; Enable “in-principle� approval by providing administrative powers to the State Investment Promotion Board (SIPB) to ensure that the concerned departments approve or refuse the application (with justifications) within strict timelines for clearance of applications; Create a “Handbook for Investors� to guide and facilitate investors both on technical as well as procedural issues including details of the regulatory process, fees & documentation involved in the single window system and within individual departments; IT-enable the single window system as there is ample scope for automation both in terms of monitoring efforts and other e-facilitation to the investor. E-governance initiatives such as online availability of CAF, online issue of provisional registration at district; Monitoring committee with representation from all the concerned departments, which discusses the status of the application and the reasons for delay, should be constituted – this would help promote greater accountability on the part of departments. • )XUWKHU VLPSOLILFDWLRQ DQG VWUHDPOLQLQJ RI UHJXODWRU\ UHTXLUHPHQWV Reducing the post-operation regulatory burden will enable the investors to focus on productive outputs. In essence, this can be accomplished by: (i) extending renewals limits – from annual to five-years; (ii) combining returns and registers – simplifying, rationalizing and combining monthly/ yearly returns and registers/records; (iii) instituting joint inspections as per their impact on environment, health and safety (hazardous and non-hazardous). The latter would require more stringent joint inspections compared to the former where self- certification should be introduced. • 3URFHVV UHODWHG UHGXQGDQFLHV It needs to be kept in mind that single window implementation may not be successful unless it is completed by regulatory reforms and streamlining efforts. In-depth analysis of the processes followed within departments can help identify process/license redundancy. These redundancies can be eliminated through administrative means to streamline the system. Some examples include: a. BIADA clearance – There is duplication in the functions of PCC and SIPB for those approvals which have come through the single window route. PCC can be eliminated to reduce turnaround time b. Factory license – Introduce time limits based on the “benchmark� time of 14 days for (non-hazardous and hazardous) industries. In the short-term (2 years), aim to reduce times for non-hazardous (60 days) and hazardous (120 days) by 50 per cent and then synchronize with the “benchmark� of 14 days over the next year. c. Abolition of cold storage license –With an amendment to the state level Cold Storage order (repealed the at the central level in 1997), this license can be abolished d. Pollution – Bihar needs to constitute State Level Expert Appraisal Committee (SEAC) so that all Category B projects do not have to be referred to MoEF 3 From Bihar’s point of view the experience of Tamil Nadu can be useful as Tamil Nadu has a similar department Single Window System with the right empowerment, incentives and oversight for faster processing of investment proposals. EXECUTIVE SUMMARY Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation iv e. Registration to be part of SIPB - This registration can be clubbed with single window approval thus taking a first step to function as true single window • 'HYHORS FDSDFLW\ ZLWKLQ DOO JRYHUQPHQW GHSDUWPHQWV on an urgent basis for both existing staff and the required manpower. Adequate skill training needs to be imparted to the existing staff to help them acquire the necessary technical, managerial and communication skills required for performing their functions. 17. Time frame for implementation of these suggestions is given in Figure C (overleaf). However, given the issues highlighted in the report it behooves the government to be strategic and also to engage with the central government on issues such as health and forest so that they in turn can become more transparent in regulatory terms as well as more accountable to the system (and the investors). Figure C: Action-Time Matrix: Time Frame for Implementation of Suggestions Immediate Short Term implementation Implementation Time period • Legitimize SIPB’s “In-principle� approval • Creation of Monitoring Committee • Introduction of CAF • IT-Enable SWS Make SWS work • Creation of “Handbook for Investors� • Simplification of returns & registers - • Introduction of Self-Certification Introduction of Common Returns/ • Third Party inspections Further simplification Registers • Extending validity of Licenses of Inspections, • Random statutory inspections annually; returns & renewals surprise inspection based on complaints & with prior approval of authorities • Joint Inspections • Elimination of PCC for SIPB approved appl. • Establish SEIAA or SEAC for State Process-related • Registration as part of SIPB Pollution Control Board redundancies • Abolition of Cold Storage License • Soft skill training (communication skills, • Technical skill training to existing staff Capacity Building managerial capabilities etc.) to existing • Recruitment of additional desired staff manpower EXECUTIVE SUMMARY Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation v I A T G B I I P T B T W B B A W B ICRA M C S L IM CS B S A TOR T S O IM CS S P B S D S L S H A T PHASE 3: PHASE 1: Detailed PHASE 2: Recommendation mapping of Assessment of and justification regulatory process each clearance for action steps including licenses, across various on license: keep/ clearances and criteria abolish/ inspections streamline DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 6 P I D T B E FIAS W B G B L P T F • D • P • S P II A T • A • A • I P III S T M T B IM CS I D U M B S P C B BSPCB B S I D C B I 4 V as:L DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 7 A D A BIADA F IM CS WBI T S W S I B P L B I IM CS I W B DFID A P PHASE PHASE PHASE D A Recommendation PHASES and justification for action steps on each license/ inspection D A A ACTIVITIES P S S O D D D D OUTPUTS D F I IM CS B T A A F SIPB 5 IM CS W B J I I IM CS J W B I DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 8 B A T A B A B B H J H B I B R I R A B I GDP T T I P B A I I B A I I B P C GDP R T G R GDP T G R PC GDP I O P P G R P D S T B GSDP H T B GSDP T GDP T B GSDP I I U B I T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 9 B O T I B I I B I I B T T L F P R S B A I B A I L S R M F U M F S NSS R D I B T F S B T T T T T S S S S P P P P B I GSDP S N S S EUS R G I T B GSDP 6 Usual Principal Status refers to the usual activity status on which the person has spent most of his/her time in the last 365 days; Usual Subsidiary Status refers to the usual activity status on which the person has spent relatively shorter period of time compared to the primary occupation DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 10 GSDP T H B B O B T I I I C S B I O B A S S F T C I S C S R K H P G A P M C P W B O U P D T N H J A R K M P 7 Police (Crime/Traffic), Judiciary (Lower Courts), Land Administration, Municipal Services, Govt. Hospitals, Electricity (Consumers), PDS (Ration Card/Supplies), Income Tax (Individual Assessees), Water Supply, Schools (up to 12th Std.) and Rural Financial Institutions (Farmers) DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 11 J K B N H M C S I C S T I I IM CS T L T I C T L B I W M T F C I DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 12 L W B T I E I R O S Labor, employment & BIADA (Land Registrar of Sugarcane State Pollution Control Companies Board training Allotment) Drugs Controller Provident Fund BIADA/ PMC Business Forest Registration (Construction) Horticulture Employee State (SIA/DIC/BIADA) Ministry of Environment Insurance Revenue (Land Mining & Forest Income Tax Acquisition) Inspectorate of Health Factories Electricity Board Commercial taxes (Power) Electrical Explosives Central Excise Inspectorate Water Resources Fire State Excise Inspectorate of Boilers Export/ Import License Weights & Measures Department State Central T B F A B A B H A B S B S W A S A P T B T U M A S A P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 13 H B I IM CS S W S I B P L WBI I IM CS T I T F S I F S DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 14 STATE LEVEL CLEARANCES Upon Completion of Pre-Construction Stage During Construction Stage Construction Stage Common Clearances Common Clearances Common Clearances 1 3 5 SIPB Approval 4 Pollution Permanent Registration (optional) Land – BIADA (NOC) (Lease Deed) 5 1 3 Pollution (Consent 4 Factory (Lay to Operate) Provisional Factory (License) out approval) Registration 5 3 4 Commercial Taxes (CST & Power (Load Power (Connection) VAT Registration) 2 Sanction) Land Allotment- 3 4 5 BIADA (may Water Water Linkage ESI (Registration) be before Linkage (Agreement) 5 SIPB approval) 4 Weights & Measures 3 Labor (Contract (Clearance Certificate) 2 Fire (Lay out registration) Forest Approval approval) 4 5 (in case of use 3 State Excise Employment Exchange of forest land) State Excise (License) (Registration) (NOC) Industry Specific Clearances Industry Specific Clearances Industry Specific Clearances Cane (Reservation Drugs Controller Cane (Distance Orders) (License) Certificate) Drugs Controller Health Horticulture (License) (Advisory role) (NOC) Mining (Issue Boilers (License) of Lease ) S IM CS A B A F F F A F S T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 15 Pre-Construction Stage During Construction Stage Upon Completion of Construction 1 3 4 5 SIPB Approval Pollution (NOC) Land – BIADA Permanent Registration (optional) 45-60 days (Lease Deed) 2-3 days 7-8 days 10 days 3 5 4 1 Factory (Lay out Pollution (Consent to Factory (License) Provisional approval) Operate) 30-40 days Registration 90 days 45-60 days 1-2 days 3 4 5 Power (Load Power (Connection) Commercial Taxes (CST & Sanction) 21 days – in case of 2 no extension works VAT Registration) 7 days 7 days Land Allotment- BIADA 65-75 days till issue 4 3 5 of physical Water Linkage Water Linkage ESI (Registration) possession order (Agreement) 15-20 days 7-10 days 40-50 days 3 4 5 Fire (Lay out Labor (Contract Weights & Measures approval) registration) (Clearance Certificate) 5-10 days 7-10 days 2-3 days *Same serial number denotes 3 4 5 parallel processing State Excise State Excise Employment Exchange (NOC) (License) (Registration) 15-20 days 30 days 7 days Average 160-185 days 40-50 days 45-60 days timelines A day’s reduction in overall timeline can generate additional tax revenues of Rs. 100 million !! S IM CS A T B M F B B P U A G S D P GSDP R M S T R R M S R GSDP GSDP R S T R R S IM CS A 8 A ƒ G GSDP A GVA I GSDP G E ƒ E ƒ T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 16 T R M S P A T T T T T I G N T A L D A T S B Governed Legislative by S. No. Inspectors requirements Number of visits per year Activities during inspections Centre/ for inspections State Required Average INFRASTRUCTURE Land – Bihar Industrial Area Development Authority (BIADA) No fixed • Checks if premises are being Bihar Industrial frequency. used for the stated purpose and Area Not stated in 1. BIADA Inspector State Mostly no residential activity is taking Development Act Act surprise place 1974 inspections • Checks Production Return Electricity Department • After initiation of a new connection, a Service Monthly Connection Report (SCR) is inspections submitted by the concerned BSEB’s Anti-power theft Electricity Act, Not stated in 2. State on random Junior Engineer or the Assistant and Commercial Wing 2003 Act sample Electrical Engineer to the billing selected section of the concerned sub- division of BSEB along with details like metering DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 17 Governed Legislative by S. No. Inspectors requirements Number of visits per year Activities during inspections Centre/ for inspections State Required Average arrangement, initial meter reading, etc. • Condition of the meters (tampering etc.) and the connected load is checked on random sample. Monthly Progress Report is prepared by the Junior Engineer/ Assistant Engineer/ Executive Engineer Water Resources Department • Conditions of meters and Junior Engineer/ Bihar Irrigation Not stated in Case to case amount of water drawn is 3. State Assistant Engineer Act 1996 Act basis checked ENVIRONMENT Bihar State Pollution Control Board Air (Prevention and Control of Pollution) Act, Acts do not 1981, Water state the Typically • Water testing is conducted to (Prevention and number of annual. check pollution levels Air Inspector/ Water 4. Control of Centre inspections Depends on • Measurement of emission of air Inspector Pollution) Act, but only the industry and pollutants 1974, power of the complaints Environment inspectors (Protection) Act, 1986 Forest Department Forest • Usually conducted if industry in (Conservation) DFO, Forester, Ranger, forest area or on border of forest Act 1980, Indian 5. Asst Conservator Centre Not stated 3-4 per year area, e.g. mines Wildlife Forests (Protection) Act, • Checks if non-forest activity is taking place on forest land 1972 TAX REGISTRATION State Excise Department At least annual. Excise officer posted as Differing a full time employee at frequencies Bihar Excise Act • Check details of production, 6. the unit, Commissioner, State Not stated for each 1915 sale, excise payment made etc. Superintendent, Deputy officer. Commissioner Inspections also in case of complaints Commercial Taxes Department Central Sales Under Bihar Tax 1956, Bihar VAT Act, VAT Act 2005, proper Bihar authority and Entertainment sanction from Act 1948, Bihar senior officials • Books of accounts are checked Tax on Entry of is needed for to verify the sales tax payment Circle-in-charge. State/ 7. Commercial tax officers Goods in Local Centre inspection. Rarely • See whether proper returns area Act 1993, Circle In- have been filed Bihar Taxation of charge gives Luxuries in authorization Hotels Act 1988, to team Advertisement members only Tax Act 1981, after Joint Bihar Electricity Commissioner DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 18 Governed Legislative by S. No. Inspectors requirements Number of visits per year Activities during inspections Centre/ for inspections State Required Average Duty Act 1948 gives approval Central Excise, Patna Commisionerate • Check whether adequate Central Excise Not stated in 8. Central Excise Inspector Centre Annual payment has been made Act 1944 Act towards excise LABOR WELFARE & SAFETY Labor Department Bihar Shops & Commercial Establishments Act 1923, Workmen Compensation Act 1923, Payment of Gratuity Act • Registers required to be 1972, maintained under the various 9. Labor Inspector Contract Labor State Not defined At least 1 Acts are checked (Regulation & Abolition) Act 1970, Payment of Bonus Act 1965, Trade Unions Act 1926 Industrial Disputes Act 1947 Factories Department Factories Act, 1948; Bihar Factories Rules 1950, Payment of Wages Act, 1934, Minimum Wages Act, 1948, • Records checked for condition Maternity Benefit of machines, payment of wages, Act, 1961, Minimum 3 10. Factories inspector State Not defined minimum wages, attendance Equal per year records, accident register, Remuneration power load etc. Act 1974, Child Labor (Prohibition and Regulation) Act, 1986, Bihar National Holidays and Festival Act, 1971 Employee Provident Fund Organization • Ensures that PF is maintained and deposited for all employees Employee’s 11. PF Inspector Provident Fund Centre Not stated Annual • If coverage of PF is not adequate, then interest is Act 1952 charged to the factory Employee State Insurance Corporation 12. Employees State Employees State State Not stated in Annual • Checks attendance register, DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 19 Governed Legislative by S. No. Inspectors requirements Number of visits per year Activities during inspections Centre/ for inspections State Required Average Insurance Fund Insurance Act Act wage register, accident book, Inspector 1948 Employees Register (Form 7 under ESI Act), Challan copy of monthly contribution made for the workers covered, Ledger Cash book etc. • Verifies required coverage of employees Directorate of Employment & Training • Conducts a survey to assess the number of apprentices State Apprenticeship Apprentices Act Not stated in required 13. Centre Annual Advisor 1961 Act • Checks whether the apprentices employed compares to the earlier assessment Department of Labor, Employment and Training • For large investor (no. of employees between 100-500), inspections are conducted once in 2 Employment years Exchange • For small • Check if employees hired are Asst Director, (Compulsory Not stated in investor against notifications issued to 14. State Employment Exchange Notification of Act (no. of the Employment Exchange Vacancies) Act, employees 1959 between 25-99), inspections conducted twice a year • For unorganize d sector – no inspection Department of Home Guards Bihar Fire Not stated in • Checks Fire Equipment, Fire 15. Fire Inspector State Random Service Act 1948 Act Exits etc. Controller of Explosives The Explosives Act, 1884, Not stated in 16. Asst. Controller Centre Annual • Compliance as per Act Petroleum Act Act 1934 INDUSTRY SPECIFIC LICENSES/ OTHERS Cane Department Cane Officers, Zonal Development Council chaired by District Bihar Sugarcane Annually • Revision of the cane area Collector and members (Regulation of (every June reservation every year, based 17. (Asst Director, Cane Supply and State Annual at the end of on performance Development; District Purchase) Act the crushing Engineer; five 1981 year) representatives of the Cane growers; factory DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 20 Governed Legislative by S. No. Inspectors requirements Number of visits per year Activities during inspections Centre/ for inspections State Required Average owner, nominee of Cane Commissioner) Mines Department Mines and • Safety provisions as per Act Deputy Director, Mines Minerals • Any unsafe mining practice Not stated in 18. Safety; Director, Mines (Development Centre Annual taking place Act Safety and Regulation) • Welfare/health provisions for Act, 1957 mining workers Boilers Department Indian Boilers State Inspection is Annual • Condition of the boiler is Act, 1923, mandated at checked for safe operation at Indian Boiler the time of the pressure specified Chief inspector of 19. Regulations, renewal of Boilers 1950 license which is valid for 12 months Health Department Prevention of Food Adulteration Act, 1954, The Bihar Not stated in 20. Food Inspector State Annual Prevention of Act Food Adulteration Rules,1958 Drugs Controller Drugs & Cosmetics Rules Annual. But • Checks labels, batch no. of the 1945, Not stated in 21. Drugs Inspector State maximum bi- drugs. Drugs Price Act annual • Compliance as per Act Control Order 1995 Horticulture Board Cold Storage Order, 1980, • Storage capacity not exceeded promulgated • Requisite temperature 3-4 per year. Divisional Horticulture under Essential State, maintained 22. Not stated Minimum 2 Officer Commodities Centre per year • Stacking requirements adhered Act, 1955 and to Bihar Cold Storage Order Department of Weights & measures Standard of Weights and Measures Act Controller of Weights 1976, Standard • Checks measurement 23. State Annual Random and Measures Inspector of Weights and instruments Measures Enforcement Act 1985 S C A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 21 F S A T A T S A Return Legislative requirements for Frequency Comments The Factories Act, 1948, The Payment of Wages Act, 1936, The Minimum Wages All Annual returns except Inspector of Factories – Form No. Act, 1948, The Maternity Benefits Act, Form No. 21 as per 20, Form No. K.L&M, Form No. 21, 1961, The Equal remuneration Act 1976, Factories Act 1948 is half Form No. 2, Form No. IV The weekly Holiday Act 1942, The yearly National and Festivals Holiday Act 1963 • No process for self certification currently. But plans are to consolidate inspections for 12- 14 Factory cum Labor Acts such Child Labour (Prohibition & Regulation) that inspection to be conducted Act 1986, Workmen Compensation Act once in 5 years or on compliant 1923, The Payment of Gratuity Act 1972, or based on random selection of Labor Department – Form No. V, Contract Labour (Regulation & Abolition) 20% of the population but return Form No. D, Form No. III, Form No. All Annual returns Act 1970, The Trade Unions Act 1926, would have to be filed every XXV, Form No. I&IV The Industrial Disputes Act 1947, The year stating that the Acts have Payment of Bonus Act 1965, Industrial been complied with. Employment (Standing Orders) Act 1946 • For return simplification, there will be 4-5 forms which will cover all Acts. This process is optional and is based on Punjab model. • ER I states the vacancies, source used to fill these vacancies, details of notifications issued to the Form No. ERI – Quarterly; department. Employment Exchange – Form No. ER1, Form No. ER II Employment Exchange (Compulsory Form No. ER II – Once in 2 • ER II submission is a must if the Notification of Vacancies) Act, 1959 years no. of employees is more than 25 else is optional. ER II contains gender wise break up of workers, educational qualifications, age, description of industry and other statistics. Form No. 12A, 5 & 10 & 3 Provident Fund office - Form No. – Monthly; Employee’s Provident Fund Act 1952 12A, 5 & 10 & 3; Form No. 3A & 6A Form No. 3A & 6A - Annual • Return covers employee names, insurance no., term of ESI Department – Form No. 6 Employees State Insurance 1948 Form No. 6; - Half yearly employment, wages paid and contribution paid towards ESI. Apprentice Advisor – Form No.APP-2 – half Form No.APP-2, Form No. 1A, Apprentices Act 1961 yearly, Others Annual Form No.APP-4 Air (Prevention and Control of Pollution) Pollution Control Board – Act, 1981, Water (Prevention and Concept Air & Water, Environment Annual Control of Pollution) Act, 1974, Statement, Water Consumption Environment (Protection) Act, 1986 Director Statistics- Production Monthly return Income tax - TDS Salary Form No. 24, TDS Salary Form No. 18, TDS Form No. 21, TDS Form No. 26c, Income Tax Act 1961 Yearly TDS Form No. 16K, TDS Form No. 26K, TDS Form No. 26J, TDS Form DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 22 Return Legislative requirements for Frequency Comments No. 27A, Com. Income Tax Form No. 1 Central Excise – Central Excise Act 1944 Monthly Form No. TR-12 • Returns are filed by the Excise Officer who is full time employee at the unit State Excise Bihar Excise Act 1915 Monthly & Annual • Returns have details of production, sale, excise payment etc. • Earlier monthly return had to be filed. Now quarterly & annual returns are needed. • Before VAT, every dealer was assessed. After VAT implementation on 1st April Quarterly: Transaction 2005, annual returns are details need to be given considered self assessed in within 1 month of end of case of no citing of irregularity. quarter Only some dealers are selected Commercial Tax – (4-5%) based on certain Entry Tax Form No. 3, Entry Tax Central Sales Tax 1956, Bihar VAT Act Annual: Dealers with no parameters (like quantum of tax Form No. 5, Sales Tax Form No. 3, 2005 audit (up-to Gross payment, input- output ratio, Sales Tax Form No. 4 Turnover 40 L) have to file dealers whose tax revenue is the return by 31st July of falling etc.) for audit purposes. next financial year. Others Team visits the place of have to file by 31st Dec of business of these selected next financial year dealers to check the books of accounts. • Quarterly scrutiny for all dealers. If there is a need for calling a dealer then prior notice is issued. S C A A I B T B B I I B B T T I T IM CS WBI T A D B R R DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 23 T B S. Name of License / Bihar Benchmark Time Comments No. Department (existing time lines) Registration of Business : Memorandum (Part I) – Provisional Same day / up to 3 PRN allotment should be 1. 3 days Registration days in either case a part of SIPB approval Memorandum(Part II) – Permanent Registration • Before issue of Allotment Letter = • Before issue of 30 days Allotment Letter = • After issue of 15 days Elimination of PCC and 2. Land Allotment Physical • After issue of lay out approvals Possession Order Physical Possession but before Order but before construction = 30 construction = NIL days For Category B1 projects which require EIA and can Up to 45 days for CTE be handled at state level, 45 days for CTE/ / CTO within State 3. Pollution Bihar requires constitution CTO within BSPCB Pollution Control of SEIAA or SEAC to Board avoid central govt. intervention Up to 7 days for sanction 4. Electricity 30 days Up to 21 days of load, and up to 14 days for connection 5. Water NOC: 21 days NOC: up to 21 days In the interest of public health and safety this 6. Fire 2-3 days Up to 10 days clearance needs to be made more stringent Approval of factory Approval of factory 7. Factories plans: 90 days plans: 30 days License: 30 days License: 15 days Grant of license is post 8. Boilers 30 days 30 days inspections at various stages of construction 9. Contract Labor License 7 days Most businesses do not 7 days; Should be comply with this 10. Employment Exchange 7 days limited to public sector registration since it is not units only. relevant for them LOI: 15-20 days LOI: 15 days 11. State Excise9 Process is efficient License: 30 days License: 30 days 12. Weights & Measures 2-3 days 2-3 days Process is efficient Businesses face problems with respect to providing social security to the 13. Employee State Insurance 5-10 days 7 days unorganized sector in areas where ESIC does not have coverage Commercial taxes 7 days for issue of Introduction of unique Tax 14. each TIN under 7 days Payee Identification No. several state acts for all state level acts Without amendments to Central Acts there is not 15. Forest 180-200 days N.A. much scope for simplification of process or rationalization of time DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 24 T B S. Name of License / Bihar Benchmark Time Comments No. Department (existing time lines) • For distance • For distance certificate: 15-20 certificate: 10 days days • Public hearings This increase of cane • No fixed timeline should be held reservation order has available for cane within 30 days been suggested so that 1. Sugarcane reservation orders • Reservation of cane sugar mills can take a as it involves public area should be on keen interest in hearing etc. Approx long-term basis at developmental work in time ~ 100 days least for a period of area allotted to them • Annual renewal of 10 years cane reservation orders Application submission directly to district Drugs Inspector other than 2. Drugs 30 days 10 days being routed by Drugs Controller 3. Cold Storage 25 days N.A. Abolition of license Without amendments to Central Acts there is not 4. Mining Upto 1 year N.A. much scope for simplification of process or rationalization of time 5. Food related 7 days 7 days T B Benchmark Frequency* S. Bihar Department (*except in case of Comments No. (existing frequency) specific complaints) INFRASTRUCTURE Possibility of Joint 1. Land – BIADA No fixed frequency Annual, random Inspections with SPCB 2. Electricity No fixed frequency Annual Possibility of joint 3. Water Resources Case to case basis Annual inspections ENVIRONMENT Bihar State Pollution Possibility of Joint 4. Annual Annual, random Control Board Inspections with BIADA 5. Forest Department 3-4 per year 3-4 per year - TAX REGISTRATION 6. State Excise Department Annual Annual Possibility of Joint Central Excise, Patna Inspections 7. Annual Annual Commissionerate Commercial Taxes Only in case of 8. Rarely - Department irregularities observed LABOR WELDARE AND SAFETY 9. Labor Department Annual Annual, random / Self Joint Inspections Employee Provident Fund certification 10. Annual Organization Employee State Insurance 11. Annual Corporation Directorate of Employment 12. Annual & Training DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 25 Benchmark Frequency* S. Bihar Department (*except in case of Comments No. (existing frequency) specific complaints) Once in 2 years to Department of Labor, twice a year 13. Employment and Training depending on the no. of employees Possibility of Joint Annual, random / Self 14. Factories Department At least 3 per year Inspections with Labor certification Department Department of Home Existing system is 15. Random Annual, random Guards (Fire Inspector) efficient 16. Controller of Explosives Annual Annual Self certification, Department of Weights & 17. Annual Annual reinforced by fewer measures random inspections INDUSTRY SPECIFIC LICENSES / OTHERS 18. Cane Department Annual Annual 19. Mines Department Annual Annual Necessary system Depending on boiler 20. Boilers Department Annual Once in 3-5 years technology 21. Health Department Annual Annual 22. Drugs Controller Annual Annual Efficient system 23. Horticulture Board 3-4 per year Annual DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 26 A R R S I B FIAS T IM CS P A T B IM CS A B T I T T A S. No. Name of license/ Legality - Necessity - Efficiency - Deemed Whether Other clearance sufficient legal whether serves whether has approval - information specific basis? heath, safety, least impact on whether can be comments environmental business activity there is a obtained protection or & uses minimum defined time internally infrastructure of public limit for (even provision or resources? approval or a partially)? other (Rating: 1-5, deemed purposes? where 1 is least approval (Rating: 1-5, and 5 is best) rule? where 1 is least and 5 is best) INFRASTRUCTURE 1. Land Allotment Yes Infrastructure Scope for Yes. As per Obtainable (BIADA) State Law: Bihar provision: improvement in Single subject to Industrial Area Allotment of terms of time, Window Act application in Development Act developed process & 2006, 7 days SIPB 1974 industrial land resource for land less (Rating: 5) utilization than 1000 sq. (Rating: 4) meter, else 21 days Usually takes more than 7- 21 days 2. Electricity Yes Infrastructure For higher loads, Yes. As per Partially Scope for Central Law: provision: clearance through Single obtainable on-demand Electricity Act Electrical number of levels Window Act subject to connections 2003 connection (Rating:3) 2006, 7 days application in (Rating: 5) for power SIPB DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 27 S. No. Name of license/ Legality - Necessity - Efficiency - Deemed Whether Other clearance sufficient legal whether serves whether has approval - information specific basis? heath, safety, least impact on whether can be comments environmental business activity there is a obtained protection or & uses minimum defined time internally infrastructure of public limit for (even provision or resources? approval or a partially)? other (Rating: 1-5, deemed purposes? where 1 is least approval (Rating: 1-5, and 5 is best) rule? where 1 is least and 5 is best) feasibility and 23 days for power connection Usually takes 30 days (for cases where no extension work is required/no prior dues exist) 3. Water Yes Infrastructure Agreement is Yes. As per Obtainable State law: Bihar provision: water iterative process Single subject to Irrigation Act 1997 linkage from & Minister Window Act application in river/reservoir approval is 2006, 7 days SIPB (Rating: 5) required for approval Applicable only (Rating:2) from water in case linkage department required from and 23 days river/canal/reser for water voir connection Usually NOC may take around 20 days, while there is no fixed time for finalizing Agreement as it is an iterative process BUSINESS & TAX REGISTRATION 4. Business For large Collation of Applying to the No Obtainable Registration industries - statistical Centre separately subject to Secretariat for information seems additional application in Industrial (Rating: 2) (Rating: 2) SIPB Assistance (SIA) Legality: Industrial Policy Resolution, 1956 & the Statement on Industrial Policy 1991 DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 28 S. No. Name of license/ Legality - Necessity - Efficiency - Deemed Whether Other clearance sufficient legal whether serves whether has approval - information specific basis? heath, safety, least impact on whether can be comments environmental business activity there is a obtained protection or & uses minimum defined time internally infrastructure of public limit for (even provision or resources? approval or a partially)? other (Rating: 1-5, deemed purposes? where 1 is least approval (Rating: 1-5, and 5 is best) rule? where 1 is least and 5 is best) For medium, Facilitation of Potential for No Possibility small & micro single window process of making industry - District system amalgamation registration Industries Centre (Rating: 2) with SIPB (small & (DIC) (Rating: 2) medium) part of SIPB Legality: Micro, proceeding Small & Medium s Enterprises Development (MSMED) Act, 2006 5. Commercial Taxes Yes Revenue raising Efficient in terms Yes. As per No Central law: (Rating: 5) of time and Single Central Sales Tax process. Window Act 1956, (Rating:4) 2006, 7 days State Laws: for registration Bihar VAT Act of CST & VAT 2005, Bihar Usually given Entertainment Act within 7 days 1948, Bihar Tax on Entry of Goods in Local area Act 1993, Bihar Taxation of Luxuries in Hotels Act 1988, Bihar Advertisement Tax Act 1981, Bihar Electricity Duty Act 1948 6. State Excise Yes Revenue raising Site Inspection for As per Single Partially State Law: Bihar (Rating: 5) LOI can be done Window Act obtainable Excise Act 1915 away with 2006, 30 days subject to (Rating:3) for offer letter application in for distillery. SIPB Usually LOI within 15-20 days and post LOI, license within 30 days ENVIRONMENT 7. Pollution Yes Environment Resource & time Defined time Partially Central law: Air protection inefficiency only in limit of 120 obtainable (Prevention and (Rating: 5) case of EIA which days as per subject to Control of requires a central Air application in Pollution) Act, clearance (Prevention SIPB 1981; Water (Rating:4) and Control of (Prevention and Pollution) Act Control of Pollution) Act, Usually takes 1974; 45 days. EIA Environment clearances DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 29 S. No. Name of license/ Legality - Necessity - Efficiency - Deemed Whether Other clearance sufficient legal whether serves whether has approval - information specific basis? heath, safety, least impact on whether can be comments environmental business activity there is a obtained protection or & uses minimum defined time internally infrastructure of public limit for (even provision or resources? approval or a partially)? other (Rating: 1-5, deemed purposes? where 1 is least approval (Rating: 1-5, and 5 is best) rule? where 1 is least and 5 is best) (Protection) Act, takes more 1986 than 1 year 8. Forest Forest Environment Processing at the As per Act No (Conservation) protection state level can be 180 days Act 1980, (Rating: 5) improved Indian Wildlife (Rating:3) Usually takes (Protection) Act longer 1972 LABOR WELFARE & SAFETY 9. Fire Yes, Fire Safety Linkage with the No Yes - Bihar Fire Service (Rating: 5) Industries information Act 1948 Department may available with lead to delays industries (Rating: 4) department 10. Factories Yes Safety & Health Ample scope for No Obtainable Limiting Central Law & (Rating: 3) To an improvement in subject to discretionar State rules: extent, serves terms of time Takes about 3 application in y powers of Factories Act, EHS purpose, since it is a pre- months for SIPB dept w.r.t. 1948, but Act requisite for plan approval document Bihar Factories restrictive and construction & one month requirement Rules 1950, needs to be (Rating:2) for factory s, self Payment of suitably modified license certification, Wages Act, 1934, extension of Minimum Wages validity & Act, 1948, joint Maternity Benefit inspection Act, 1961, Equal Remuneration Act 1974, Child Labor (Prohibition and Regulation) Act, 1986, Bihar National Holidays and Festival Act, 1971 11. Labor Yes Worker welfare Return No Self Central Laws: (Rating: 3) rationalization & certification Bihar Shops & Certain aspects joint inspection Contract Commercial are relevant, but (Rating:2) labour Establishments too restrictive registration as Act 1923, and archaic - principal Workmen need to be employer Compensation suitably modified takes about a Act 1923, week Payment of Gratuity Act 1972, Contract Labor (Regulation & Abolition) Act 1970, Payment of Bonus Act 1965, Trade Unions Act DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 30 S. No. Name of license/ Legality - Necessity - Efficiency - Deemed Whether Other clearance sufficient legal whether serves whether has approval - information specific basis? heath, safety, least impact on whether can be comments environmental business activity there is a obtained protection or & uses minimum defined time internally infrastructure of public limit for (even provision or resources? approval or a partially)? other (Rating: 1-5, deemed purposes? where 1 is least approval (Rating: 1-5, and 5 is best) rule? where 1 is least and 5 is best) 1926, Industrial Disputes Act 1947 12. Boilers Yes Safety Scope of No No Self Central Law: (Rating: 2) application can certification Indian Boilers Act, be minimized and No specific & joint 1923, extension of timelines as inspection Indian Boiler validity duration largely Regulations, 1950 (Rating: 2) dependent on completion of various stages of boiler construction 13. Employee State Yes Health Return No Obtainable Insurance Central law: (Rating: 4) rationalization & within Labor Employee State joint inspection Usually takes department insurance Act (Rating: 3) 7 days 1948 14. Employment Yes Others: Statistics Scope may be No Obtainable Exchange Central Law: (Rating: 2) limited only to within Labor Compulsory public sector Takes about a department Notification of (Rating:2) week vacancy 1958 INDUSTRY SPECIFIC / OTHERS 15. Weights & Yes Enforcement of Machines to be No No measures Central Law: standards of brought to Standards of weights & common venue Weights & measures in annually Measures Act transaction, (Rating: 3) 1976 and protection and Standards of industrial Weights & production Measures (Rating: 3) Enforcement Act More important 1985 for output directly used by consumers 16. Sugarcane Yes Cane industry Area reservations No No State Law: regulation orders can have Bihar Sugarcane (Rating: 2) extended duration NOC takes 2- (Regulation of (Rating:2) 4 days and Supply and final area Purchase) Act reservation 1981 variable depending on public hearing 17. Drugs Controller Yes Health & Safety Multiple No No Drugs & (Rating: 5) interactions Cosmetics Rules between HO and Typically 1945, District Office for takes 30 days Drugs Price processing but depends Control Order application on no. of 1995 (Rating: 3) articles manufactured 18. Mining Yes Management of Multiple stages of No No DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 31 S. No. Name of license/ Legality - Necessity - Efficiency - Deemed Whether Other clearance sufficient legal whether serves whether has approval - information specific basis? heath, safety, least impact on whether can be comments environmental business activity there is a obtained protection or & uses minimum defined time internally infrastructure of public limit for (even provision or resources? approval or a partially)? other (Rating: 1-5, deemed purposes? where 1 is least approval (Rating: 1-5, and 5 is best) rule? where 1 is least and 5 is best) Mines and Mines administration of clearance leading Regulation & mineral to cumbersome Development Act resources process (Rating: 1957, Minerals (Rating: 5) 3) Concession Rules, Bihar Mines & Minerals Concession Rules 19. Horticulture Central order: Cold Storage License should be No Obtainable Department Cold Storage industry abolished as per subject to Order, 1980, regulation change in central Typically 20- application in promulgated (Rating: 1) order. 30 days for SIPB under Essential (Rating:2) NOC and 4-5 Commodities Act, days for 1955 license State Order: Bihar Cold Storage Order 20. Health Prevention of Safety Efficient in terms No No Food Adulteration (Rating: 4) of time and Act 1954 process Typically (Rating:4) takes 7 days S C A IM CS N B T TOR FIAS W B G B L P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 32 L A B I A D A BIADA P S I B A B F P BIADA A S A P F C BIADA 1 2 3 4 5 • Present Application • Application checked • Approval from • Payment of 1st • Issue of Physical for land allotment for completion before Project Clearance Installment and Possession in industrial area submitted to Project Committee . submission of Order to BIADA Clearance Committee • Issue of Allotment Bond by investor • Issue of Letter on same Memorandum • Application Form = Rs 15 days day • First Part I (For Micro 100 Installment & SSI only) Meeting held • Processing Fee = Rs 500 = 30% of Within 30days twice a month for SSI/ Rs 1000 for land cost from allotment Medium & Large Within 15 days industries from allotment • Earnest Money Deposit = Rs 2000/acre Preparation Time taken by Investor = 15 days 9 8 7 6 • Issue of • Site inspection • Issue of Lease Deed • Layout approval Memorandum by Area Officer for 90 years from BIADA & Part II (for after intimation Factory of completion of • 70% payment over 10 Inspector * Micro & SSI) construction by years Within 30 Within 7 days of investor • Annual rent = Rs days after site inspection 1000/acre taking P C • Maintenance Charges = possession Lump-sum (5% of land of land D C cost) OR Annual payment (1% of land cost) U C *Please refer to section on Output issued by Department to Investor After 50% investment Factories Dept for process of Promoter’s of Lay out approval within S A contribution the dept T BIADA I BIADA P C C PCC T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 33 P O G BIADA F D P C I S W S S I P B SIPB PCC S F S SIPB T S W A H A D O BIADA A F S P BIADA I F I BIADA T BIADA P R D A PRDA M BIADA F D S F D R T • E PCC SIPB PCC W BIADA D O W DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 34 • R BIADA F L BIADA PRDA D BIADA T BIADA F F R BIADA 1 2 3 4 • Present Application • Application checked • Payment of 1st • Issue of Physical for land allotment for completion Installment and Possession in industrial area • Issue of Allotment submission of Order to BIADA Letter after Bond by investor • Issue of discussion with Memorandum • Application Form = Rs Development Officers • First Part I (For Micro 100 Installment & SSI only) • Processing Fee = Rs 500 15 days = 30% of land cost Within 30days for SSI/ Rs 1000 for from allotment Medium & Large T S Within 15 days industries from allotment • Earnest Money Deposit = Rs 2000/acre T S Preparation Time taken by Investor = 15 days 7 6 5 • Issue of • Site inspection • Issue of Lease Deed Memorandum by Area Officer for 90 years Part II (for after intimation of completion of • 70% payment over 10 Micro & SSI) construction by years Within 7 days of investor • Annual rent = Rs P C 1000/acre site inspection D C • Maintenance Charges = Lump-sum (5% of land U C cost) OR Annual payment (1% of land cost) Output issued by Department to Investor After 50% investment of Promoter’s contribution P U B I A D A BIADA S T BIADA B S P C B DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 35 E B S E B E A I C B S E B B T K A S A P I B F T T T F F C BSEB I II III IV • Application to • Survey of Load – • Sanction of load for • Extension Infrastructure BSEB for to check spare connection requirements are completed electricity capacity, prior • Investor is served an • Agreement for service connection dues, and estimate estimate of cost of connection executed deposit required extension works required & demand note for security • Deposit of security deposit with BSEB money • Payment of Extension costs 3 days – For complete application and no previous dues P C 30 days (Not Applicable if extension works are required or if D C prior dues exist) U C Output issued by Department to Investor B A E A I T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 36 B T H I S O C M SIPB S T U T A H B P T E A B E S C C H N S N DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 37 W L W R D A NOC W R D T F B D T F NOC I D T I D W R D NOC T NOC A O NOC O NOC D A T L D M T A M K A S A P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 38 F C W R D I II III • After SIPB approval, • Request forwarded to • In case requirements Industries Department Chief Engineer to can be met, then sends project details check availability of support letter (NOC) and requirements for water and project along with conditions water to the Water details is issued Resources Dept If records available in Head Quarters then 3 days. Else Chief Engineer report takes 15- 21 days VII VI V • Agreement IV • Approval from • Terms of the Agreement are • Local Officer signed between Minister before finalized conducts investor and Final agreement • Min. charges determined Water inspection • Rate notified • Metering, effluent discharge Resources Dept based on volume and other conditions specified of water • Agreement vetted by Law Dept • Recommendations from P C Industries Dept D C U C Output issued by Department to Investor S A S T A D A M T T F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 39 F R W R D I II III • After SIPB approval, • Request forwarded to • In case requirements Industries Department Chief Engineer to can be met, then sends project details check availability of support letter (NOC) and requirements for water and project along with conditions water to the Water details is issued Resources Dept If records available in Head Quarters then 3 days. Else Chief Engineer report takes 15- 21 days VI V • Agreement IV • Terms of the Agreement are signed between • Local Officer finalized conducts investor and • Min. charges determined Water inspection • Metering, effluent discharge Resources Dept and other conditions specified • Rate notified based on volume of water • Recommendations from P C Industries Dept D C U C R Output issued by Department to P Investor S A P T A N S A B R F R S I A SIA D I C DIC I B BIADA BIADA DIC SIA DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 40 B SIA T I E M IEM P A SIA A IEM P A I IEM P B D SIA A S A P DIC F DIC F I DIC PRN A DIC A T DIC F F DIC A A P F C DIC • DIC check for • Application • Investor approach negative list submission to concerned department for (whether the license/clearance either DIC for investor/output is in registration no through the normal route or the black list of DIC DIC (SWS) • Allotment of PRN Typically takes 2-3 days after submission of complete application • After production starts, Allotment of • Inspection by electricity, finance, investor applies for Permanent land, pollution, fire, forest, permanent registration Registration No. commercial tax departments no. • Application Form 2 • Photocopies of all clearances P C • Inspection takes place with 2-3 days • Allotment of permanent registration D C number – 3-4 days. U C Output issued by Department to Investor S A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 41 S T B T W SIPB SIPB I T F F R • Application • Investor approach • Allotment submission to concerned department for of PRN SIPB license/clearance either Typically takes 2-3 days after submission of complete application • After production starts, Allotment of • Inspection by electricity, finance, investor applies for Permanent land, pollution, fire, forest, permanent registration Registration No. commercial tax departments no. • Application Form 2 • Photocopies of all clearances P C • Inspection takes place with 2-3 days • Allotment of permanent registration D C number – 3-4 days. A C P Deliverable issued by Department to Investor C T D I B C T D I A C S T B VAT A B E A B T E G L A A B T L H A A T A B E D A B W A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 42 TIN E H A B VAT A B T E G L A A C T D TIN T TIN A T R • I TIN A TIN A T T A P C G IM CS S E D T S E D P A S A P B T S E D LOI T LOI S T F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 43 F P 1 2 3 • Application to • Site inspection • LOI issued as an Excise conducted to assurance that Commissioner check License will for Letter of authenticity of eventually be Intent (LOI) details issued provided with application 15-20 days 7 6 5 4 • Separate Licenses • Collector sends • Site inspection • Present Application issued based on recommendations conducted by to Collector for manufacturing along with Excise officials License informing activity inspection report to check that factory is ready to HO veracity for production and compliant as per P C LOI D C • Application Form as per Excise Act U C • Processing Fee = Output issued by Department to Based on different Investor licenses 30 days S D S E D T A P B S P C B B S P C B BSPCB D BSPCB A S A P B A C A C B C B S W C A C B E I A EIA R E P R C B EIA A C A S C G M E DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 44 F M EF E A C EAC C G C E M C B S S E I A A SEIAA BSPCB C E T SEIAA S E A C SEAC I SEIAA SEAC C B C A M C B BSPCB G B F F C M EF T P Category A 1 2 (Require Environment • Presented to Expert • Presented before Impact Assessment (EIA) appraisal Committee, BSPCB, MOEF, Government of Government of Category B1 India for Environment Bihar for Consent (Require Environment Impact Assessment (EIA) to Establish Impact Assessment (EIA) More than 1 year 45-60 days Category B2 (Does not require Environment Impact Assessment (EIA) T B SEIAA SEAC C B M EF A BSPCB F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 45 F C BSPCB 1 4 5 2 3 • Present Application • Report/ • Issue of Consent • Application • Site inspection to obtain CTE from checked for by a team Recommendations to Establish/ NOC Pollution Control submitted by the from Pollution completion usually headed Board Inspection team Control Board by Assistant • Application Form = Junior Rs 50 Engineer • Processing Fee = Slab wise based on quantum of investment As per Air Act max time allotted 120 days. BSPCB tries to clear in 45 days 6 9 8 7 • Present • Issue of Consent • Report/ • Site Application to to Operate from Recommendations inspection BSPCB for Pollution Control submitted by the by a team Consent to Board Inspection team Operate • Application Forms = 2 P C forms of Rs 50 each under Water and Air Act D C • Processing Fee = Slab wise U C based on scale of industry Output issued by Department to Investor As per Air Act max time allotted 120 days BSPCB tries to clear in 45 days T B BSPCB NOC I A P C P A H W B J J M W A P C R T S B • E S E I A A SEIAA S E A C SEAC I SEIAA SEAC C B EIA C A C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 46 OR • C T P I A W A H S A T S • T B T BIADA • F F F D C F D B N B S C G A T F F A S A P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 47 F P 1 2 3 4 • After SIPB • Sent to Nodal • With comments, • Approval approval, present Officer, Chief sent to from Chief Application to the Wildlife Secretary, Forest Minister Divisional Forest Warden of Dept, Bihar Officer (DFO) Bihar • Application Form If area is If area is A as per Forest more than less than Conservation Act 20 hectares 20 hectares 1980 • No Processing Fee 5 5 • Chief Conservator • Secretary, Forests, Regional Ministry of Office of the Environment & MOEF , GOI Forests , GOI 8 (Bhubaneshwar) 9 • Upon meeting the • After confirming conditions, user 7 compliance of agency requests • State Forest Dept 6 conditions, State State Forest Dept to conveys clearance • GOI conveys Forest Dept grants issue Phase II to user agency approval to Phase II clearance along with the Secretary, State conditions to be Forest Dept., Bihar P C met – Phase I clearance D C Total time taken = 180 days U C Output issued by Department to Investor F A F C A I W P A T A T A P I T I F D T F D I DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 48 B A F F C F D • Industry Department forwards the • Plan reviewed by • Approval of the application to Fire the Fire Dept to construction Department for check compliance plan approval of the with the standards construction plan Review, Inspection & Approval of Plan is done immediately after receiving enquiry from Industry Department P C D C U C Output issued by Department to Investor S A T F D I D A F D A F D A S A P S S I D I D T T F D F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 49 F R F D • Submission of plan • Plan reviewed by • Approval of the outlay of the factory the Fire Dept to construction to Fire Department check compliance plan by investor with the standards Review, Inspection & Approval of Plan is done immediately after receiving enquiry from Industry Department P C D C U C Output issued by Department to Investor P T F D S A H T L D F I I B T L R D B L C O E T S S E S I C T D T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 50 F L F I T F I T T F A F F L A S A P T F F C F • Application to office • Upon inspection, • Approval of • Site Inspection of Chief Inspector application is sent plan by Chief by Factories of Factories for plan to Chief Inspector Inspector of Inspector approval of Factories Factories • Application = Form 1 as per Factories Act 1948 • Submission of • No Fee Certificate of Stability by investor 90 days • Present Application • Factory • Upon Inspection, for Registration of • Site License issued application is factory and grant of Inspection by Chief sent to Chief license to office of by Factories Factories Inspector of Chief Inspector of Inspector Inspector Factories Factpries • Application = Form 2 P C as per Factories Act 1948 D C • Processing Fee = Slab wise as per U C power capacity and Output issued by Department to number of workers Investor employed S A 30 days B C B F A S T A P E S U P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 51 S T F I S A P A T F F R F • Application to office • Upon inspection, • Approval of • Site Inspection of Chief Inspector application is sent plan by Chief by Factories of Factories for plan to Chief Inspector Inspector of Inspector approval of Factories Factories • Application = Form 1 as per Factories Act 1948 • Submission of • No Fee Certificate of Stability by investor 30 days R • Present Application • Factory • Upon Inspection, for Registration of • Site License issued application is factory and grant of Inspection by Chief sent to Chief license to office of by Factories Factories Inspector of Chief Inspector of Inspector Inspector Factories Factpries • Application = Form 2 P C as per Factories Act 1948 D C • Processing Fee = Slab wise as per U C power capacity and Output issued by Department to number of workers Investor employed 30 days B R I B A I B I K A S A P F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 52 F C B • Submission of • Scrutiny and • Inspections by • Form II : Inspecting Authority’s manufacturing approval of Inspecting Authority Certificate of Inspection During drawings and other drawings and during various stages Construction & Form I : particulars to the particulars by of construction of Memorandum of Inspection Book Inspecting Authority Inspecting Authority boiler issued upon completion of construction • Prescribed fee as per boiler rating • Hydraulic test & • Inspector issues • Chief Inspector examination of • Application to the boiler registers the the boiler by Inspector for certificate to the boiler & orders boiler Inspector owner issue of certificate • Form V – Provisional registration by Inspector Order issued • Form I, II & III • Prescribed fee as per boiler rating 30 days B D U Output issued by Department to Investor B S I B E H P T T S T T T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 53 C C Y L R C L R R T E B Box Efforts made in some other states for simplification of returns registers à Karnataka à Ƒ��‘�à ”‡‰‹•–‡”•Ã ƒ�†Ã ”‡–—”�•Ã Šƒ˜‡Ã „‡‡�à ‹�–”‘†—…‡†Ã „›Ã –Š‡Ã ƒ„‘” à ɑ”‡•–à ƒ�†Ã Ƒ��‡”…‹ƒŽÃ #ƒšÃ †‡’ƒ”–�‡�–• à &‹–ŠÃ ”‡•’‡…–à –‘à Žƒ„‘” à …‘�„‹�‡†Ã ”‡–—”�•Ã —�†‡”à ‹�‹�—�à &ƒ‰‡•Ã ą– à ƒ–‡”�‹–›Ã Ň�‡ˆ‹–•Ã ą– à Û�‡�–шÃ&ƒ‰‡•Ãą– à Ã�†ÃƑ�–”ƒ…–Ä‘”à !‡‰—Žƒ–‹‘�à ÃĄ‘Ž‹–‹‘� Ãą– à ʃ˜‡Ã„‡‡�Ë�–”‘†—…‡† à ȋ‰Š–à —•–‡”à !‘ŽŽ …—� !‡‰‹•–‡”à ‘ˆÃ&ƒ‰‡•Ã Šƒ˜‡Ã „‡‡�Ã�‡”‰‡† ՋšÃ˜‡”–‹�‡Ã &‘”�‹�‰Ã ƒ�†Ã ƒ›�‡�–à ”‡‰‹•–‡”•ÃŠƒ˜‡Ã ƒŽ•‘ć‡�ő�„‹�‡†Ã‹�–‘Ñ�‡Ãƒ�†Ã–‡�Ã!‡‰‹•–‡”•Ã‘ˆÃɋ�‡• LJ†—…–‹‘�•ÃŠƒ˜‡Ã„‡‡�ő�•‘Ž‹†ƒ–‡†Ã‹�–‘Ñ�‡ Ã#Š‡”‡Ã™‡”‡Ã ƒÃ †‘œ‡�à ƒ��—ƒŽ ŠƒŽˆ ›‡ƒ”Ž›Ã ƒ�†Ã �‘�–ŠŽ›Ã ”‡–—”�•Ã –‘à „‡Ã ˆ‹Ž‡† à –Š‡•‡Ã Šƒ˜‡Ã „‡‡�à ”‡†—…‡†Ã –‘à ˆ‘—” à ą–•Ã ƒ�†Ã ”—Ž‡•Ã ‰‘˜‡”�‹�‰Ã‡ƒ…ŠÃ‘ˆÃ–Š‡Ã ԇ–—”�•ÃŠƒ†Ã–‘ćÃ�‡�†‡†Ã‹�†‹˜‹†—ƒŽŽ› à Andhra Pradesh #Š”‘—‰ŠÃ ƒÃ ‘˜‡”��‡�–à ”†‡”à à �‘ à ‹••—‡†Ã ‹�à à ƒÃ …‘��‘�à ƒ��—ƒŽÃ ”‡–—”�à Šƒ•Ã „‡‡�à †‡˜‡Ž‘’‡†Ã ƒ�†Ã ‹•Ã ‹�à —•‡Ã ˆ‘ŽŽ‘™‹�‰Ã …‘�•—Ž–ƒ–‹‘�à ™‹–ŠÃ –Š‡Ã Ƀ…–‘”‹‡•Ã ƒ�†Ã ƒ„‘”à ƒ�†Ã È�’Ž‘›�‡�–à †‡’ƒ”–�‡�–•Ã ƒ•Ã ™‡ŽŽÃ ƒ•Ã •�ƒŽŽÃ •…ƒŽ‡Ã ‹�†—•–”‹‡• à �Ž›Ã ƒÃ •‹�‰Ž‡Ã •‹�’Ž‹ˆ‹‡†Ã ƒ��—ƒŽÃ •–ƒ–‹•–‹…ƒŽÃ ”‡–—”�à �‡‡†•Ã –‘à „‡Ã •—„�‹––‡†Ã –‘à –Š‡Ã …‘�…‡”�‡†ÃÇÆً–ŠÃ…‘’‹‡•Ã–‘ÖŠ‡Ã…‘�…‡”�‡†Ãĕ•‹•–ƒ�–ÃƑ��‹••‹‘�‡”шÄ‘”Ã�†Ã�•’‡…–‘”шÃɃ…–‘”‹‡• Ãɗ”–Š‡” à ƒÃà ™ƒ•Ã ‹••—‡†Ã ‹�à à ’”‡•…”‹„‹�‰Ã ‘�Ž›Ã –™‘à ”‡‰‹•–‡”•Ã –‘à „‡Ã�ƒ‹�–ƒ‹�‡†Ã „›Ã•�ƒŽŽÃ •…ƒŽ‡Ã‹�†—•–”‹‡•Ã à Ė–‡�†ƒ�…‡Ã !‡‰‹•–‡”à ƒ�†Ã "ƒŽƒ”‹‡•Ã ƒ�†Ã &ƒ‰‡•Ã !‡‰‹•–‡”Ë�є†‡”à –‘à �‡‡–à –Š‡Ã ”‡“—‹”‡�‡�–•Ã ‘ˆÃ‡‹‰Š–à …‡�–”ƒŽÃƒ�†Ã •–ƒ–‡Ã ą–• à #Š‡Ã •‹�’Ž‹ˆ‹‡†Ã Ƒ��‘�à Ä��—ƒŽÃ !‡–—”�à ˆ‘”� à ™Š‹…ŠÃ ‹•Ã ‘�Ž›Ã ‘�‡Ã ƒ�†Ã ƒÃ ŠƒŽˆ ’ƒ‰‡Ã Ž‘�‰ à –ƒ�‡•Ã ‘�Ž›Ã à �‹�—–‡•Ã –‘à …‘�’Ž‡–‡Ãƒ•Ã …‘�’ƒ”‡†Ã –‘à –Š‡Ã ˆ‡™Ã †ƒ›•Ã �‡…‡••ƒ”›Ã –‘à …‘�’Ž›Ã ™‹–ŠÃ –Š‹•Ã”‡“—‹”‡�‡�–à ’”‹‘”à –‘à à ”‹‘”à ƒ’’”‘˜ƒŽÃ ‘ˆÃ’Žƒ�•Ãˆ‘”Ã�‘� Šƒœƒ”†‘—•Ãˆƒ…–‘”‹‡•Ã—’–‘à Ã×�†‡”ÖŠ‡ÃɃ…–‘”‹‡•Ãą–ʃ•Ã„‡‡�đŽ‹•Š‡† Ã#Š‡”‡ÃŠƒ•ÃƒŽ•‘ć‡�à ƒÃ”‡†—…–‹‘�Ë�֊‡Ã�—�„‡”шÃɑ”�• !‡‰‹•–‡”•Ã”‡“—‹”‡†Ã–‘ćÃ�‡’–Ö֊‡ÃɃ…–‘”›ÃŽ‡˜‡ŽÃˆ”‘�à ֑à à Tamil Nadu #Š‡Ã "–ƒ–‡Ã ‘˜‡”��‡�–à Šƒ•Ã …‘�„‹�‡†Ã à ”‡‰‹•–‡”•Ã ƒ�†Ã ”‡–—”�•Ã �‘�–ŠŽ› à “—ƒ”–‡”Ž› à ƒ��—ƒŽŽ› à ƒ•Ã ”‡“—‹”‡†Ã „›Ã †‹ˆˆ‡”‡�–à Žƒ„‘”à Žƒ™•Ã „›Ã ‘à ‡ ‰ à –Š‡Ã Ƀ…–‘”›Ã ą– à –Š‡Ã Ƒ�–”ƒ…–à ƒ„‘”à ą– à –Š‡Ã ƒ›�‡�–à ‘ˆÃ &ƒ‰‡Ã ą– à ƒ�†Ã–Š‡Ã‹�‹�—�Ã&ƒ‰‡Ãą– ً–ŠÃ Ň�–”ƒŽÃą–•Ã‹�֑–ƒŽ Ã�†Ã”‡Žƒ–‡†Ã•‡˜‡�·‰‹•Žƒ–‹‘�• ”—Ž‡•Ã„›Ã‘#Ë�–‘Ñ�‡Ã Ƒ��‘�ÃÄ��—ƒŽÃ!‡–—”�ً–ŠÃ‘�Ž›Ã•‡˜‡�҃‰‡• Gujarat "‹�…‡Ã à –Š‡Ã ƒ„‘”à LJ’ƒ”–�‡�–à Šƒ•Ã ’”‡•…”‹„‡†Ã ƒ�à Ä��—ƒŽÃ Ƒ�•‘Ž‹†ƒ–‡†Ã !‡–—”� à Ș‡�à ‹�à –Š‡Ã …ƒ•‡Ã ‘ˆÃ Žƒ”‰‡Ã —�‹–•Ã ™Š‹…ŠÃ Šƒ˜‡Ã –Š‡Ã �‡…‡••ƒ”›Ã ”‡•‘—”…‡•Ã –‘à „‡ƒ”à –Š‡Ã …‘•–à ‘ˆÃ ‹�’Ž‡�‡�–ƒ–‹‘�à ‘ˆÃ Žƒ„‘”à Žƒ™• à –Š‡Ã Ä��—ƒŽÃ Ƒ�•‘Ž‹†ƒ–‡†Ã!‡–—”�Պ‘—Ž†Ã•—ˆˆ‹…‡Ãƒ�†Ã–Š‡›Ã™‹ŽŽÃ„‡Ã‹�•’‡…–‡†Ã‘�Ž›Ã‘�…‡ÃƒÃ›‡ƒ” Source Labor Reforms in Southern Region states Issues Concerns CII Report April DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 54 I A A T I T D I B Box Initiatives undertaken by some other state governments for simplification of inspections Karnataka &‹–ŠÃ –Š‡Ã ‹†‡ƒÃ ‘ˆÃ ‡�•—”‹�‰Ã …‘�’Ž‹ƒ�…‡Ã ‘ˆÃ ƒŽŽÃ –Š‡Ã •–ƒ–—–‘”›Ã ’”‘˜‹•‹‘�•Ã ‘ˆÃ †‹ˆˆ‡”‡�–à ą–•Ã ƒ�†Ã !—Ž‡• à –Š‡Ã LJ’ƒ”–�‡�–à ‘ˆÃ ƒ„‘” Ã�•’‡…–‘”ƒ–‡Ã‘ˆÃɃ…–‘”‹‡•Ãƒ�†Ãő‹Ž‡”•Ãƒ�†Ã–Š‡Ã"–ƒ–‡Ã ‘ŽŽ—–‹‘�ÃƑ�–”‘ŽÃőƒ”†Ã‹�Ô�ƒ–ƒ�ƒÃŠƒ˜‡Ã•–ƒ”–‡†Ã”ƒ�†‘�Ë�•’‡…–‹‘�шà –Š‡Ã ‡•–ƒ„Ž‹•Š�‡�–•Ã ‹�à à ƒ”�ƒ–ƒ�ƒÃ �†—•–”‹‡•Ã Ƀ…‹Ž‹–ƒ–‹‘� à ą– à à ”‹‘”à –‘à –Š‹•Ã ”‡ˆ‘”� à ‰‹˜‡�à –Š‡Ã •Š‘”–ƒ‰‡Ã ‘ˆÃ ‹�•’‡…–‹�‰Ã •–ƒˆˆ ÃՃ�’Ž‡Ã‘ˆÃ‹�†—•–”‹ƒŽÃ—�‹–•Ã‹�֊‡Ã•–ƒ–‡Ã™ƒ•Ã„‡‹�‰Ã‹�•’‡…–‡† Ñ™‡˜‡”Õ‹�…‡Ã–Š‡•‡ÃŽ‹•–•Ã™‡”‡Ã†”ƒ™�גÃ�ƒ�—ƒŽŽ› Ƌ•…”‡–‹‘�ƒ”›Ã ’‘™‡”•Ã ™‡”‡Ã Š‹‰ŠÃ ƒ�†Ã …Šƒ�…‡•Ã ‘ˆÃ ˆ”‡“—‡�–à Šƒ”ƒ••�‡�–à ‘ˆÃ –Š‡Ã •ƒ�‡Ã —�‹–•Ã ™ƒ•Ã ’‘••‹„Ž‡ à #‘à ƒ˜‘‹†Ã ”‡’‡ƒ–‡†Ã ‹�•’‡…–‹‘�•Ã „›Ã –Š‡•‡Ã †‡’ƒ”–�‡�–•Ã ƒ–à †‹ˆˆ‡”‡�–à Ž‡˜‡Ž•Ã ƒ�†Ã ƒŽ•‘à –‘à ƒ˜‘‹†Ã †‹•…”‡–‹‘�ƒŽÃ …Š‘‹…‡Ã ‘ˆÃ ‡•–ƒ„Ž‹•Š�‡�–•Ã ˆ‘”à ‹�•’‡…–‹‘� à ƒÃ …‘�’—–‡”à ‰‡�‡”ƒ–‡†Ã �‡…Šƒ�‹•�ȑ”Ôƒ�†‘�‹œ‡†Ã‹�•’‡…–‹‘�ʃ•Ã„‡‡�ǘ‘Ž˜‡† Ãĕ֊‡Ã†ƒ–ƒ„ƒ•‡Ã‘ˆÃ‹�†—•–”‹‡•Ã–‘ćË�•’‡…–‡†Ã‹•Ã…‘�•‘Ž‹†ƒ–‡† ֊‡Ã”ƒ�†‘�à •ƒ�’Ž‡Ã ‹•Ã ‡š’‡…–‡†Ã –‘à „‡Ã †”ƒ™�à Œ‘‹�–Ž›Ã ƒ�†Ã …‘�†—…–‡†Ã „›Ã ƒÃ –‡ƒ�à ‘ˆÃ ‹�•’‡…–‘”•Ã ‹�à ‘”†‡”à –‘à ”‡†—…‡Ã ˆ”‡“—‡�–à ˜‹•‹–•Ã –‘à –Š‡Ã •ƒ�‡Ã ‹�†—•–”›Ã•‹–‡ Ã#Š‡•‡Ã‹�•’‡…–‹‘�•Ã™‹ŽŽÃ„‡Ã…‘�†—…–‡†Ã‘�…‡Ã‹�Ãۇƒ” ً–ŠÃ’”‹‘”Ã�‘–‹…‡ Ã"—”’”‹•‡Ã‹�•’‡…–‹‘�ًŽŽÃƒŽ•‘ćÅ‘�†—…–‡†Ã„ƒ•‡†Ã ‘�ٔ‹––‡�ő�’Žƒ‹�–• ً–ŠÃ–Š‡Ãƒ’’”‘˜ƒŽÃ‘ˆÃŠ‹‰Š‡”×–Š‘”‹–‹‡• Öك•ÃƒŽ•‘Ô‡˜‡ƒŽ‡†Ã–Šƒ–ÙŠ‹Ž‡Ã–Š‡Ãˆ”‡“—‡�…›Ã‘ˆÃ‹�•’‡…–‹‘�•Ã™ƒ•Ã�‘–à –Šƒ–Ã�—…ŠÃ‘ˆÃƒ�˕•—‡ ֊‡Ã‹�•’‡…–‹�‰Ãƒ‰‡�…‹‡•Ã™‡”‡ÃŠƒ”ƒ••‹�‰Ãƒ�†Ãˆ”ƒ—‰Š–Ù‹–ŠÃ…‘””—’–‹‘� Andhra Pradesh #Š”‘—‰ŠÃ˜ƒ”‹‘—•Ã‰‘˜‡”��‡�–Ñ”†‡”•Ã’ƒ••‡†Ã‹�à ֊‡Ã‘˜‡”��‡�–шÃÄ�†Š”ƒÃ”ƒ†‡•ŠÃŠƒ•Ã•‹�’Ž‹ˆ‹‡†Ã‹�•’‡…–‹‘�à ’”‘…‡†—”‡•Ã „›Ã ‹ à ”‡†—…‹�‰Ã •–ƒ–—–‘”›Ã ‹�•’‡…–‹‘�•Ã –‘à ‘�‡Ã ’‡”à ›‡ƒ”à ƒ�†Ã ƒ—–Š‘”‹œ‹�‰Ã ‹�•’‡…–‘”•Ã –‘à …ƒ””›Ã ‘—–à ‹�•’‡…–‹‘�à —�†‡”à �‘”‡Ã –Šƒ�Ñ�‡Ãą– à ‹‹ Ҕ‡’ƒ”‹�‰Ãƒ�Ã��—ƒŽÃ•…Š‡†—Ž‡Ã‹�Ƙƒ�…‡Ã‘ˆÃ‹�•’‡…–‹‘�•Ã‹�Ւ‡…‹ˆ‹…Ë�†—•–”‹ƒŽÃƒ”‡ƒ•Ãƒ�†Ã…‘��—�‹…ƒ–‹�‰Ã–Š‡Ã•ƒ�‡Ã–‘à –Š‡Ã…‘�…‡”�‡†Ã‹�†—•–”‹‡• à ‹‹‹ Ç�•—”‹�‰Ã–Šƒ–ÃŽŽÃ‹�•’‡…–‹‘�• іŠ‡”ÖŠƒ�Ֆƒ–—–‘”›Ã‹�•’‡…–‹‘�• ًŽŽÃ„‡Ã’‡”�‹––‡†Ã‘�Ž›Ã‘�֊‡Ã„ƒ•‹•Ã‘ˆÃ ™”‹––‡� à •‹‰�‡†Ã ƒ�†Ã ˜‡”‹ˆ‹ƒ„Ž‡Ã …‘�’Žƒ‹�–•Ã ‘ˆÃ ˜‹‘Žƒ–‹‘�шÃ�›Ã”—Ž‡Ã ‘”Ô‡‰—Žƒ–‹‘�à „›Ã ƒÃ —�‹– à ‹˜ à ’”‘˜‹†‹�‰Ãˆ‘”à –Š‡Ã‹�…Ž—•‹‘�à ‘ˆÃ ƒÃ •�ƒŽŽÃ •…ƒŽ‡Ã ‹�†—•–”›Ã ƒ••‘…‹ƒ–‹‘�à �‡�„‡”à ƒ•Ã ƒ�à ‘„•‡”˜‡”à †—”‹�‰Ã •—…ŠÃ ‹�•’‡…–‹‘�• à ƒ�†Ã ˜ à ’”‘˜‹†‹�‰Ã ˆ‘”à •—”’”‹•‡Ã ‹�•’‡…–‹‘�•Ã ‘�Ž›Ã „›Ã ‰ƒœ‡––‡†Ã‘ˆˆ‹…‡”•Ãƒ�†Ã–Šƒ–Ö‘‘Ù‹–ŠÃ–Š‡Ã’‡”�‹••‹‘�Ë�ٔ‹–‹�‰Ãˆ”‘�֊‡Ã!‡‰‹‘�ƒŽÃƒ—–Š‘”‹–›Ã‘”ǃ†Ã‘ˆÃ–Š‡ÃLJ’ƒ”–�‡�– à Similar to the Government of Punjab Andhra Pradesh has attempted to outsource select inspection functions by appointing accredited agencies to carryout statutory inspections on payment of fees in technical areas Any inspections other than the one specified in the law or inspections not reported to senior officers are to be treated as unauthorized and the erring official is made liable for action Government Order Ms No August Gujarat #Š‡Ã ‘˜‡”��‡�–à ‘ˆÃ —Œƒ”ƒ–à ‹•Ã †‡˜‡Ž‘’‹�‰Ã ƒÃ "‹�‰Ž‡Ã ŗ•‹�‡••Ã ą–à ™Š‹…ŠÃ ‹•Ã ‹�–‡�†‡†Ã –‘à ‡�…‘�’ƒ••Ã –Š‡Ã ‡••‡�…‡Ã ‘ˆÃ ƒŽ�‘•–à ƒŽŽÃ –Š‡Ã „ƒ•‹…à Žƒ™•Ã ‘ˆÃ ”‡Ž‡˜ƒ�…‡Ã –‘à ‹�†—•–”‹‡•Ã —�†‡”à ‘�‡Ã —�„”‡ŽŽƒ à ɑ”à –Š‹•Ã ’—”’‘•‡ à ƒÃ ’‘‘ŽÃ ‘ˆÃ ’”‹˜ƒ–‡Ã ƒ‰‡�…‹‡•Ã ™‹–ŠÃ ‡š’‡”–•Ã ‹�à –Š‡Ã ”‡Ž‡˜ƒ�–È‹‡Ž†•Ã™‘—Ž†Ã„‡Ãƒ……”‡†‹–‡†Ã–‘Ã…ƒ””›Ã‘—–ÖŠ‡Ã–ƒ•�шË�•’‡…–‹�‰Ã’ƒ”–‹…—Žƒ”×�‹–•Ãƒ�†Ã‹••—‹�‰Ã�‡…‡••ƒ”›Ã…‡”–‹ˆ‹…ƒ–‡•Ãƒ•Ã”‡“—‹”‡†Ã „›ÃŽƒ™ ÃÄ̑‹�–Ö‡ƒ�шɑ˜‡”��‡�–Ë�•’‡…–‘”•Ãˆ”‘�Ƌˆˆ‡”‡�–Ƈ’ƒ”–�‡�–•ÃŠ‘™‡˜‡” ًŽŽÃ‹�•’‡…–ÖŠ‡Ã—�‹–Ñ�…‡Ã‹�Ãۇƒ”Ñ�Ž› Ã"–‹ˆˆ‡”à ’‡�ƒŽ–‹‡•Ã™‘—Ž†Ã„‡Ã‹�’‘•‡†Ãˆ‘”ÖŠ‡Ãƒ„—•‡”•Ãƒ•Ã™‡ŽŽÃƒ•Ãƒ……”‡†‹–‡†Ãƒ‰‡�…‹‡•Ã‹••—‹�‰Ãˆƒ�‡Ã…‡”–‹ˆ‹…ƒ–‡•Ã‹�…Ž—†‹�‰Ã…ƒ�…‡ŽŽƒ–‹‘�ш΋…‡�•‡• à The Boiler s Act will be modified in order to reduce the frequency of inspection from once in a year to once in four years depending upon the technical specifications of the boiler Ã#Š‡Ã‘˜‡”��‡�–Ã’’”‡…‹ƒ–‡•Ã–Šƒ–Ñ—–•‘—”…‹�‰ÃŠƒ•Ã…‘�‡Ã–‘Õ–ƒ›Ãƒ•Ãƒ�à ‹�–‡‰”ƒŽÃ’ƒ”–шÉŽ‘„ƒŽÃ„—•‹�‡••Ãƒ…–‹˜‹–› Ã�є†‡”֑ȃ…‹Ž‹–ƒ–‡Ã…‘•–Ljˆ‡…–‹˜‡Ã�ƒ�ƒ‰‡�‡�– ї–•‘—”…‹�‰Ã–Š”‘—‰ŠÃŽ‹„‡”ƒŽÃ‡�ˆ‘”…‡�‡�–шà Ƒ�–”ƒ…–Ãą–Ù‘—Ž†Ã„‡Ã…‘�•‹†‡”‡† Source Labor Reforms in Southern Region states Issues Concerns CII Report April DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 55 S C B I P W A P B GO T N S T N S E A P W A M W A C L R A A P G A • W P A F A F A A • F C L R A A S B I P T • C • G • M A P T N • R E S I C T E S I ESI A T ESIC B T ESI F K A S A P ESI DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 56 F C ESI 1 2 3 • Present • Genuineness of • Issue of Coverage application to application checked Letter in Form C11 Department for within the as final registration registration under department ESI Act 1948 • Survey (Site inspection) • Form 01 as per Act conducted only in • No Processing Fee doubtful cases Typically takes 5-10 P C days D C U C O D I T H ESIC P T L D C F T S G L D L D M L D T A E E T E E C N V A E E DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 57 T B B E E A A E E U A E E G S G M E E T P A C N V S • A B • F W M T S W M I B A W M B F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 58 F P W M D • W&M Department • Present Application inspects the raw • Approval by the to W&M materials . W&M Department Department for • Inspectors visit • Immediately clearance the factory dispatched after depending on the inspection • Application Form as per size of inputs Act costing Rs 5 • No Processing Fee Typically takes 2 to 3 Within 90 days of days submitting application for Provisional Registration to DIC/SIA/BIADA P C D C U C Output issued by Department to Investor S A T W M T W M D I A T W MD T D A S A P P S W M MT M A H DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 59 S D U S R S P A R S M T F A S A P B A D C SIPB C D NOC T F F C 1 2 3 • Inform Cane • Industries • Cane Dept sends Department about Department sends recommendations the intent to start Project Report (NOC) to sugar industry. (submitted by Industries • Dept advises investor investor) to cane Department before for the suitability of Dept SIPB meeting investment 2-4 days 6 5 4 • Gazette • Public Hearing • Investor presents notification with concerned Application to informing parties for Cane Dept. for villages of the considering final reservation of final area objections for catchment area allotted reserving area P C D C U C O D I T D U B S R S P A C C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 60 T H P C S I M C T H B T M C I S E A R H S A P A H D C D C T D D C A D C R D P C O T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 61 D M C M L B A F F C • Scrutiny of • Date of inspection • Application to • Report sent to Drug application to detect informed to the Drug Controller Controller discrepancies investor for Drugs License department • Sent to Drug • Site inspection • Drugs License Inspector of the takes place to issued by Drug • Application Form 24 district verify compliance Controller • Processing Fee with documents based on type of drugs Typically takes 30 days but depends on the number of articles manufactured P C D C U C Output issued by Department to Investor S A I D C A I D C P A S A P D C S • T A A T D C F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 62 • T F R • Application to • Scrutiny of application to • Report sent to Drug Drug Inspector detect discrepancies Controller for Drugs License • Date of inspection informed department to the investor • Drugs License • Site inspection takes issued by Drug • Application Form 24 place to verify Controller • Processing Fee based on type of compliance with drugs documents Time taken 10 days T S P C D C U C Output issued by Department to Investor M D T D M F C B A M F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 63 F C M • Mining • Clearance from • Present Department Local Circle Officer • Recommend Application to checks application • If Rayati land then • Approval ations from Mining subject to from NOC from concerned the Department feasibility of Cabinet home owners and Collector proposal and compensation will • Application Form sufficiency of be given as per Act mineral deposits • Processing Fee = Flat Fee Rs 2000 for Major minerals Total Time taken = 1 year & Rs 5000 for • Lease is approved minor minerals for major minerals and 120 and license is days for minor minerals sanctioned. • Royalty charges P C specified D C U C Output issued by Department to Investor T M L D M A F D NOC C L C O D M C A F A S A P S F A P C M D H D T H D A T C S O E C A B C S O DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 64 B A F F C 1 2 • Present application 3 • Site inspection to Divisional • NOC issued by conducted by Horticulture Officer Horticulture DHO (DHO) for NOC Department • Recommendations from Horticulture report sent by Department DHO to HO • Form 2 as per Act • Processing Fee based on capacity of the unit T 6 5 • License issued • Site Inspection 4 by Horticulture by DHO to verify • Present compliance compliance as report and request Department per Technical for License P C checklist D C • Processing Fee based on capacity of the U C unit O D I T T D A M I G I C S O E C A T S A O U L O H M A C S O DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 65 H B B C S O S • D T • W H D T T C A P F A A D A S A P B A F F C 1 3 2 • Present Application • Issue of Food • Site Inspection to Health License in case conducted by Department for compliance with all Food Inspector Food License standards • Application Form as per Prevention of Food Adulteration Act 1954 • Processing Fee = Rs 100 P C Typically takes 7 days D C U C O D I DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 66 S C A P F A H T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 67 S S A S B S T T S S A S S. Name of Which basic Is there scope Final Action steps Justification No. license/ criteria does it for recommendation* clearance fail? streamlining? INFRASTRUCTURE 2. Land • Efficiency Yes • Elimination of Project • For applications that Allotment - • Deemed Clearance Committee have received SIPB BIADA approval (PCC) approval, PCC again • Internally • Relaxing the checks the viability of obtainable requirement of BIADA the proposal which information and Factory Layout results in duplication of approval within 30 days functions and time after taking possession delays of land • BIADA layout approval • Documents can be is a mere formality obtained internally since it follows PRDA subject to application in norms. De-linking SIPB factory approvals to BIADA procedure is vital since factory approval (within specified time) is not within the control of investor 3. Electricity • Efficiency Yes (Medium) • Feasibility/utility of • On one hand, though • Deemed introducing a system of on-demand Approval on-demand connections connections could may be looked into accelerate the process • Steps towards of sanction of load, the completion of extension larger investment works/ regularization of climate issues of connections in case of supply hours and prior dues, within a quality would remain defined period of time • Though the Electricity may be considered Act 2003 necessitates • Digital meter reading providing connection to devices may be any consumer employed to detect demanding it within theft, tampering etc. and 30days, the time limit reduce manual interface does not apply in case by decreasing the extension works are frequency of inspections required or if prior dues exist • Digital meters may obviate the requirement of inspection altogether, or at least reduce it 4. Water • Efficiency Yes (Medium) • Developing a • There are no specific Linkage • Deemed standardized agreement timelines defined for Approval for water linkage may obtaining NOC or in the be considered later stages, entering into Agreement • Developing a standardized agreement may help DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 68 S. Name of Which basic Is there scope Final Action steps Justification No. license/ criteria does it for recommendation* clearance fail? streamlining? the department define timelines and reduce them, as legal vetting by the law department or approval at the Ministerial level may then no longer be required TAX & BUSINESS REGISTRATION 5. Business • Internally Yes • Provisional registration • As per Table 6, the registration – obtainable as part of the multiplicity of DIC (Small, information SIPB/DLEC approval - registrations required is micro & • Amalgamation As soon as the project apparent medium) with other gets approved, • IEM Part A may be registration memorandum part I issued simultaneously • Deemed should be issued with the SIPB approval Approval immediately • Sequencing SIPB & PCC registrations is possible – i.e. PCC should allot the land immediately after SIPB approval SIA (large • Deemed Yes • The registration process • The registration industries) Approval should have a user- process takes 2-3 days friendly web interface if the investor is (site) present in person. This can be entirely avoided in an online application 6. Commercial • Efficiency Yes • Introduction of unique • Common unique TIN Taxes Tax Payee Identification can be issued for No. for all state level administrative acts reference which saves time and paperwork • However, this would be subject to amendments in the state level acts 7. State Excise • Efficiency Yes • Eliminate site inspection • Current process takes • Internally for LOI at pre- care of both time and obtainable construction stage resource efficiency. information • Documents can be • Lay out approval obtained internally without a site subject to application in inspection at the pre- SIPB construction stage can ensure speedy clearances ENVIRONMENT DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 69 S. Name of Which basic Is there scope Final Action steps Justification No. license/ criteria does it for recommendation* clearance fail? streamlining? 8. Pollution • Efficiency Yes • Establishment of • In absence of a duly • Internally SEIAA(SEIAA) & State constituted SEIAA or obtainable level Expert Appraisal SEAC, all Category “B� information Committee (SEAC) projects that require • Documents can be EIA clearances are obtained internally treated as Category “A� subject to application in projects and require SIPB central level clearance • Capacity building within which takes a long time the departments – both • Constitution of such increasing the number committees would of staff as well skill ensure transfer of enhancement (technical control to the state and soft) government leading to quicker turnaround time and thus enhance efficiency 9. Forest • Efficiency Yes but the • State-level steps to • Processing of scope for rationalize the application at the state improvement lies inordinately large time level can be improved. at the central taken can only be taken However, since this level. after GoI acts (to process is mandated change process) by central acts, there is limited scope of simplification LABOR WELFARE & SAFETY 10. Fire • Efficiency Yes • Till the time single • Since all applications Department • Deemed window system is not for Fire approval are Approval implemented in its true routed through sense, reducing Industries Dept, any linkages between delay on part of Industries & fire dept. Industries Dept to could be an option forward the application • Regular inspections to can result in serious be conducted overall delay, since such an approval is a pre-requisition to start any construction activity • Currently, random inspections take place but given its significance for fire safety purposes, annual fire audits should be introduced besides random inspections 11. Factories • Efficiency Yes (Very High) • Prior layout approval for • Layout plans are • Deemed non-hazardous prepared/certified by Approval industries upto a certified engineers • Internally specific electricity load authorized by the obtainable /workers may be done Government information away with • Simplification/rationaliz • Deemed approvals ation of returns, should be implemented registers and for Layout Approvals; or inspections by some of at least the time limit the other progressive should be brought down states & their to 30 days from the experience can point current 90 days Govt. of Bihar in the • Simplification & right direction rationalization of returns and registers, inspections etc. needs to be done DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 70 S. Name of Which basic Is there scope Final Action steps Justification No. license/ criteria does it for recommendation* clearance fail? streamlining? simultaneously with reforms in labor department • Introduction of self- certification (in non- hazardous industries) under various acts administered by Factories Inspectorate may be considered • Joint Inspections, inspection by technically qualified third parties may be considered 12. Labor • Efficiency Yes (High) • Simplification & • A multitude of acts to • Deemed rationalization of returns be complied with exist. Approval and registers, Some of these acts are • Internally inspections etc. under too archaic or rigid to obtainable various labor acts needs apply to contemporary information to be undertaken on a conditions priority basis • A large number of • Random inspections returns required to be with defined schedule filed monthly/semi- and prior notice, and annually/annually pose surprise inspections a significant burden on only upon authorization industry in form of by senior authority management time and should be introduced resources , especially • Joint inspections/ in case of smaller units. outsourced inspections, Similar is the case with self-certification (in non- multiple inspections hazardous industries) with no fixed frequency may be considered and by different • Contract Labour Act authorities under may be amended on different acts, and are lines of states like thus fraught with Andhra Pradesh malpractices 13. Boilers • Necessity Yes (Medium- • Frequency of • With the improvement • Efficiency High) inspections should be in boiler technology changed from annual to over time which has once in four years, and made their operations validity of the license much safer, a reduction may be correspondingly in inspections and increased corresponding increase in validity of a license is mandated for those employing use of such advanced and safe technology 14. Employee • Efficiency Yes • Rationalization of return • Duplication of State • Internally and introduction of joint information submitted; Insurance obtainable inspection can be part of common information return for Labor Department • Inspection with respect to ESI can be eliminated 15. Employment • Necessity Yes • Scope may be limited to • This law mandates Exchange • Efficiency public sector notification of all vacancies within the unit • Though it is governed by central law, the state may limit the scope for such notifications to the public sector so that DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 71 S. Name of Which basic Is there scope Final Action steps Justification No. license/ criteria does it for recommendation* clearance fail? streamlining? private investment can be encouraged INDUSTRY SPECIFIC / OTHERS 16. Weights & • Inspection Yes • W&M approval has an • Sometimes such Measures frequency annual renewal & hence inspections are a • Deemed there is scope of hindrance to production Approval introduction of self activity (e.g.: cases certification which can when inspectors be supported by fewer demand raw material of random inspections 1000 tons to check the weights. Making such raw material available can be an obstacle to continuous production) 17. Sugarcane • Necessity Yes • Extended durations for • Though the necessity • Efficiency Cane area reservation of market regulation in orders this industry is questioned, continuation of these reservations enables permanent linkage between the mill and the cane growers • Reservation of the area for a long term will help mills take full interest in cane developmental work in the allotted area 18. Drugs • Efficiency Yes • Investor can directly • The process of Controller • Streamlining submit the application to acquiring drugs license • Deemed the district inspector for involves verification of Approval scrutiny of documents & the same documents physical verification, by multiple people at after which, suggestions different stages starting can be sent to the Head from head office to field Office for the final issue inspector, leading it to of license a time consuming process. 19. Mining • Efficiency Yes • Simplification of process • The process is time • Deemed from Centre (there is consuming and Approval limited scope since involves lots of stages, issue of mining leases is including cabinet a sensitive area as it is approval related to management of natural resources & sometimes protection of forest areas also ) 20. Horticulture • Necessity Abolish • De-regulation of the • Ministry of Agriculture Department • Efficiency cold storage industry by has repealed the Cold abolishing license Storage Order 1997 thus abolishing license and allowing free market entry • Bihar still operates under State Cold Storage Order which needs to be repealed and thus de-regulate the industry 21. Health (Food • Efficiency Yes but the • State-level steps to • Process is governed by related scope for rationalize the time central act and thus approval) improvement lies taken can only be taken there is limited scope of at the central can only be taken after simplification DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 72 S. Name of Which basic Is there scope Final Action steps Justification No. license/ criteria does it for recommendation* clearance fail? streamlining? level. GoI acts (to change • Department may process) internally define time limit for issue of licenses S IM CS R A Y S B S G I DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 73 S C I B H B B T H I B B I T B M A B IM CS WBI S W S I B T N F T N S W S B B B S T N B T N B DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 74 Box Tamil Nadu Single Window System #Š‡Ã‹�•–‹–—–‹‘�ƒŽÃ•–”—…–—”‡Ã‘ˆÃ•‹�‰Ž‡Ã™‹�†‘™Ã•›•–‡�Ë�Ã#ƒ�‹ŽÃƒ†—˕Ƈ’‹…–‡†Ã„‡Ž‘™ à PROCESS FOR OBTAINING CLEARANCES 4 Post “In-principle� approval, gets clearances from individual departments State Pollution Control Board SINGLE WINDOW SYSTEM 2 Presents Investment proposal High Powered D Committee E (Comprise of P Tamil Nadu Industrial 10 members A Submits Guidance & Export Municipal from various R Administration Completed Promotion Bureau line departments T CAF 1 (TNIGEPB) headed & Water Supply M by Director, INVESTOR 3 TNIGEPB) E Gives “In-principle approval/ N Reasons for rejection T For policy level S 5 clearances/ resolution Inspectorate of of conflicts Factories/Boilers and POLICY LEVEL COMMITTEES other departments State Level Projects Approvals Investment Authority Promotion Board Investment less than Investment above Rs 100 crores Rs 100 crore #Š‡Ã—‹†ƒ�…‡Ãŗ”‡ƒ—à #ƒ�‹ŽÃƒ†—Ã�†—•–”‹ƒŽÃ—‹†ƒ�…‡Ãƒ�†ÃȚ’‘”–Ô‘�‘–‹‘�Ãŗ”‡ƒ— ȃ…‹Ž‹–ƒ–‡•Ã•’‡‡†›Ãƒ�†Ã–”ƒ�•’ƒ”‡�–à ”‡˜‹‡™Ã ‘ˆÃ ‹�˜‡•–�‡�–à ƒ’’Ž‹…ƒ–‹‘�•Ã …‡�–”ƒŽŽ›Ã –Š”‘—‰ŠÃ ƒÃ ‹‰ŠÃ ‘™‡”‡†Ã Ƒ��‹––‡‡Ã …”‡ƒ–‡†Ã –Š”‘—‰ŠÃ ƒÃ ‘˜‡”��‡�–à ”†‡” à …‘�’”‹•‹�‰Ã ”‡’”‡•‡�–ƒ–‹˜‡•Ã ‘ˆÃ ˜ƒ”‹‘—•Ã †‡’ƒ”–�‡�–• à #Š‹•Ã ‹‰ŠÃ ‘™‡”‡†Ã Ƒ��‹––‡‡Ã ˆƒ…‹Ž‹–ƒ–‡•Ã •’‡‡†›Ã ƒ�†Ã –”ƒ�•’ƒ”‡�–à ”‡˜‹‡™Ã ‘ˆÃ ‹�˜‡•–�‡�–à ƒ’’Ž‹…ƒ–‹‘�•Ã ƒ�†Ã ƒ……‘”†•Ã ‹� ’”‹�…‹’Ž‡ à ƒ’’”‘˜ƒŽ à #Š‹•Ã ƒ’’”‘˜ƒŽÃ ‡�ƒ„Ž‡•Ã –Š‡Ã ‹�˜‡•–‘”à ‹�‹–‹ƒ–‡Ã –Š‡‹”à ‹�’Ž‡�‡�–ƒ–‹‘�Ҕ‘…‡•• ǘ‡�Õ֊‡Ã‹�†‹˜‹†—ƒŽÃ†‡’ƒ”–�‡�–•Ã’”‘˜‹†‡Ã”‡•’‡…–‹˜‡Ã•–ƒ–—–‘”›Ã…Ž‡ƒ”ƒ�…‡• à à "‘�‡Ã‘ˆÃ–Š‡Ã˜‹•‹„Ž‡Ã„‡�‡ˆ‹–•Ã‹�֊‡Ãˆ—�…–‹‘�‹�‰Ã‘ˆÃ–Š‡Ã•‹�‰Ž‡Ã™‹�†‘™Ã•›•–‡�ԇ à • High significance of in principle approval à ”‹‘”à –‘à –Š‡Ã Æà �‡‡–‹�‰ à …‘�…‡”�‡†Ã †‡’ƒ”–�‡�–à �‡�„‡”• à Šƒ˜‡Ã ƒ�’Ž‡Ã –‹�‡Ã –‘à †‡Ž‹„‡”ƒ–‡Ã ƒ�†Ã ‹†‡�–‹ˆ›Ã ‰ƒ’•Ã ‹�à –Š‡Ã ƒ’’Ž‹…ƒ–‹‘� à �…‡Ã ƒŽŽÃ †‡’ƒ”–�‡�–•Ã Šƒ˜‡Ã ’”‹�…‹’ƒŽŽ›Ã ƒ‰”‡‡† à –‘à –Š‡Ã ’”‘’‘•ƒŽ à ƒ�›Ã ”‡ˆ—•ƒŽÃ ƒ–à ƒÃ Žƒ––‡”à •–ƒ‰‡Ã �‡‡†•Ã –‘à „‡Ã „ƒ…�‡†Ã „›Ã ƒÃ ˜‡”›Ã •–”‘�‰Ã ”‡ƒ•‘� à ‘”‡‘˜‡” à ™‹–ŠÃ –Š‡Ã ‰”ƒ�–à ‘ˆÃ ‹� ’”‹�…‹’Ž‡Ã ƒ’’”‘˜ƒŽ à –Š‡Ã ‹�˜‡•–‘”à …ƒ�à ‡˜‡�à ‹�‹–‹ƒ–‡Ã ‘’‡”ƒ–‹‘�ƒŽÃƒ…–‹˜‹–‹‡•Ã Ž‹�‡Ã ‘”†‡”‹�‰Ã ”ƒ™Ã�ƒ–‡”‹ƒŽ•Ã ƒ�†Ã ’Žƒ��‹�‰Ã Š‹•Ã ‘–Š‡”Õ—’’Ž‹‡• à • Introduction of CAF à ÆÄÉà ‹•Ã ƒÃ …‘�’”‡Š‡�•‹˜‡Ã ‹�…‘”’‘”ƒ–‹‘�à ‘ˆÃ ƒŽŽÃ –Š‡Ã �‡…‡••ƒ”›Ã †‡–ƒ‹Ž•Ã –Šƒ–à ƒ”‡Ã ”‡“—‹”‡†Ã „›Ã –Š‡Ã ‹�˜‡•–‘”à –‘à ˆ—”�‹•ŠÃ ƒ…”‘••Ã ƒŽŽÃ –Š‡Ã …‘�…‡”�‡†Ã †‡’ƒ”–�‡�–• à "‹�…‡Ã –Š‹•Ã ˆ‘”�à ‹•Ã ƒ……‡’–‡†Ã „›Ã ƒŽŽÃ –Š‡Ã ‹�†‹˜‹†—ƒŽÃ †‡’ƒ”–�‡�–• ˖ؑ‹†•Ã†—’Ž‹…ƒ–‹‘�шË�ˆ‘”�ƒ–‹‘�Ã�†Ã”‡†—…‡•Ã’ƒ’‡”™‘”�ȑ”ÖŠ‡Ã‹�˜‡•–‘”•Ã • Improvement in timelines à –à ™ƒ•Ã‘„•‡”˜‡†Ã –Šƒ–à ƒ’’Ž‹…ƒ–‹‘�•Ã –Šƒ–È‘ŽŽ‘™Ã–Š‡Ã •‹�‰Ž‡Ã ™‹�†‘™Ã”‘—–‡Ã —•—ƒŽŽ›Ã –ƒ�‡Ã ‘�‡Ã –Š‹”†Ã –Š‡Ã –‹�‡Ã –‘à ‰‡–à ƒ’’”‘˜ƒŽÃ „›Ã ‹�†‹˜‹†—ƒŽÃ †‡’ƒ”–�‡�–•Ã ƒˆ–‡”à ‹� ’”‹�…‹’Ž‡ à ƒ’’”‘˜ƒŽ• à ƒ•Ã …‘�’ƒ”‡†Ã –‘à †‹”‡…–à ƒ’’Ž‹…ƒ–‹‘�•Ã –‘à †‡’ƒ”–�‡�–• à �†‹˜‹†—ƒŽÃ †‡’ƒ”–�‡�–•Ã Šƒ˜‡Ã ‹�–”‘†—…‡†Ã ˆƒ•– –”ƒ…� à ’”‘…‡••‹�‰Ã ˆ‘”à •‹�‰Ž‡Ã ™‹�†‘™ ƒ’’Ž‹…ƒ–‹‘�•Ã•‘à –Šƒ–à †‡ƒ†Ž‹�‡•Ã ƒ”‡Ã ƒ†Š‡”‡Ã–‘ Ñ”‡‘˜‡” à †‡’ƒ”–�‡�–•Ã …‘�’‡–‹–‹˜‡Ž›Ã …‘�ˆ‘”�à –‘à –Š‡Ã ‘˜‡”ƒŽŽÃ†‡ƒ†Ž‹�‡•Ã ƒ•Ã•‘�‡Ãƒ�‘—�–шà ’‡‡” ’”‡••—”‡ ˕Öّ”� Ãà • IT enabled systems à #à Šƒ•Ã „‡‡�à —•‡† à ƒ•Ã ƒ�à ‡ˆˆ‡…–‹˜‡Ã –‘‘ŽÃ ˆ‘”à ˆƒ…‹Ž‹–ƒ–‹�‰Ã ‹�˜‡•–�‡�–•Ã ‹�à # à ‘–à ‘�Ž›Ã –Š‡Ã ÆÄÉà ‹•Ã ƒ˜ƒ‹Žƒ„Ž‡Ã ‘�à –Š‡Ã ™‡„•‹–‡Ã ‘ˆÃ •‹�‰Ž‡Ã ™‹�†‘™Ã •›•–‡� à –Š‡Ã ‰‘˜‡”��‡�–à Šƒ•Ã –ƒ�‡�à ‘–Š‡”à ‡ ‰‘˜‡”�ƒ�…‡Ã ‹�‹–‹ƒ–‹˜‡•Ã•—…ŠÃ ƒ•Ã –Š‡Ã‹••—‡Ã‘ˆÃ‘�Ž‹�‡Ã’”‘˜‹•‹‘�ƒŽÃ""Ã!‡‰‹•–”ƒ–‹‘�ÃƇ”–‹ˆ‹…ƒ–‡Ãƒ–ÖŠ‡Ã†‹•–”‹…–ÃŽ‡˜‡Ž Ãà Source: WBI- IMaCS study of Single Window Systems - Best Practices and Lessons, 2007 DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 75 S B • I CAF B A P T N CAF T C CAF • G A SIPB S D • C H I T H E A P S W M M I G • IT T E E CAF SSI B T N I • M C T A B A P T F B E DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 76 F B T Box Business Registration Reform Process in Turkey Private Registry #Š‹•Ã …ƒ•‡Ã •–—†›Ã ‹ŽŽ—•–”ƒ–‡•Ã ƒÃ ”‡ˆ‘”�à ‹�à #—”�‡›Ã –Šƒ–à •Š‹ˆ–‡†Ã ƒ—–Š‘”‹–›Ã ‘˜‡”à „—•‹�‡••Ã ”‡‰‹•–”ƒ–‹‘�à ˆ”‘�à ƒÃ ‰‘˜‡”��‡�–à „‘†›Ã –‘à ƒÃ ’”‹˜ƒ–‡Ã „‘†›Ã ƒ�†Ã �ƒ�†ƒ–‡†Ã –Š‡Ã •Šƒ”‹�‰Ã ‘ˆÃ …‘�’ƒ�›Ã ‹�ˆ‘”�ƒ–‹‘�à ™‹–ŠÃ ”‡Ž‡˜ƒ�–à ƒ‰‡�…‹‡• à Ț ƒ�–‡ Ô‹‘”Ö‘Ô‡ˆ‘”�• ֊‡Ã’”‘…‡••Ã‘ˆÃ‡•–ƒ„Ž‹•Š‹�‰ÃƒÃ…‘�’ƒ�›Ã™ƒ•Ã…—�„‡”•‘�‡Ãƒ�†Ã’”‘„Ž‡�ƒ–‹… à ƒ Ҕ‘…‡†—”‡• à Ã�‘�–Š•Ã ƒ ɇ™Ã…‘�’—–‡”‹œ‡†Ã”‡‰‹•–”‹‡•Ã ‹�Ã�ƒ‹�ė•‹�‡••Ã…‡�–‡”• Ã�‘–Ñ�Ž‹�‡Ã ƒ ƒ�›Ã ‘ˆˆ‹…‡Ã ˜‹•‹–•Ã „‡…ƒ—•‡Ã �‘à ‡š…Šƒ�‰‡Ã ‘ˆÃ ‹�ˆ‘”�ƒ–‹‘�à ƒ�‘�‰Ã ”‡‰‹•–”‹‡• à �‹�‹•–”‹‡•Ã ƒ�†Ã –Š‡Ã ’—„Ž‹…à ƒ "‡“—‡�–‹ƒŽÃƒ�†Ã‹�–‡”†‡’‡�†‡�–Ã’”‘…‡†—”‡•Ã”‡“—‹”‹�‰Ã‡š…‡••‹˜‡Ã†‘…—�‡�–ƒ–‹‘�à #Š‡Ã”‡ˆ‘”�Ҕ‘…‡•• ÃLJ•’‹–‡Ã”‡•‹•–ƒ�…‡ זŠ‘”‹–›Ã‘˜‡”Ô‡‰‹•–”‹‡•Ã™ƒ•Ã•Š‹ˆ–‡†Ãƒ�†Ã’”‘…‡†—”‡•Ã•‹�’Ž‹ˆ‹‡†Ã –Š”‘—‰ŠÃ‹�–”ƒ ‰‘˜‡”��‡�–ƒŽÃ’—„Ž‹… ’”‹˜ƒ–‡Ã†‹ƒŽ‘‰—‡ à ƒ ‘˜‡”��‡�–à ”‡ˆ‘”�•Ã …‘��‹––‡‡Ã ( à …‘�˜‡�‡† à „”‹�‰‹�‰Ã –‘‰‡–Š‡”à ’”‡•‹†‡�– à �‹�‹•–‡”• à „—•‹�‡••‡• Ã�†Ã•Ã ƒ ˜‡”à Ã�‡‡–‹�‰•ÃŠ‡Ž†Ã–‘ˆ‡�–‹ˆ›Ã�‡‡†•Ã‘ˆÃƒŽŽÃ’ƒ”–‹‡•Ãƒ�†Ã‡Ž‹�‹�ƒ–‡Ã’”‘…‡†—”‡•Ã ‡‰ƒŽÃ!‡ˆ‘”�à �à ‘˜‡�„‡”à à ƒ™Ã Ä�‡�†‹�‰Ã #—”�‹•ŠÃ #”ƒ†‡Ã ƒ™ à #ƒšÃ ”‘…‡†—”‡Ã ƒ™ à "–ƒ�’à Ǘ–›Ã ƒ™ à ƒ„‘”à ƒ™ Ã�†Ã"‘…‹ƒŽÃ�•—”ƒ�…‡Ãƒ™ ك•Ã‡�ƒ…–‡†Ã Ãà ƒ ”‡“—‹”‹�‰Ã”‡‰‹•–”‹‡•Ã–‘Ã’”‘˜‹†‡Ã”‡Ž‡˜ƒ�–ƃ–ƒÃ–‘Öƒš ΃„‘”Ã�†Ã•‘…‹ƒŽÃ‹�•—”ƒ�…‡Ãƒ—–Š‘”‹–‹‡•Ã ƒ ‡Ž‹�‹�ƒ–‹�‰Ã”‡“—‹”‡�‡�–È‘”Ã�‘–ƒ”‹œƒ–‹‘�•Ãƒ�†Ã‡Ž‹�‹�ƒ–‡†Ã•–ƒ�’Öƒš‡•Ãƒ–Ô‡‰‹‘�ƒŽÃ”‡‰‹•–”‹‡•Ã �•–‹–—–‹‘�ƒŽÃ!‡ˆ‘”�à ƒ LJŽ‡‰ƒ–‹‘�шזŠ‘”‹–›Ã‘˜‡”Ä—•‹�‡••Ã”‡‰‹•–”ƒ–‹‘�ك•Ã–”ƒ�•ˆ‡””‡†Ãˆ”‘�Ë�‹•–”›Ã‘ˆÃ#”ƒ†‡Ãƒ�†Ã �†—•–”›Ã # ֑֊‡Ã#”ƒ†‡Ã!‡‰‹•–”›Ãˆˆ‹…‡Ã‘ˆÃ–Š‡ÃƊƒ�„‡”шÃƑ��‡”…‡Ã ƒ #à ™ƒ•Ã ”‡�‘˜‡†Ã ˆ”‘�à ”‡‰‹•–”ƒ–‹‘�à ’”‘…‡••Ã ‡š…‡’–à ˆ‘”à …‘�’ƒ�‹‡•Ã –Šƒ–à �—•–à †‡�‘�•–”ƒ–‡Ã …‘�’Ž‹ƒ�…‡Ã™‹–ŠÃ•’‡…‹ƒŽÃ–”ƒ†‡ÃŽƒ™•Ã†‹…–ƒ–‡†Ã„›Ã–Š‡Ã‹�‹•–”›Ã ƒ Ɣ‡ƒ–‹‘�шÃ(ʃ•Ã’”‘˜‹†‡†Ãƒ�Ñ�‰‘‹�‰ÃŠ‹‰Š Ž‡˜‡ŽÃ�‡…Šƒ�‹•�ȑ”Ã’—„Ž‹… ’”‹˜ƒ–‡Ã†‹ƒŽ‘‰Ã‘�à „—•‹�‡••Ã”‡‰‹•–”ƒ–‹‘�ԇˆ‘”�•Ã ’‡”ƒ–‹‘�ƒŽÃ�’”‘˜‡�‡�–• #‘‘Ž•Ã ƒ "‡ƒ”…Šƒ„Ž‡Ã‘�Ž‹�‡Ã…‘�’ƒ�›Ã”‡‰‹•–”ƒ–‹‘�ƃ–ƒ„ƒ•‡ Ņ‡••‹„Ž‡Ã–‘ÖŠ‡Ã’—„Ž‹…à ƒ "‹�‰Ž‡Ãƒ’’Ž‹…ƒ–‹‘�ȑ”�Ȕ‘�ي‹…ŠÃ‹�ˆ‘”�ƒ–‹‘�˕Ƌ•–”‹„—–‡†Ã„›Ã’‘•– …‘—”‹‡”à ƒ �‡ ™‹�†‘™Ãˆ‘”Ô‡‰‹•–”ƒ–‹‘�ً–ŠÃ–”ƒ†‡Ã”‡‰‹•–”› փš ΃„‘”Ã�†Ã‹�•—”ƒ�…‡Ãƒ—–Š‘”‹–‹‡•Ã ƒ Ȏ‹�‹�ƒ–‹‘�шҔ‘…‡†—”‡•Ã†‡‡�‡†Ã�‘–Ã�‡…‡••ƒ”›Ã•—…ŠÃƒ•Ã#Ғ”‘˜ƒŽ•Ãƒ�†Ã�‘–ƒ”‹œƒ–‹‘�•Ã "—……‡••Ã ‹�†‹…ƒ–‘”• à ”‘…‡†—”‡• à …‘•–•Ã ƒ�†Ã –‹�‡Ã Šƒ˜‡Ã „‡‡�à ”‡†—…‡† à ™Š‹Ž‡Ã –Š‡Ã �—�„‡”à ‘ˆÃ …‘�’ƒ�›Ã ”‡‰‹•–”ƒ–‹‘�•ÃŠƒ•Ã‹�…”‡ƒ•‡† à ƒ Ҕ‘…‡†—”‡• Ñ�‡Ã†ƒ›Ã ƒ ‘Ã�‹�‹�—�ђ‹–ƒŽÃ”‡“—‹”‡�‡�–à �‰‘‹�‰Ã”‡ˆ‘”�• ÃȈˆ‹…‹‡�…‹‡•Ã™‹ŽŽÃŽ‹�‡Ž›Ã‹�…”‡ƒ•‡Ãƒ•Ãˆ—”–Š‡”Ã#Ç�Šƒ�…‡�‡�–•Ãƒ”‡Ã�ƒ†‡Ã à ƒ ė–‘�ƒ–‹‘�шɇ�…‹‡•Ã™‹ŽŽÃ‡�ƒ„Ž‡Ã‡Ž‡…–”‘�‹…Ö”ƒ�•�‹––ƒŽÃ‘ˆÃ†ƒ–ƒÃƒ�‘�‰Ã–Š‡•‡Ãƒ‰‡�…‹‡•Ã ƒ #”ƒ†‡Ã!‡‰‹•–”ƒ–‹‘�Ãœ‡––‡Ã™‹ŽŽÃ•‘‘�ćז‘�ƒ–‡†Ã ƒ Ē’Ž‹…ƒ–‹‘�ȑ”�ًŽŽÃ„‡Ãƒ˜ƒ‹Žƒ„Ž‡Ã‘�Ž‹�‡Ã™Š‡�ǎ‡…–”‘�‹…Õ‹‰�ƒ–—”‡Ã”‡‰—Žƒ–‹‘�˕Ç�ƒ…–‡†Ã à Reference Business Registration Start Up A Concept Note Liliana de Sa IFC the World Bank DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 77 R E R A A T A ESI C R A T T B T N K A P G J I A T H O T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 78 I M D I P S C I A S B Box International experience in administrative simplification �–‡”�ƒ–‹‘�ƒŽŽ› Ã�ƒ�›Ã ‰‘˜‡”��‡�–•Ã …‘�ˆ—•‡Ã –Š‡Ã�‡‡†Ã –‘à ‹†‡�–‹ˆ›Ã„—•‹�‡••‡•Ã ™‹–ŠÃ –Š‡Ã �‡‡†Ã –‘à ƒ—–Š‘”‹œ‡Ã ƒ�†Ã ”‡‰—Žƒ–‡Ã •’‡…‹ˆ‹…à ‡…‘�‘�‹…Ã…–‹˜‹–‹‡• Ãĕà ƒÃ ”‡•—Ž–à �ƒ�›Ã„—•‹�‡••Ã ƒ…–‹˜‹–‹‡• à ™Š‹…ŠÃ’‘•‡Ã�‘ÖŠ”‡ƒ–à –‘à ’—„Ž‹…ʇƒŽ–Š Ճˆ‡–›Ã‘”Ñ”†‡” ԇ“—‹”‡Ã–Š‡Ã•ƒ�‡Ãƒ’’”‘˜ƒŽ•Ãƒ•Ãˆƒ”Ã�‘”‡Ã•‡�•‹–‹˜‡Ãƒ…–‹˜‹–‹‡• ј‡”��‡�–•Ã –Šƒ–à Šƒ˜‡Ã ”‡‡šƒ�‹�‡†Ã –Š‹•Ã •‹–—ƒ–‹‘�à –‘à ‡Ž‹�‹�ƒ–‡Ã —��‡…‡••ƒ”›Ã ’‡”�‹••‹‘�•Ã Šƒ˜‡Ã ˆ‘—�†Ã �—…ŠÃ ’‘–‡�–‹ƒŽÃ ˆ‘”Ô‡†—…–‹‘�Ã�†Ã•‹�’Ž‹ˆ‹…ƒ–‹‘� à –ƒŽ›Ã �‘™Ã Šƒ•Ã ‘�Ž›Ã ‘�‡Ã —�‹ˆ‹‡†Ã ’‡”�‹••‹‘� à ˆ‘”à •–ƒ”–‹�‰Ã ƒÃ �‡™Ã ‹�†—•–”‹ƒŽÃ ’Žƒ�– à #Š‹•Ã ”‡’Žƒ…‡•Ã à ’”‡˜‹‘—•Ž›Ã �‡‡†‡†Ã ƒ—–Š‘”‹œƒ–‹‘�•Ã ˜ƒ”›‹�‰Ã ‹�à �—�„‡”à ƒ�†Ã ’”‘…‡†—”‡Ã †‡’‡�†‹�‰Ã ‘�à –Š‡Ã ’ƒ”–‹…—Žƒ”à ‹�†—•–”‹ƒŽÃ ƒ…–‹˜‹–›Ã ‹�˜‘Ž˜‡† à –ƒŽ›Ã Šƒ•Ã ”‡’Žƒ…‡†Ã �‘”‡Ã –Šƒ�à à ’‡”…‡�–à ‘ˆÃ ‹–•Ã …‡”–‹ˆ‹…ƒ–‡•Ã ƒ�†Ã ‘–Š‡”à ’‡”�‹••‹‘�•Ã ™‹–ŠÃ •‡ŽˆÃ †‡…Žƒ”ƒ–‹‘�• à �à …ƒ•‡•Ã ™Š‡”‡Ã �‘à È�˜‹”‘��‡�–ƒŽÃ �’ƒ…–à ĕ•‡••�‡�–à ‹•Ã ‹�˜‘Ž˜‡†Ã –Š‡Ã ‡�–”‡’”‡�‡—”à �‡”‡Ž›Ã ˆ‹Ž‡•Ã ƒÃ �‘–‹ˆ‹…ƒ–‹‘�à ‘ˆÃ –Š‡Ã „‡‰‹��‹�‰Ã ‘ˆÃ ƒ�à ƒ…–‹˜‹–› à ™‹–ŠÃ –Š‡Ã Ž‘…ƒŽÃ ƒ—–Š‘”‹–› à Ĉ–‡”à ƒ�à ‡•–ƒ„Ž‹•Š‡†Ã Ž‹�‹–à ‘ˆÃ –‹�‡Ã •‹�…‡Ã �‘–‹ˆ‹…ƒ–‹‘� à –Š‡Ã ’‡”�‹••‹‘�à ‹•Ã ƒ—–‘�ƒ–‹…ƒŽŽ›Ã ‰”ƒ�–‡† à #Š‹•Ã ’”‹�…‹’Ž‡Ã ‘ˆÃ •‹Ž‡�–à …‘�•‡�– à Šƒ•Ã ”‡’Žƒ…‡†Ã �‘”‡Ã ‘�‡”‘—•Ã Ž‹…‡�•‹�‰Ã ƒ�†Ã ƒ—–Š‘”‹œƒ–‹‘�à ˆ‘”Ã à ‘ˆÃ –ƒŽ› •Ã ‹�†—•–”‹ƒŽÃƒ…–‹˜‹–‹‡• à ‘”–—‰ƒŽÃ Šƒ•ÃƒŽ•‘Ƈ˜‡Ž‘’‡†ÃƒÃ—�‹ˆ‹‡†ÃŽ‡‰ƒŽÃˆ”ƒ�‡™‘”�ȑ”Ë�†—•–”‹ƒŽÃ’Žƒ�Ǖ–ƒ„Ž‹•Š�‡�– ً–ŠÃƒŽŽÃ”—Ž‡• à ˆ‘”�•Ã ƒ�†Ã ’”‘…‡†—”‡•Ã ‰ƒ–Š‡”‡†Ã ‹�à ‘�‡Ã •‹�‰Ž‡Ã ”‡‰—Žƒ–‹‘� à ��‘™�à ƒ•Ã !ÈÄ à #Š‡Ã !ÈÄà ’”‘…‡†—”‡•Ã •‡–à ’”‡…‹•‡Ã ƒ�†Ã „‹�†‹�‰Ã –‹�‡Ã Ž‹�‹–•Ã ˆ‘”à ƒŽŽÃ ƒ…–‹‘�•Ã „›Ã ’‡”�‹––‹�‰Ã ƒ—–Š‘”‹–‹‡• à ĎŽÃ ”‡“—‡•–•Ã ˆ‘”à ƒ††‹–‹‘�ƒŽÃ …Žƒ”‹ˆ‹…ƒ–‹‘�•Ã ‘”à ‡Ž‡�‡�–•Ã �‹••‹�‰Ã ‹�à –Š‡Ã ƒ’’Ž‹…ƒ–‹‘�à �—•–à „‡Ã �ƒ†‡Ã ™‹–Š‹�à à †ƒ›• à #Š‡Ã –‡””‹–‘”‹ƒŽÃ ƒ†�‹�‹•–”ƒ–‹‘�à ƒ—–Š‘”‹–›Ã �—•–à ‹••—‡Ã Ž‘…ƒ–‹‘�à ƒ—–Š‘”‹œƒ–‹‘�•Ã ™‹–Š‹�à à †ƒ›• à #Š‡Ã …‘ ‘”†‹�ƒ–‹‘�à ƒ—–Š‘”‹–›Ã ˆ‘”à ƒ�à ƒ’’Ž‹…ƒ–‹‘�à ˆ‘”à �‡™Ã ‹�†—•–”‹ƒŽÃ ’Žƒ�–à Šƒ•Ã à †ƒ›•Ã –‘à •‡�†Ã …‘’‹‡•Ã –‘à ”‡Ž‡˜ƒ�–à ’—„Ž‹…à ƒ‰‡�…‹‡•Ã –‘à •‘Ž‹…‹–à –Š‡‹”à …‘��‡�–• à –Š‡•‡Ã ƒ‰‡�…‹‡•Ã Šƒ˜‡Ã à †ƒ›•Ã –‘à ‹••—‡Ã –Š‡‹”à …‘��‡�–• à ƒ�†Ã –Š‡Ã …‘‘”†‹�ƒ–‘”à –Š‡�à Šƒ•Ã à †ƒ›•Ã ƒˆ–‡”à …‘ŽŽ‡…–‹�‰Ã ƒŽŽÃ •–ƒ–‡�‡�–•Ã –‘à ‹••—‡Ã ˆ‘”�ƒŽÃ ƒ’’”‘˜ƒŽ à �à ƒ�›Ã …ƒ•‡•Ã ™Š‡”‡Ã ƒÃ ”‡•’‘�•‡Ã †‘‡•Ã �‘–à ‘……—”à ™‹–Š‹�à –Š‡Ã •–ƒ–‡†Ã –‹�‡Ã Ž‹�‹–• à –Š‡Ã …‘‘”†‹�ƒ–‘”à –ƒ�‡•Ã –Š‹•Ã ƒ•Ã •‹Ž‡�–à …‘�•‡�– à ”‡‡…‡ à –‘‘ à Šƒ•Ã …”‡ƒ–‡†Ã ƒÃ —�‹ˆ‹‡†Ã ƒ†�‹�‹•–”ƒ–‹˜‡Ã •›•–‡�à ˆ‘”à ‹�•–ƒŽŽ‹�‰ à …‘�•–”—…–‹�‰Ã ƒ�†Ã ‘’‡”ƒ–‹�‰Ã ‹�†—•–”‹ƒŽÃ’Žƒ�–à —�†‡”Ö‹‘�ƒŽÃƒ™Ã Ãà ‘Žƒ�† •Ã �‡™Ã ŗ•‹�‡••Ã ą–‹˜‹–›Ã Ƒ†‡ à ™Š‹…ŠÃ –‘‘�à ‡ˆˆ‡…–à ‹�à à ”‡†—…‡•Ã ƒÃ•›•–‡�à ‘ˆÃ •‘�‡Ã à Ž‹…‡�•‡•Ã ƒ�†Ãƒ„‘—–Ã à –›’‡•Ã‘ˆÃ’‡”�‹–•Ã–‘à ΋…‡�•‡•Ãƒ�†Ãƒ’’”‘š‹�ƒ–‡Ž›Ã Ջ–—ƒ–‹‘�•Ã‹�ي‹…ŠÃ’‡”�‹–•Ã�—•–ćà DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 79 ‘„–ƒ‹�‡† Ã#Š‡Ã …‘†‡Ã ƒŽ•‘Õ–‹’—Žƒ–‡•Ã –Šƒ–à …‘�†‹–‹‘�•Ã ˆ‘”à ‰”ƒ�–‹�‰Ã ’‡”�‹••‹‘�•Ã ƒ�†Ã ˆ‘”à Ž‘•‹�‰Ã ’‡”�‹••‹‘�•Ã •Š‘—Ž†Ã„‡Ã•’‡…‹ˆ‹‡†Ã‹�Ãą–• Ã�†Ã�‘–Ë�Α™‡”Ôƒ��‹�‰ÃŽ‡‰‹•Žƒ–‹‘� Ã#Š‡Ã‹�–‡�–‹‘�˕֑ɋ˜‡Ã‰”‡ƒ–‡”Õ–ƒ„‹Ž‹–›Ã ƒ�†Ã’”‡†‹…–ƒ„‹Ž‹–›Ã–‘ÖŠ‘•‡Ã”‡‰—Žƒ–‹‘�•Ã–Šƒ–Ô‡�ƒ‹� ÑŽƒ�† •Ã�‡™Ã”‡‰—Žƒ–‹‘�•Ã‘�ė•‹�‡••Ãƒ…–‹˜‹–›ÃƒŽŽ‘™Ã ˆ‘”à –Š‡Ã ‹••—ƒ�…‡Ã ‘ˆÃ ’‡”�‹–à ’”‘�‹•‡• à –Š”‘—‰ŠÃ ™Š‹…ŠÃ ƒ—–Š‘”‹–‹‡•Ã …ƒ�à ƒŽŽ‘™Ã ƒ�à ‡�–”‡’”‡�‡—”à –‘à „‡‰‹�à ™‘”�à ™Š‹Ž‡Ã ƒ�à ƒ’’Ž‹…ƒ–‹‘�à †‡‡�‡†Ã Ž‹�‡Ž›Ã –‘à •—……‡‡†Ã ‹•Ã ‹�à ’”‘…‡•• à #Š‹•Ã Šƒ•Ã ’”‘˜‡�à Š‡Ž’ˆ—ŽÃ ‹�à …ƒ•‡•Ã ™Š‡”‡Ã–Š‡Ãƒ’’Ž‹…ƒ–‹‘�˕Ֆ”‘�‰ ė–ÙŠ‡”‡Ã–Š‡”‡Ãƒ”‡Ã†‡Žƒ›•Ã‹�Ҕ‘†—…‹�‰Ã•‘�‡Ã†‘…—�‡�–• à à Reference Business start up and one stop shops Principles for success from Ukraine and abroad Volodymyr Buryy et al P I I T S BIADA T PCC SIPB PCC A L F I I A C S B W P B SEIAA SEAC C B M EF I SEAC R SIPB P B T SW DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 80 Box Alignment with Doing Business in South Asia à #Š‡Ã Ǒ‹�‰Ã ŗ•‹�‡••Ã ‹�à "‘—–ŠÃ ĕ‹ƒ à à !‡’‘”–à ‹�˜‡•–‹‰ƒ–‡•Ã –Š‡Ã •…‘’‡Ã ƒ�†Ã �ƒ��‡”à ‘ˆÃ ”‡‰—Žƒ–‹‘�•Ã –Šƒ–à ‡�Šƒ�…‡Ã „—•‹�‡••Ã ƒ…–‹˜‹–›Ã ƒ�†Ã –Š‘•‡Ã –Šƒ–à …‘�•–”ƒ‹�à ‹– à #Š‡Ã ”‡’‘”–à …‘˜‡”•Ã ‡‹‰Š–à …‘—�–”‹‡•Ã ‹�à –Š‡Ã &‘”Ž†Ã Ń�� •Ã"‘—–ŠÃĕ‹ƒÃ”‡‰‹‘�Ã�†Ã’ƒ”–‹…—Žƒ”Ž›Ã‡šƒ�‹�‡•Ã Ã�ƒŒ‘”Ã…‹–‹‡•Ã‹�Ã�†‹ƒÃ‹�…Ž—†‹�‰Ãƒ–�ƒ ֊‡Ã…ƒ’‹–ƒŽÃ‘ˆÃ ŋŠƒ” Ãà à ‘™‡˜‡” à –Š‡Ã ‹�Š‡”‡�–à ƒ••—�’–‹‘�•Ã —�†‡”Ž›‹�‰Ã –Š‡Ã Ǒ‹�‰Ã „—•‹�‡••Ã !‡’‘”–à ƒ�†Ã ‘—”à ”‡’‘”–à ƒ”‡Ã †‹ˆˆ‡”‡�– à &Š‹Ž‡Ã •–ƒ”–‹�‰Ã ƒÃ „—•‹�‡•• à –Š‡Ã Ǒ‹�‰Ã ŗ•‹�‡••Ã ”‡’‘”–à —�†‡”•–ƒ�†•Ã –Š‡Ã ’”‘…‡†—”‡•Ã ‹�˜‘Ž˜‡†Ã ˆ‘”à ‹�…‘”’‘”ƒ–‹‘�шÃÔ‹˜ƒ–‡ÃŽ‹�‹–‡†Ã…‘�’ƒ�›Ãƒ�†Ã†‘‡•Ã�‘–ƇƒŽÃ™‹–ŠÃŽ‹…‡�•‡•Ã”‡“—‹”‡†Ã’‘•–Ç•–ƒ„Ž‹•Š�‡�– à �ő�’ƒ”‹•‘� ї”Ô‡’‘”–Õ•—�‡•Ã–Š‡Ã‡š‹•–‡�…‡Ã‘ˆÃƒÃ…‘�’ƒ�›Ãƒ�†Ãˆ‘…—•‡•Ã‘�Ҕ‘…‡••Ãˆ‘”Õ–ƒ”–‹�‰ÃƒÃ�‡™Ã „—•‹�‡••Ã ‹�à ŋŠƒ”à ƒ�†Ã •’ƒ�•Ã –Š‡Ã ‡�–‹”‡Ã Ž‹ˆ‡Ã …›…Ž‡Ã ‘ˆÃ ƒÃ „—•‹�‡•• à �ƒ�‡Ž›Ã à ҈‘”‡Ã …‘�•–”—…–‹‘� à Ǘ”‹�‰Ã …‘�•–”—…–‹‘� ÃĈ–‡”Ã…‘�•–”—…–‹‘�Ã�†Ã҈‘”‡Ã’”‘†—…–‹‘�ÕهŽŽÃƒ•ÃĈ–‡”Ã’”‘†—…–‹‘�ő��‡�…‡• Ã#Š—•Ã–Š‡Ã ‘˜‡”Žƒ’•Ã„‡–™‡‡�֊‡•‡Ã–™‘ԇȇ™Ãƒ�†Ã†‡–ƒ‹Ž•Ã‘ˆÃ’‡”Ã�—�„‡”шƃ›•Ã–ƒ�‡�ԇҔ‘˜‹†‡†Ã„‡Ž‘™ à à License Doing Business IMaCS report Report !‡‰‹•–”ƒ–‹‘�×�†‡”ÃƑ��‡”…‹ƒŽÃ ƃ›•Ã ƃ›•Ã #ƒš‡•Ã %Ä# à !‡‰‹•–”ƒ–‹‘�×�†‡”ÃÈ�’Ž‘›‡‡Ã"–ƒ–‡Ã Ãƃ›•Ã ƃ›•Ã �•—”ƒ�…‡Ãą–à à „–ƒ‹�ȋ”‡Ã•ƒˆ‡–›Ã…Ž‡ƒ”ƒ�…‡Ã ƃ›•Ã !‡˜‹‡™ Ë�•’‡…–‹‘�Ã�†Ã ƒ’’”‘˜ƒŽÃ‹•Ã†‘�‡Ã‹��‡†‹ƒ–‡Ž›Ã ƒˆ–‡”Ô‡…‡‹˜‹�‰Ã‡�“—‹”›Ãˆ”‘�à �†—•–”‹‡•ÃLJ’ƒ”–�‡�–à „–ƒ‹�ÃȎ‡…–”‹…‹–›Ã…‘��‡…–‹‘�à ƃ›•Ã ƃ›•Ã‹ˆÃ�‘Ã’”‹‘”Æ—‡•Ã‡š‹•–•Ã ƒ�†Ã�‘Çš–‡�•‹‘�˕ԇ“—‹”‡†Ã Source Doing Business report in South Asia ÃÃÃÃÃÃà and IMaCS analysis #Š‡Ã ‘˜‡”ƒŽŽÃ –”‡�†Ã •‡‡�•Ã –‘à „‡Ã ’‘•‹–‹˜‡Ã ™‹–ŠÃ †‡…”‡ƒ•‡Ã ‹�à –Š‡Ã �—�„‡”à ‘ˆÃ †ƒ›•Ã ”‡“—‹”‡†Ã ˆ‘”à ƒ’’”‘˜ƒŽÃ ˆ‘”à –Š‡•‡ÃŽ‹…‡�•‡• à C B E T A F F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 81 F T Immediate Short Term implementation Implementation Time period • Legitimize SIPB’s “In-principle� approval • Creation of Monitoring Committee • Introduction of CAF • IT-Enable SWS Make SWS work • Creation of “Handbook for Investors� • Simplification of returns & registers - • Introduction of Self-Certification Introduction of Common Returns/ • Third Party inspections Further simplification Registers • Extending validity of Licenses of Inspections, • Random statutory inspections annually; returns & renewals surprise inspection based on complaints & with prior approval of authorities • Joint Inspections • Elimination of PCC for SIPB approved appl. • Establish SEIAA or SEAC for State Process-related • Registration as part of SIPB Pollution Control Board redundancies • Abolition of Cold Storage License • Soft skill training (communication skills, • Technical skill training to existing staff Capacity Building managerial capabilities etc.) to existing • Recruitment of additional desired staff manpower DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 82 A S T B K A G B C G T G E F L R C T P C B O T T D G F P C B IMACS WBI I T I T B T T I T N A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 83 I C D S C D I C T T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 84 A S B P I T A FIAS T A S Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state 13 1. Registration of For Large National Law: Registration No Part A & Part Part A: Till No No Part A: Rs. 2007 (till NA Business : industries - (Secretariat Industrial of Business B: 2 steps for production 1000 for up Oct.): 671 Secretariat for for Policy for statistical each of the unit to 10 items. 2006: 263 Memorandum Industrial Industrial Resolution purpose (Time taken: starts Additional 2005: 400 (Part I) – Assistance Assistance 1956, Same day, fee of Rs. Provisional (SIA) - Centre - SIA) for ≤10 Part B: 250 for 10 Registration Statement of items, else 2- Perpetual items – 20 Industry 3 days (For unless items Memorandum(P Policy of 1991 both Part A & change in art II) – B) capacity Part B: No Permanent or change Registration in administra tive district) DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 85 Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state For medium, National Micro, Small Registration For Part A - Part A: 3 Part A: till No Part A: No No 2007: 13 NA small & micro & Medium of Business NIL steps production Part B: Copies of registration industry - Enterprises for statistical Part B: 3 starts clearances by s in DIC (In District Development purpose For Part B - steps other process) Industries (MSMED) Act, Copies of all Part B: departments Centre (DIC) - 2006 clearances Time: Perpetual State as of date Part A:2-3 days For small & Part B:3-4 micro units days with industrial land-BIADA – State 2. Land Allotment Bihar Regional Law: Bihar Infrastructure - 9 steps Lease Daily basis Project report, Form Cost: 2007 till Revenue Industrial Industrial provision: Time taken deed for where all Lay out plan, Rs. 100 date : 426 allocated Area Area Allotment of for issue of 99 years applications residential proof, 2006-07 : to BIADA Development Development industrial land allotment are tracked Memorandum of Processing 159 Corporation Act 1974 letter: 30 for payment Association Fee: 2005-06 : 2007: (BIADA) - days (MOA) & Articles For medium 106 Rs. State of Association & large 2004-05 : 3,19,500 After issue of (AOA), Letter of industry = 105 (estimate allotment recommendation Rs. 1000, 2003-04 : based on letter but For small 34 assumpti before industry = on that construction: Rs. 500 50% 60 days industrie s are small and rest are medium) 3. Pollution Bihar State Regional Air: Environment Land At state Consent to No tracking Project report Form Cost 2004-05 : NA Pollution (Prevention protection allotment level, Establish of (must include = Rs 50 692 Control Board and Control of letter in case (CTE): application. process of 2003-04 : (BSPCB) - Pollution) Act, of BIADA Pre- Depends Annual production Processing 1464 State 1981; land construction on reports (last involved, fee for CTE 2002-03 : Water: = 5 steps industry/ published in emissions in & CTO is 616 DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 86 Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state Ministry of (Prevention Registration (Average project 2004-05) water/air, slab based 2001-02 : Environment and Control of of land in time : 45 published mitigation on amt of 815 (For & Forests (in Pollution) Act, case of days) Consent to stating measures investment Bihar & cases of EIA 1974; privately Operate number of proposed to and scale of Jharkhand) study) - Environment owned land Post (CTO): 1 final meet standards industry Centre (Protection) construction year licenses etc.), Site Plan, Act, 1986 = 4 steps issued Land records, (Average Access map and time : 45 Proposed route days) to the site For central level, time taken is more than 1 year 4. Electricity Bihar State Regional Electricity Act Electrical Land For sanction Perpetual No formal For Sanction: Application LTIS: The Electricity 2003 Supply allotment of load: process for Land ownership fee for new 2006-07: monthly Board (BSEB) Connection letter in case 3-6 steps tracking the details, connection: 110 estimate of BIADA depending status of declaration of no 2005-06: d land on the applications dues, test report LTIS: Rs. 110 revenue quantum of by Licensed 100 2004-05: of BSEB load Electrical 4424 is 100- (Time: 3-7 Contractor/ HTS: Rs. 110 days) certificate of 200 HTS: Crore, of electrical works 2006-07: 5 which the For by manufacturer/ 2005-06: 6 industrial commencem recognized lab 2004-05: users ent of supply: 151 (includin 2 steps For g (Time: 20 commencement railways) days of supply: account approx.) Partnership for Deed /AoA, around Overall time Permanent & 70% = 30 days present postal (not address of applicable in Partners/ DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 87 Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state case of Directors, extension Certificate of works / prior registration/ dues) incorporation 5. Water Water Regional Irrigation Act, Water For support For issue of As defined No formal DPR with details No fee 3 approvals NA Resources 1997, Linkage from letter/ NOC: support in process for of project and (out of Department - river/ SIPB letter/ NOC: agreement tracking the water around 7 State Irrigation reservoir/cana Approval 3 steps (15- status of requirement applications Water l 21 days) applications (forwarded by ) in 2007 Management For For the Industries Rules, 2000 agreement:: agreement: Department) NOC from No defined BSPCB time limit as NOC from it is an BSPCB required iterative before process agreement involving negotiations 6. Fire Fire Service, Regional Bihar Fire Safety/Fire - Pre Perpetual No Factory Plan No NA NIL Department of Service Act Prevention Construction outlay Processing Home Guards 1948 = 3 steps fees - State (Time taken: Immediate in case of no objection) 7. Factories Factory Regional Factories Act, Permission to For Plan For Plan Till 31st No formal For Plan No fee for - As per Inspectorate, 1948, construct, Approval: Approval: December process for Approval: plan statistics Labor Wing, extend, or Land 4 steps (90 of every tracking the Flowchart of approval available Labor Bihar take into use allotment days) year status of manufacturing for 2002- Resources Factories any Building letter in case applications process, site & Fee for 03, Rs. Department Rules, 1950 as factory of BIADA For . layout plan, registration 42.30 -State land registration proof of land and grant of Crore and grant of ownership factory was For factories license as raised as registration license: For registration per revenue and grant of 5 steps (30 and grant of Schedule A, from DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 88 Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state factories days) factories license: B and C of license license: Partnership Bihar fee NOC from Deed/ MoA & Factories PCB AoA, NOC from Rules, 1950 BSPCB 8. Boilers Inspectorate Regional Indian Boilers Registration - During 12 months No formal Drawings and Fee is as Nil during NA of Boilers, Act, 1923, and construction process for particulars of per the the past 2 Labor Wing, Certificate for of boiler: tracking the materials, design prescribed years Labor Indian Boiler use of boiler 4 steps status of and construction format, Resources Regulations, (inspections applications depending Department 1950 are at on the -State various boiler rating stages of construction – no specific timelines obtained from the department) For Boiler Registration: 4 steps (approx. 30 days) 9. Labor Labor Wing, Regional Bihar Shops & Regulating - 2 steps Valid till No formal Prescribed forms As per Labor Commercial working end of the process for and challan of statistics Resources Establishment conditions of year for tracking the fee available Department s Act 1923, the workers in which status of for 2002- -State units not issued applications 03, Rs. covered under . 11.26 Factories Act Crore 1948 was raised as Contract Registration 2 steps (7 revenue Labor of Principal days) from (Regulation & Employer license & DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 89 Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state Abolition) Act renewal 1970 fee under Bihar Shops & Commer cial Establish ments Act 10. Employment Directorate of Regional Compulsory Promoting - No formal Prescribed Form - - Exchange Employment Notification of recruitment of process for No fee and Training Vacancies Act local workers tracking the - State 1959 Statistical status of record applications keeping 11. State Excise Bihar State Regional Bihar Excise Revenue For LOI: At the time of 1 year No system At the time of Processing No No Excise Act 1915 generation Land issue of LOI : for tracking LOI: rough map fee published publishe Department - allotment 3 steps applications of the land, land depends on statistics d State letter in case (Average details, kind of statistics of BIADA time taken = ownership license: land 15-20 days) details, capital investment, Compoundi Registration At the time of purpose of the ng/ of land in issue of final project, project Blending : case of license: 4 report Rs 30,000 privately steps Bottling: Rs owned land (Average At the time of 5,000, time taken = License: project Finished For License: 30 days) report, capital Goods: Rs NOC investment 30,000, Pollution, details Distribution: Certificate of Rs 150,000 Commercial taxes 12. Weights & Controller of Regional Standards of Enforcement Provisional 3 steps 1 year No Original bills of Rs. 5 No No Measures Weights & Weights & of standards Registration (Time taken: all the raw published publishe Measures - Measures Act of weights & No. typically materials statistics d DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 90 Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state State 1976, measures in takes 2-3 purchased statistics transaction, days) Standards of protection & Weights & industrial Measures production Enforcement Act 1985 13. Employee State Employee Regional Employee Social Factory Applicable Perpetual Monitoring Registration No 2006-07: 50 No Fee Insurance State State Security for License only after systems to Proof in the form processing establishme Insurance Insurance Act unorganized commencem keep record of Factory fee nts Corporation - 1948 sector ent of for number License (including State workers production - of schools) 3 steps establishme Residential covering (Average nts Proof: in the 1199 time for registered form of Director employees registration is Address/ 5-10 days) Proprietorship address 14. Commercial Commercial Regional Central Sales Revenue Land Applicable No Systems to Land details No 2006-07: No Fee taxes taxes Tax 1956, generation allotment only upon renewal record the processing 15990 Department - Bihar VAT Act letter in case commencem required number of fee 2005-06: State 2005, Bihar of BIADA ent of selling registration 46125 Entertainment land activity s and tax Act 1948, collected Bihar Tax on Registration Entry of of land in Goods in case of Local Area privately Act 1993, owned land Bihar Taxation of Luxuries in Hotels Act 1988, Advertisement Tax Act 1981, Bihar DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 91 Name of Pre- Fees issuing Territorial Allowed Validity/ Monitoring Fees & No. of S. Name of requisite No. of steps Documentation from authority & scope/ Legal basis activity/purp duration /tracking calculation licenses No. license clearances & time requirements new whether coverage ose (time) system method issued (if any) licenses central/state Electricity Duty Act 1948 15. Forest Forest Regional/ Forest Environment SIPB 9 steps Lease on Very few Project report, No No No Fee Department - National (Conservation protection approval including perpetuity applications total land processing published State ) Act 1980, state and for user , thus required, fee statistics. central rights negligible species-wise 35-40 Indian Wildlife approvals applications and diameter licenses (Protection) (average In case class-wise issued Act, 1972 time taken = forest land abstract of trees since 2003. 180-200 given for to be felled in Private days) mining the prescribed investors purposes, form, details of are usually lease as displacement of not allotted long as people due to forest land. the mining the project, Also, no lease (20- undertaking to forest land 30 years bear the cost of has been typically) raising and given for maintenance of mining for compensatory the past 3-4 afforestation years. S C A N B T FIAS W B G B L P E T B T A B T A S Allowed Name of activity/purpose Pre- Documentat Issuing Territorial No. of Validity/ Monitoring Fees & Fees from License Name of and whether requisite ion No. of licenses Authority & scope/ Legal Basis steps & Duration /Tracking calculation New No. License revenue raising is clearances requirement issued whether coverage time (time) system method licenses the primary (if any) s Central/State purpose? DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 92 Allowed Name of activity/purpose Pre- Documentat Issuing Territorial No. of Validity/ Monitoring Fees & Fees from License Name of and whether requisite ion No. of licenses Authority & scope/ Legal Basis steps & Duration /Tracking calculation New No. License revenue raising is clearances requirement issued whether coverage time (time) system method licenses the primary (if any) s Central/State purpose? 1. Sugarcane Cane Regional Bihar Sugarcane industry Distance For Catchment Constant For final area For Distance NA NA Department - Sugarcane regulation Certificate Distance area Monitoring reservations: Certificate: State (Regulation of certificate: revised through site map, Bank Supply and 7 steps every year Zonal cultivable guarantee of Purchase) Act (Average Developme area required Rs 1 Crore 1981 time taken nt Councils as per the 15-20 crushing days) capacity of the factory, For Cane area falling reservatio under which n orders: 6 block/district steps etc. 2. Drugs Drugs Regional Drugs & Safety Total 5 years No Layout of • Homeopat Statistics till NA Controller, Cosmetics steps= 6 factory, P&M hy-Rs.2500 date: Department of Rules 1945, (Time= requirement, • Non- Manufacturi Health typically technical biological- ng Units: Services - Drugs Price takes 30 manpower, Rs.7500 Allopathy: State Control Order days, but List of drugs • Biological- 240, 1995 depends to be Rs.10,000 Ayurvedic:2 on the manufacture 05, number of d, label of Homeopath articles each y:36, manufactu ingredient for Unani:23 red) each drug, certificate of manufacturin g chemist & analytical chemist, land details, form of firm ownership, list of analytical equipment, MOA & AOA DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 93 Allowed Name of activity/purpose Pre- Documentat Issuing Territorial No. of Validity/ Monitoring Fees & Fees from License Name of and whether requisite ion No. of licenses Authority & scope/ Legal Basis steps & Duration /Tracking calculation New No. License revenue raising is clearances requirement issued whether coverage time (time) system method licenses the primary (if any) s Central/State purpose? 3. Cold Horticulture Regional Cold Storage Cold storage Land For NOC: 1 calendar Proper Project Processing 2007: 9 NA Storage Department - Order, 1980, industry regulation allotment 3 steps year (Jan- tracking Report, fee for NOC 2002-06: 69 State promulgated letter in case (Average Dec) systems to financial and License under of BIADA time assess the details, land based on Essential land taken= 15- subsidy that details capacity of Commodities 20 days) needs to be the cold Act, 1955 Registration allocated storage of land in For State Order: case of License: 3 Bihar Cold privately steps Storage Order owned land (Average time taken = 4-5 days) 4. Mining Directorate of Regional Mines & Mining lease Forest NOC 6 steps 20-30 No Income tax Rs. 2000 – NA NA Mines, Mines in case of (Time: 1 years clearances, minor Department of Regulation & use of Forest year for previous minerals Mines & Development land major mining lease Rs. 5000 – Geology - Act 1957, minerals, clearance major State 120 days certificate, minerals Minerals for minor Location Concession minerals) Plan Rules, Bihar Mines & Minerals Concession Rules 1972 5. Food Health Regional Prevention of Regulation for food - 3 steps 5 years No No Processing 2007: 149 NA related Department - Food related industry (Average application documentati Fee: Rs. 100 (Only Patna State Adulteration time taken monitoring on required District) Act 1958 = 7 days) systems in place S C A N B T FIAS W B G B L P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 94 DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 95 I A P B T B A A G O S S K S B B S W C A T B B T A I D D I C SIPB D L C H P F SIPB T T F A F A S W S • Technical guidance 1 2 3 and information • Present application • Discussion of the • Communication of dissemination with to Industries proposal at the the in-principle respect to starting Department for SIPB meeting approvals/ reasons an industry at the submission to SIPB for rejection to investor from Meeting held on the Udyog Mitra, • Application Form for following Monday from the Within 7 days from Department of setting up new date of submission of the date of SIPB Industries industry - On completed form meeting website • Processing Fee = Rs 1000 P C D C U C O D I P C S DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 96 I I D Udyog Mitra – Industries Department W Established under the Societies Act 21, 1860, Udyog Mitra was formed in 2004 by dissolving and merging two societies – Industrial I D Data Bank & Single Window System. Initially, Industrial Data Bank was functioning since 1986 for proving industrial data/information. U M Single window too was functioning as a Cell of Department of Industries since 1986 for solving the problems of the investor. Since 2004, Udyog Mitra has become the Centre for Industrial Documentation and Information for Industrial Development and Promotional activities. It now provides secretarial support to Industries A department with respect to the single window system. Main functions are: U M • Being a promotional agency of the state. It regularly conducts investor presentations, seminars, meets, conferences etc. for showcasing Bihar as a potential investment location. • Provides technical guidance in the form of relevant project profiles and policy information to as many as 100 entrepreneurs every month, for setting up all kinds of industries • Consists of “Entrepreneur Assistance Cell� that advises S T I D G T R D SIPB M R I B I A I D L C D B SIPB C T G B A T E C H DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 97 T S W P M C SIPB H I B SIPB S A I D F D T D A D D D J D A A R D F R C S I A SIA F I R C R C R L D I C DIC 14 I B BIADA BIADA R SIA SIA D I P P M C I SIA I P R S I P I I E M IEM P A IEM P B P A IEM P A P B F A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 98 F A IEM P A P B 1 2 3 • Present Application • SIA checks • Issue of IEM (Industrial to SIA for issue of application subject Entrepreneurs Part A / Provisional to feasibility of Memorandum), Part A Registration proposal • Application Form A (6 copies) • Processing Fee = Rs.1000 (bank draft) for up to 10 items • Additional fee of Rs.250 for up to 10 additional items Typically allots IEM No. A on the same day if items are ≤10. Otherwise takes 2-3 days. 4 5 • After production Issue of IEM starts, investor Part B. applies for IEM Part P C B, to SIA • Application Form B D C • No processing Fee U C O D I Timeline for issuing IEM Part B is one day. P A T IEM P A SIA T o A F A o P A R F R S O IEM P A A IEM P A I IEM P A N A IEM T IEM P A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 99 U A I IEM P B T IEM P A IEM P B F IEM P B T o A F B o P N A IEM B IEM P B T V IEM P B H IEM A IEM P A B R DIC DIC MSMED A DIC T DIC SSI T P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 100 1 2 3 • Present • DIC check for • Allotment of application to DIC negative list Provisional for EM (Part 1) / (whether the Registration Provisional investor/output Number registration is in the black list of DIC) • Application Form I • Project proposal Typically takes 2-3 days after submission of complete application Allotment of 5 4 Permanent • Site Inspection • Present application Registration No. conducted by DIC for EM (Part 2)/ to verify all Permanent clearances registration received and start • Application P C of commercial Form 2 production D C • Copies of all clearances U C O D I Inspection takes place with 2-3 days Allotment of permanent registration number – 3-4 days. A DIC F A F A EM P P P C S A A DIC F I S DIC I A DIC T T V V W A I I DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 101 DIC U A A DIC A o C F II o C S DIC DIC A A T P F S T DIC P G M F M P M I E O E I A L B I A D A F B I A D A BIADA A SIPB B I A D A BIADA B I A D A BIADA I D C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 102 P A F A 1 2 3 4 5 • Present Application • Application checked • Approval from • Payment of 1st • Issue of Physical for land allotment for completion before Project Clearance Installment and Possession in industrial area submitted to Project Committee . submission of Order to BIADA Clearance Committee • Issue of Allotment Bond by investor • Issue of Letter on same Memorandum • Application Form = Rs 15 days day • First Part I (For Micro 100 Installment & SSI only) Meeting held • Processing Fee = Rs 500 = 30% of Within 30days twice a month for SSI/ Rs 1000 for land cost from allotment Medium & Large Within 15 days industries from allotment • Earnest Money Deposit = Rs 2000/acre Preparation Time taken by Investor = 15 days 9 8 7 6 • Issue of • Site inspection • Issue of Lease Deed • Layout approval Memorandum by Area Officer for 90 years from BIADA & Part II (for after intimation Factory of completion of • 70% payment over 10 Inspector * Micro & SSI) construction by years Within 30 Within 7 days of investor • Annual rent = Rs days after site inspection 1000/acre taking • Maintenance Charges = possession P C Lump-sum (5% of land of land cost) OR Annual payment D C (1% of land cost) U C *Please refer to section on After 50% investment Factories Dept for process Output issued by Department to of Promoter’s of Lay out approval within Investor contribution the dept F A L BIADA P C S A L T A R R R T • T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 103 • L • R • P • D R C ROC I R M A MOA A A AOA ROC • D • L • T T H A R T S O BIADA T S PCC A PCC Member Status Managing Director, BIADA Chairman Director, Industries Department Member Secretary, Bihar Pollution Control Board Member Member, Bihar Industries Association Member Executive Director, BIADA Member Member, CII Member Secretary, Electricity Board Member S BIADA E T PCC E SIPB PCC BIADA SIPB I T P T T A R BIADA DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 104 I P A O BIADA I BIADA BIADA F P A BIADA • S • MOA AOA ROC T M O L BIADA I BIADA F D F D A T L D BIADA D D I A C O BIADA T T O M R T M U I P B F BIADA BIADA DIC T BIADA T F DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 105 BIADA DIC SIA T M BIADA S S T P M D B T A P C B S P C B BSPCB T C G A A P C P A W P C P A E P A S B P C B A S W P C P A S A P C P A A E P A G I S E I A A SEIAA G I S B SEIAA A C A C B C B S W C A C B E I A EIA R E P R C B EIA A C A S C G M E F M EF E A C EAC C G C E DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 106 M C B S S E I A A SEIAA BSPCB C E T SEIAA S E A C SEAC I SEIAA SEAC C B C A M C B BSPCB G B P P CTE COO A COE COO F A F A P BSPCB 1 2 3 4 5 • Present Application • Report/ • Issue of Consent • Application • Site inspection to obtain CTE from Recommendations to Establish/ NOC checked for by a team Pollution Control completion usually headed submitted by the from Pollution Board Inspection team Control Board by Assistant • Application Form = Junior Rs 50 Engineer • Processing Fee = Slab wise based on quantum of investment As per Air Act max time allotted 120 days. BSPCB tries to clear in 45 days 6 9 8 7 • Present • Issue of Consent • Report/ • Site Application to to Operate from Recommendations inspection BSPCB for Pollution Control submitted by the by a team Consent to Board Inspection team Operate • Application Forms = 2 P C forms of Rs 50 each under Water and Air Act D C • Processing Fee = Slab wise U C based on scale of industry Output issued by Department to Investor As per Air Act max time allotted 120 days BSPCB tries to clear in 45 days P C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 107 A A CTE T BIADA P R BSPCB F Criteria Fees Less than Rs. 1 Lakh Rs. 1,000 Between Rs. 1 Lakh and Rs. 1 Crore Rs. 2,000 Between Rs. 1 Crore and Rs. 25 Crore Rs. 10,000 Above Rs. 25 Crore Rs. 20,000 S F N O C NOC BSPCB D S T M S BSPCB O S P A J E T A R B NOC T T F A F A P BSPCB Assistant Assistant Junior Junior Senior Member Junior Chairman Engineer Engineer Officer Officer Secretary Engineer Time period of 45-60 days involved I CTE I CTE T NOC I T A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 108 BSPCB U A O CTO T R A W A S T For form under Air (Prevention and For form under Water (Prevention Criteria Control of Pollution) Act, 1981 and Control of Pollution) Act, 1974 Small Industry Rs. 1000 Rs. 2000 Medium industry Rs. 6000 Rs. 5000 Large Industry Rs. 15,000 Rs. 10,000 S F CTO BSPCB S T M S BSPCB T S A R B I CTO T F D M C BSPCB E T CTO H S T A E S C B S E B T B S E B BSEB S E S A A S E A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 109 A I E A E S A E R C A S E A BSEB B E A BSEB S E A I L T I S LTIS T HP D P A C H T S HTS B S T VA V T VA V V P T F A F A P I II III IV • Application to • Survey of Load – • Sanction of load for • Extension Infrastructure BSEB for to check spare connection requirements are completed electricity capacity, prior • Investor is served an • Agreement for service connection dues, and estimate estimate of cost of connection executed deposit required extension works required & demand note for security • Deposit of security deposit with BSEB money • Payment of Extension costs 3 days – For complete application and no previous dues P C 30 days (Not Applicable if extension works are required or if D C prior dues exist) U C Output issued by Department to Investor DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 110 I F D • I S • T BSEB A • BSEB I I BSEB I T A E T A F Type Cost LTIS Rs. 100 HTS Rs. 200 S B E R C BERC T O FY II U • C • D BSEB III O P D DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 111 L HP W A E L HP VA E E L VA V S E L VA V C E A V C M BSEB IV T BSEB I I M D S A AOA A O H BSEB T T A E A H I A J E A E E BSEB R BSEB S J E A E E E T N LTIS Year No. of Consumers Energy Consumption (MU) Registered Effective 2003-04 (Actual) 64222 10613 119.27 2004-05 (Actual) 68098 15037 110 DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 112 Year No. of Consumers Energy Consumption (MU) Registered Effective 2005-06 (Estimated) - 15147 131 2006-07 (Projected) - 15257 161 HTS Year No. of Consumers Energy Consumption (MU) Registered Effective 2003-04 (Actual) 870 496 603.44 2004-05 (Actual) 1001 647 595.54 2005-06 (Estimated) - 653 662 2006-07 (Projected) - 658 772 S B E R C BERC T O FY T BSEB R C S BSEB S W BSEB E D S BSEB D I C BSEB M D E C S D GM C E A B E S E E E E A E E J E E A O O S A W L W R D T W R D I D T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 113 F A P I II III • After SIPB approval, • Request forwarded to • In case requirements Industries Department Chief Engineer to can be met, then sends project details check availability of support letter (NOC) and requirements for water and project along with conditions water to the Water details is issued Resources Dept If records available in Head Quarters then 3 days. Else Chief Engineer report takes 15- 21 days VII VI V • Agreement IV • Approval from • Terms of the Agreement are signed between • Local Officer Minister before finalized conducts investor and Final agreement • Min. charges determined Water inspection • Rate notified • Metering, effluent discharge Resources Dept based on volume and other conditions specified of water • Agreement vetted by Law Dept • Recommendations from P C Industries Dept D C U C Output issued by Department to Investor P T F A A NOC W R D I A A T W R D I D S E B P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 114 I A SIPB I D P S W R D D D T I NOC W R D I W R D A W R D B G II T P S C E CE I H CE III O NOC A NOC D O NOC D A W R D T A IV O V B T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 115 I D VI A M O M VII T W R D H NOC PCB P I D A B A Box A Investor Case Vikash Metal Power Limited %‹�ƒ•ŠÃ ‡–ƒŽÃ à ‘™‡”à ‹�‹–‡†Ã % à Šƒ†Ã ’”‘’‘•‡†Ã –‘à •‡–à —’à ƒÃ š à &à ‘™‡”à ”‘Œ‡…–à ƒ–à ҉—•ƒ”ƒ‹Ã ‹�à –Š‡Ã•–ƒ–‡Ã‘ˆÃŋŠƒ” Ã#Š‡Ã’”‘Œ‡…–Ô‡’‘”–ÃŽ‘�‰Ã™‹–ŠÃ”‡“—‡•–È‘”Ã’’”‘˜ƒŽÃ‘ˆÃ–Š‡Ã’”‘Œ‡…–Ùƒ•Ã•—„�‹––‡†Ã„›Ã%à –‘ÖŠ‡Ã�†—•–”‹‡•Ã†‡’ƒ”–�‡�–Ñ�à •–Ã�—ƒ”›Ã Ã#Š‡Ã’”‘’‘•‡†Ã’”‘Œ‡…–Ô‡…‡‹˜‡†Ã‹� ’”‹�…‹’ƒŽÃƒ’’”‘˜ƒŽÃ„›Ã –Š‡Ã"ÅÑ�à –ŠÃƒ”…ŠÃ Ãà à �à –ŠÃ ƒ”…ŠÃ à –Š‡Ã �†—•–”‹‡•Ã LJ’ƒ”–�‡�–à Šƒ†Ã ™”‹––‡�à –‘à –Š‡Ã &ƒ–‡”à !‡•‘—”…‡•Ã LJ’ƒ”–�‡�–à ˆ‘”à ‘„–ƒ‹�‹�‰Ã ‹–•Ã …‘��‡�–• ‘’‹�‹‘�à ‘�à –Š‡Ã ’”‘’‘•‡†Ã ’”‘Œ‡…– à ƒŽ‘�‰Ã ™‹–ŠÃ ƒÃ ˆ‘”™ƒ”†‡†Ã …‘’›Ã ‘ˆÃ % •Ã ”‡“—‡•–à Ž‡––‡”à †ƒ–‡†Ã •–à ƒ�—ƒ”›Ã à #Š‡Ã &ƒ–‡”à !‡•‘—”…‡•Ã LJ’ƒ”–�‡�–à ”‡’Ž‹‡†Ã –‘à –Š‡Ã •ƒ‹†Ã ”‡“—‡•–à ˆ‘”à …‘��‡�–• ‘’‹�‹‘�à ‘�à –ŠÃ ƒ”…ŠÃ à •–ƒ–‹�‰Ã –Šƒ–à „ƒ•‡†Ã ‘�à –Š‡Ã †‡–ƒ‹Ž•Ã ’”‡•‡�–à ‹�à –Š‡Ã ƒ––ƒ…Š‡†Ã Ž‡––‡”à ‘ˆÃ % Ã�‘Ã…–‹‘�ě֊‡Ã&ƒ–‡”Ã!‡•‘—”…‡•ÃLJ’ƒ”–�‡�–Ùƒ•Ãˆ‘—�†Ã�ƒ�†ƒ–‡† à à �à –ŠÃ ė‰—•–Ã à –Š‡Ã �†—•–”‹‡•Ã LJ’ƒ”–�‡�–à ™”‘–‡Ã –‘à –Š‡Ã &ƒ–‡”à !‡•‘—”…‡•Ã LJ’ƒ”–�‡�–à ƒ‰ƒ‹� à –Š‹•Ã –‹�‡Ã …Ž‡ƒ”Ž›Ã •–ƒ–‹�‰Ã –Šƒ–à –Š‡Ã ’”‘Œ‡…–à ™‘—Ž†Ã ”‡“—‹”‡Ã à …— � †ƒ›Ã ‘ˆÃ ™ƒ–‡” à ƒ•Ã •–ƒ–‡†Ã ‹�à –Š‡Ã ’”‘Œ‡…– •Ã ’Žƒ�à †‘…—�‡�– à #Š‡Ã &ƒ–‡”à !‡•‘—”…‡•Ã LJ’ƒ”–�‡�–à ™ƒ•Ã ƒ•�‡†Ã ‹ˆÃ –Š‡Ã •ƒ‹†Ã “—ƒ�–—�à ‘ˆÃ ™ƒ–‡”à …‘—Ž†Ã „‡Ã �ƒ†‡Ã ƒ˜ƒ‹Žƒ„Ž‡Ã„›Ã‹–È‘”ÖŠ‡Ã’”‘Œ‡…– à à �à ”†Ã ė‰—•–Ã à –Š‡Ã &ƒ–‡”à !‡•‘—”…‡•Ã LJ’ƒ”–�‡�–à ”‡’Ž‹‡†Ã –‘à –Š‡Ã �†—•–”‹‡•Ã LJ’ƒ”–�‡�– •Ã “—‡”› à •–ƒ–‹�‰Ã ‹–•Ã ‹� ’”‹�…‹’ƒŽÃ ƒ’’”‘˜ƒŽÃ ˆ‘”à Ž‹��ƒ‰‡Ã ‘ˆÃ à …— � †ƒ›Ã ‘ˆÃ ™ƒ–‡”à ˆ”‘�à !‹˜‡”à ƒ�‰ƒ à #Š‡Ã Ž‡––‡”à ƒŽ•‘à •’‡…‹ˆ‹‡†Ã–Šƒ–ÖŠ‡Ã‹� ’”‹�…‹’ƒŽÃƒ’’”‘˜ƒŽÃ™ƒ•Ã•—„Œ‡…–Ö‘ÖŠ‡Ãˆ‘ŽŽ‘™‹�‰Ã…‘�†‹–‹‘�• à o ƒ›�‡�–шÃ!• à ÃƔ‘”‡ ƒ��—�ěÃ%֑֊‡Ã&ƒ–‡”Ã!‡•‘—”…‡•ÃLJ’ƒ”–�‡�–à o ”‹‘”à ƒ’’”‘˜ƒŽÃ ˆ‘”à …‘�•–”—…–‹‘�à ‘ˆÃ †‡Ž‹˜‡”›Ã �‡…Šƒ�‹•�à –‘à „‡Ã ‘„–ƒ‹�‡†Ã ˆ”‘�à –Š‡Ã &ƒ–‡”à !‡•‘—”…‡•Ã LJ’ƒ”–�‡�–à o ƒ›�‡�–шÙƒ–‡”Ã…Šƒ”‰‡•Ãˆ‘”Ë�†—•–”‹ƒŽÃ—•‡Ãƒ•Ãˆ‹š‡†Ã„›Ã–Š‡ÃLJ’ƒ”–�‡�–à à 31 Jan’07 12 Mar’07 14 Mar’07 19 Mar’07 7 Aug’07 23 Aug’07 Request for SIPB 1st Letter WRD’s 2nd Letter In-principal Project Approval from ID to reply from ID to approval Approval WRD WRD stating from WRD water requirement for project à DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 116 A I B T I B L W B L R D T I B I B A IBA I B R IBR IBR S IBA T IBA A E C I R B I R R A I T I A C B B F II II A II B I A C I C A I A C I W T R W DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 117 T IBR I A IBR A J IBR I A A F IV S M C M T A F III B C M T A F III C C M T W C I W P Q C C A U F II I A C I D C T I A M I B F I R P T F A T E o F II F I I A o F III o V DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 118 O F A P • Submission of • Scrutiny and • Inspections by • Form II : Inspecting Authority’s manufacturing approval of Inspecting Authority Certificate of Inspection During drawings and other drawings and during various stages Construction & Form I : particulars to the particulars by of construction of Memorandum of Inspection Book Inspecting Authority Inspecting Authority boiler issued upon completion of construction • Prescribed fee as per boiler rating • Hydraulic test & • Inspector issues • Chief Inspector examination of • Application to the boiler registers the the boiler by Inspector for certificate to the boiler & orders boiler Inspector owner issue of certificate • Form V – Provisional registration by Inspector Order issued • Form I, II & III • Prescribed fee as per boiler rating 30 days B D U Output issued by Department to Investor O C I F I M P C I S A F V T C I T C I T C I T C I T A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 119 O T I B C I B I B T C I B C L N A F I T I L W B L R D T F I A F A B F R P W A M W A M B A E R A C L P R A B N H F A T F A T A I M R A A A H A T A P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 120 T F A F A P • Application to office • Upon inspection, • Approval of • Site Inspection of Chief Inspector application is sent plan by Chief by Factories of Factories for plan to Chief Inspector Inspector of Inspector approval of Factories Factories • Application = Form 1 as per Factories Act 1948 • Submission of • No Fee Certificate of Stability by investor 90 days • Present Application • Factory • Upon Inspection, for Registration of • Site License issued application is factory and grant of Inspection by Chief sent to Chief license to office of by Factories Factories Inspector of Chief Inspector of Inspector Inspector Factories Factpries • Application = Form 2 P C as per Factories Act 1948 D C • Processing Fee = Slab wise as per U C power capacity and Output issued by Department to number of workers Investor employed 30 days N C I F T O C I F F N • A • P o T o L o T T • D DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 121 • A • S S G C I F T O F I C I F T P A A N C I F F N T F N D I F C I F F A T F N C I T T F N C I F • T S A B C • C MOA AOA D • N F A • A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 122 T • A CTE S P C B W P C P A A P C P A • D A C I F D C I F I F I C I F F N T E D A F N I F T I R T C I • A F • H F J • A I I F A • H • S • W • W • E • A B M F N R F N DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 123 R F N O F N R F N R F N R F N I S T F I C I F C L T D C I F I F M I F C I F A L W A C I U T L W L R D B A B S C E A W C A P G A C L R A A P B A T U A I D A T A L W B B A F I L W T A P W A M W A M B A E R A C L P R A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 124 B S C E A R B S C E A F A R A F A T T T A S C E T A U A A L C C I S C A A W C A T N A T A L C C W C A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 125 P G A T A L C C A A A A P G A U A A C L R A A I A T L S F D P E R T • C • C T T A I A P B A T A A A T H T A A T U A U A A L C R T U T A I D A U A A L C C O O T L W L R D G B C L B DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 126 U C L J C L D C L L C T D C L S D C L M W A I J L C D L C A L C L S L E O T L E O M W A A D A M W A T C L G A L T M W A A F D C F D B N T N F S C O T F D C A F C A I W P A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 127 P S C G A T F A F A P 1 2 4 3 • After SIPB • Sent for • Approval • With comments, approval, present recommenda sent to Secretary, from Chief Application to the tions to Forest Dept, Bihar Minister Divisional Forest Conservator for Officer (DFO) forests and recommendations then to Nodal • Application Form Officer, Chief Wildlife If area is If area is A as per Forest Warden of more than less than Conservation Act 20 hectares 20 hectares 1980 Bihar • No Processing Fee 5 5 • Chief Conservator • Secretary, Forests, Regional Ministry of Office of the Environment & MOEF , GOI Forests , GOI 8 (Bhubaneshwar) 9 • Upon meeting the • After confirming conditions, user 7 compliance of agency requests • State Forest Dept 6 conditions, State State Forest Dept to conveys clearance • GOI conveys Forest Dept grants issue Phase II to user agency approval to Phase II clearance along with the Secretary, State conditions to be Forest Dept., Bihar P C met – Phase I clearance D C Total time taken = 180 days U C Output issued by Department to Investor P S A A SIPB D F O DFO F D B N SIPB A R F C R F A A T P I F A • P o S o M o C o J DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 128 o C o E • P • S T F • D o N o N S C S T o R • W E P A • U S Z S G • D S S O F D E F A A P C C F PCCF C C F F A F A J FOREST DEPARTMENT, BIHAR Divisional Secretary, User Conservator Nodal Conservator Forest Agency of Forests Officer/ PCCF of Forests Department Part I of Part II of Part III of Part IV of Part V of Form A Form A Form A Form A Form A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 129 B S F D B A B A Box A Case Study Process for Forest Clearance State Highway Project à LJ’‹…–‡†Ã „‡Ž‘™Ã ‹•Ã –Š‡Ã ’”‘…‡••Ã ƒ�†Ã –‹�‡Ž‹�‡Ã ˆ‘ŽŽ‘™‡†Ã ˆ‘”à ƒÃ "–ƒ–‡Ã ‹‰Š™ƒ›Ã ”‘Œ‡…–à ™‹–Š‹�à –Š‡Ã •–ƒ–‡Ã †‡’ƒ”–�‡�– à à FOREST CLEARANCE FOR A STATE HIGHWAY PROJECT 7’Dec’06 29’Oct’06 Query to Principal Chief Part III submitted by Conservator Forests Conservator along (PCCF) on the with site inspection recommendations report Oct’07 Nov’07 Dec’07 5’Oct’07 25’Oct’07 8’Nov’07 26’Nov’07 18’Dec’07 Application Part II Part IV Part IV certified by Application submitted by submitted by submitted by Principal Chief submitted investor as Divisional Nodal officer Conservator to Form A Part I Forest Officer Forests (PCCF) Secretary, (DFO) along with Forest recommendations Department 12’Dec’07 Reply by PCCF à #Š‡Ã ’”‘…‡••Ã ‘ˆÃ ƒ’’Ž‹…ƒ–‹‘�à ™ƒ•Ã ‹�‹–‹ƒ–‡†Ã „›Ã –Š‡Ã —•‡”à ƒ‰‡�…›Ã –Š”‘—‰ŠÃ •—„�‹••‹‘�à ‘ˆÃ –Š‡Ã ɑ”�à Äà ƒ”–à à ƒŽ‘�‰Ã ™‹–ŠÃ –Š‡Ã ˆ‘ŽŽ‘™‹�‰Ã †‘…—�‡�–•Ã à $�†‡”–ƒ�‹�‰Ã „›Ã —•‡”à ƒ‰‡�…›Ã –Šƒ–à ƒ�›Ã …‘•–à ‘ˆÃ ”ƒœ‹�‰Ã ƒ�†Ã �ƒ‹�–ƒ‹�‹�‰Ã…‘�’‡�•ƒ–‘”›Ãƒˆˆ‘”‡•–ƒ–‹‘�ÕهŽŽÃƒ•Ã…‘•–шÒ”‘–‡…–‹‘�Ã�†Ã”‡ ‰‡�‡”ƒ–‹‘�шՃˆ‡–›Ãœ‘�‡Ã‹•Ã ƒ•Ã ’‡”à "–ƒ–‡Ã ‘˜‡”��‡�–Õ…Š‡�‡ à ƒ’à à "…ƒŽ‡ à †‡–ƒ‹ŽÃ ‘ˆÃŠ‘™Ã �ƒ�›Ã–”‡‡•Ã …—–à ™Š‹…ŠÃ ‹•Ã •‹‰�‡†Ã „›Ã ÇÉà ƒ�†Ã —•‡”à ƒ‰‡�…› à ‘•–à –Š‹•Ã •—„�‹••‹‘� à •—„•‡“—‡�–à Ž‡˜‡Ž•Ã …‡”–‹ˆ›Ã –Š‡Ã ƒ’’Ž‹…ƒ–‹‘�à —�–‹ŽÃ –Š‡Ã ƒ’’Ž‹…ƒ–‹‘�à ‹•Ã •—„�‹––‡†Ã ˆ‘”à …‘��‡�–•Ã –‘à ÆÆÉ Ã ÆÆÉà –Š‡�à •‹‰�•Ã ƒ”–Ã à …‡”–‹ˆ›‹�‰Ã –Š‡Ã ƒ”‡ƒ à ˆ‘”‡•– T C M P G I A R O M E F M EF A S M EF G I DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 130 A G I P I T • L • N P NPV T R R • T S F D C o L o P • S • F C • I P W D S C O F D B P I G I A U F D P II S F D B P I P II T P II T S F T F A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 131 F A P 1 3 • Post this 2 4 • Present • Sent to approval, the • Sent to State • Final Application to National procedure is Wildlife Board Approval by Forest Wildlife Board same as that for headed by Supreme Department, headed by the Forest land Chief Minister Court Bihar Prime Minister and application is submitted to Divisional Forest officer P C D C U C Output issued by Department to Investor I B A S C O T P S W B C M T N W B P M T S C A F D B D F S F I NPV R H M V S T PCCF A PCCF C C F R CCF C F D C F D F O DFO A C F R F F G A F D F T M H A S U DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 132 I B D H G B F S B F S A T O I I I P A F A F A P 1 2 3 • Industry Department • Plan reviewed by • Approval of the forwards the the Fire Dept to construction application to Fire check compliance plan Department for with the standards approval of the construction plan Review, Inspection & Approval of Plan is done immediately after receiving enquiry from Industry Department P C D C U C O D I P S A T I I F A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 133 A T I A S E D T T C E A T B E A P O LOI E L T F A F A P 1 2 3 • Application to • Site inspection • LOI issued as an Excise conducted to assurance that Commissioner check License will for Letter of authenticity of eventually be Intent (LOI) details issued provided with application 15-20 days 7 6 5 4 • Separate Licenses • Collector sends • Site inspection • Present Application issued based on recommendations conducted by to District Collector manufacturing along with Excise officials for License activity inspection report to check informing that to HO veracity factory is ready for production and P C compliant as per conditions of LOI D C • Application Form as U C per Excise Act Output issued by Department to • Processing Fee = Investor Based on different licenses 30 days P A LOI T B E A LOI S E C B LOI LOI T N A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 134 • R • L • O MOA AOA • C • P P • T I C D H S T LOI I LOI U L I T LOI U A T D C LOI E L A B E A F L S L C S B S License Processing Fees Compounding/ Blending Rs 30,000 Bottling Rs 5000 Finished goods – for non duty paid goods Rs 30,000 Distribution Rs 150,000 S S E D B D • D • NOC BSPCB • C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 135 • C C C T D B T C I C O C C C D T E C T C O S E LOI U A C E S R B S E D I U B E A O T E L N S T J C D C A C E S E I S I A S I E C A C T D I B C T D I A C S T B VAT A B E A B T E G L A A B T L H A A T A B E D A U P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 136 A TIN W A C I TIN N A TIN T H TIN A C S T B VAT A B T E G L A TIN C TIN E T T TIN I TIN A E S I C T E S I ESI A T ESIC I F F A A R ESI F B ESI S • M • S C • T • P • E • D • M ESI M A • F P T ESI F A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 137 F A P ESI 1 2 3 • Present • Genuineness of • Issue of Coverage application to application checked Letter in Form C11 Department for within the as final registration registration under department ESI Act 1948 • Survey (Site inspection) • Form 01 as per Act conducted only in • No Processing Fee doubtful cases Typically takes 5-10 P C days D C U C O D I U A A S ESI A F N • R • R S T I F A F A C L F C T S T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 138 A E E T E E C N V A E E T I A B E E A A E E T T U A E E G S G M E E A W M D W M W M D A S W M A S W M E A T T W M D I T I A A R DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 139 P A W M F A F A P W M •W&M Department •Present Application •Approval by the W&M inspects the weighing to W&M Department Department machines for clearance •Immediately •Inspectors visit the dispatched after factory depending inspection •Application Form as per Act on the size of inputs costing Rs 5 Typically takes 2 to •No Processing Fee 3 days Submit a court affidavit mentioning start date of production, within 90 days of that specific production date Pre-Construction During Construction Upon completion of Construction Output issued by Department to Investor S A T W MD I o F F R T W M o A P I A T I T V T S A D W M T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 140 I A T R I V V P A R R T S • C S • J C D • D C D • A C • I F L I S C A I A S D T C D B B S R S P A R T D W I A R T S D A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 141 P A D C SIPB T C S S I SOI D C T C F A F A P 1 2 3 4 • Inform Cane • Application • SOI instructs • The distance Department about the sent to Survey investor to put between the intent to start sugar of India (SOI) pillars at pillars are industry at a specific - GoI designated places measured and location as an of the location of certified by application to obtain the site of the District C ollector Distance Certificate industry and then sent to SOI • Application Fees to SOI= Rs 30,000 7 6 5 • Industries Department issues • Report then sent • SOI measures the the Distance Certificate to by Cane distance between investor. Department to the pillars and then • This needs to be submitted Industries sends report to at the time of Provisional Department C ane C ommissioner registration with DIC/BIADA/SIA P C Total time taken = 15-20 days D C U C Output issued by Department to Investor A B SIPB C C D C T S SOI C D SOI A SOI I D C T C S I B G R DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 142 SOI I C C C C I D I D C DIC SIA T A SIPB C D NOC T F A F A P NOC 1 2 3 • Inform Cane • Industries • Cane Dept sends Department about Department sends recommendations the intent to start Project Report (NOC) to sugar industry. (submitted by Industries • Dept advises investor investor) to cane Department before for the suitability of Dept SIPB meeting investment 2-4 days 6 5 4 • Gazette • Public Hearing • Investor presents notification with concerned Application to informing parties for Cane Dept. for villages of the considering final reservation of final area objections for catchment area allotted reserving area P C D C U C Output issued by Department to Investor P I C D C D S F C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 143 P P R SIPB I D C D A S D NOC T NOC SIPB D A I C D T N P H A G T C C S T S T H M T J B H S T T D P S D S U S C C T R J C C A C C S C C O O S T D J D D D G D O P E O A D E P P C P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 144 O A C P O C E O C S L O P P I J R A A R O O S A D C D D C A D C R D P C O T U A C G D T A B C G S G A T T D M C M L P A F A F A P 1 2 3 4 • Application to • Scrutiny of • Date of inspection • Report sent to Drug Drug Controller application to detect informed to the Controller for Drugs License discrepancies investor department • Sent to Drug • Site inspection • Drugs License • Application Form 24 Inspector of the takes place to issued by Drug • Processing Fee district verify compliance Controller based on type of with documents drugs P C Typically takes 30 days but depends on the number of D C articles manufactured U C O D I U A T T D C C L A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 145 o A F F F A D C F H R N R B R o D L P M MOA AOA S T A I I T S M A L A D C D C L A T T B A Box A Case Study Son Oxygen Private Limited "‘�Ú›‰‡�Ô‹˜ƒ–‡Ã‹�‹–‡†ÃŠƒ†Ãƒ’’Ž‹‡†Ãˆ‘”ÃÃǔ—‰Ã‹…‡�•‡ ÃɑŽŽ‘™‹�‰Ã™‡”‡Ã–Š‡Ã–‹�‡Ž‹�‡•Ã‹�˜‘Ž˜‡†Ã‹�Ց—”…‹�‰Ã–Š‡ÃŽ‹…‡�•‡ à DRUG LICENSE FOR A SON OXYGEN PRIVATE LIMITED 20’Dec’02 Site inspection conducted by Drug Inspector of District Dec’02 Jan’03 Feb’03 12’Dec’02 12’Feb’03 Application Drug License submitted issued under Form 24 à �˜‡•–‘”Ã’’Ž‹‡†Ãˆ‘”ÃÆ”—‰ÃŽ‹…‡�•‡Ã‹�֊‡ÃĒ’Ž‹…ƒ–‹‘�Ãɑ”�à Α�‰Ã™‹–ŠÃƒ’’Ž‹…ƒ„Ž‡Ãˆ‡‡Ãƒ�†Ã•—’’‘”–‹�‰Ã†‘…—�‡�–•Ã•—…ŠÃƒ•Ã •‹–‡ÃŽƒ›Ã‘—–Ã’Žƒ� ÃÄà ÃÄÄ ÃŽ‹•–шÆ”—‰•Ã–‘à „‡Ã�ƒ�—ˆƒ…–—”‡† ΃�†Ã †‡–ƒ‹Ž•Ã‡–… Ã#Š‹•Ãˆ‹Ž‡Ã™ƒ•Ãˆ‘”™ƒ”†‡†Ã–‘ÖŠ‡Ã…‘�…‡”�‡†Ã Nj•–”‹…–à ǔ—‰•Ã �•’‡…–‘” Ã#Š‡Ã ‹�˜‡•–‘”Ùƒ•Ã ‹�–‹�ƒ–‡†Ãƒ„‘—–ÖŠ‡Ã †ƒ–‡Ã ‘ˆÃ ‹�•’‡…–‹‘� à ˆ‘ŽŽ‘™‹�‰Ã™Š‹…ŠÃ ‹�•’‡…–‹‘�à –‘‘�à ’Žƒ…‡ à �•’‡…–‘”à �‘–‹…‡†Ã …‡”–ƒ‹�à ƒ�‘�ƒŽ‹‡•Ã ‹�à –Š‡Ã ƒ…–—ƒŽÃ …‘�•–”—…–‹‘�à ™Š‹…ŠÃ ™‡”‡Ã �‘–à …‘�’Ž‹ƒ�–à ™‹–ŠÃ –Š‡Ã ’”‘˜‹•‹‘�•Ã ‘ˆÃ –Š‡Ã ą– à #Š‡Ã ‹�˜‡•–‘”à ™ƒ•Ã ƒ†˜‹•‡†Ã –‘à …Šƒ�‰‡Ã –Š‡Ã Žƒ›‘—–à ’Žƒ�à –‘à …‘�ˆ‘”�à ™‹–ŠÃ –Š‡Ã ą– à ɑŽŽ‘™‹�‰Ã –Š‹• à ƒ�‘–Š‡”à ‹�•’‡…–‹‘�à ™ƒ•Ã …‘�†—…–‡†Ã–‘Ã…‘�ˆ‹”�֊‡Ã…Šƒ�‰‡Ã‹�֊‡Ã…‘�•–”—…–‹‘� Ãɋ�ƒŽŽ› ֊‡Ãǔ—‰Ã‹…‡�•‡Ã™ƒ•Ã‹••—‡†Ãƒˆ–‡”à Ã�‘�–Š•Ã‘ˆÃƒ’’Ž‹…ƒ–‹‘� à C L I P M DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 146 S T A M D T D M T D C G A M M R D A M C R A B M M C R M M A G P A F A 1 2 • Present Application • Mining to Mining Department 3 • C learance from 4 Department for checks 5 Local Circle Officer • Recommendations issue of Mining application • Approval • If Rayati land then from the Collector lease in an subject to from identified location feasibility of N OC from concerned Cabinet proposal and home owners and • Application Form sufficiency of compensation will as per Act mineral deposits be given • Processing Fee = Flat Fee Rs 2000 6 for minor minerals • Lease is approved Total Time taken = 1 year for and license is major minerals and 120 days for sanctioned. minor minerals • Royalty charges specified P C D C U C O D I F A P DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 147 P A T D M G B F A F R D S M C A F D NOC A L C O I NOC R D M A C I A NOC T T A H D T H D B T T H D A T C S O E C A B C S O P A F A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 148 F A P 1 2 • Present application 3 • Site inspection to Divisional • NOC issued by conducted by Horticulture Officer Horticulture DHO (DHO) for NOC Department • Recommendations from Horticulture report sent by Department DHO to HO • Form 2 as per Act • Processing Fee based on capacity of the unit T 6 5 • License issued • Site Inspection 4 by Horticulture by DHO to verify • Present compliance compliance as report and request Department per Technical for License P C checklist D C • Processing Fee based on capacity of the U C unit O D I T P A T F DHO NOC D • D • F • L L License Fee for Construction (For Private cold Capacity storage units) (Rs.) Up-to 282 cubic meters 1500 Between 282-7000 cubic meters 6000 Between 7000-15000 cubic meters 10,000 Above 15000 cubic meters 15,000 S F H D S DHO B L DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 149 I I NOC B DHO NOC T NOC F R A C R DHO License Fee for Private cold storage Capacity units (Rs.) Up-to 282 cubic meters 1500 Between 282-7000 cubic meters 6000 Between 7000-15000 cubic meters 10,000 Above 15000 cubic meters 15,000 S F H D S DHO A B DHO H O I B DHO D H O P T L S T D D D DHO S H O H I P P S P P O V E W T A H D T T C A P F A A T S DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 150 P A F A F A P 1 3 2 • Present Application • Issue of Food • Site Inspection to Health License in case conducted by Department for compliance with all Food Inspector Food License standards • Application Form as per Prevention of Food Adulteration Act 1954 • Processing Fee = Rs 100 P C Typically takes 7 days D C U C O D I U A I S H D F L T P F A A AC R S B T I B A T T DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 151 A R I A L B I C IM CS WBI T A P R U P T N T T A P T N R U P T B T A T A T A T A B S. Name of License / Andhra Uttar Rajasthan Tamil Benchmark Comments No. Department Bihar Pradesh Pradesh (existing Nadu Time (existing (existing (existing time lines) (existing time lines) time time lines) time lines) lines) Provisional Provisional Provisional registration Registratio registration: (for 220 types n: 2-3 days Immediate Registration of of non- since its Business : polluting Permanent available Time limits at SIA Memorandum Small Scale registration online Same day / should be the (Part I) – Industries): : 7 days up to 3 days benchmarks at state 1. Provisional 3 days Same day Permanent in either level (e.g. DIC / Registration registration: case Industries Memorandum(Part Permanent 7 days Department) as well. II) – Permanent Registration(n Registration on-polluting small scale industries): 30 days • Before Allotment • • issue of of land / • Before Allotment shed in issue of Letter = industrial Allotment 30 days areas / Letter = • After industrial 15 days issue of estates: 7 • After Elimination of PCC 2. Land Allotment Physical days upto issue of and lay out Possessi 1000 sq. Physical approvals on Order m. Possessio but n Order before 21 days but before construct above constructi ion = 30 1000 sq. on = NIL days m. CFE: NOC: Site / 30-40 days For Category B1 Up to 45 Green – 7 1. For 29 types environme for both projects which days for 45 days for days of highly nt CTE and require EIA and can CTE / CTO CTE/ CTO Orange - polluting clearance CTO be handled at state 3. Pollution within State within 21 days industries: (including level, Bihar requires Pollution BSPCB Red – 45 120 days 30 days constitution of Control days 2. For time for SEIAA or SEAC to Board industries recommen avoid central govt. DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 152 S. Name of License / Andhra Uttar Rajasthan Tamil Benchmark Comments No. Department Bihar Pradesh Pradesh (existing Nadu Time (existing (existing (existing time lines) (existing time lines) time time lines) time lines) lines) CFO: other than dation from intervention Green – 7 (1.) and District days other than Collector): Orange - non- 90 days 21 days polluting Red – 45 SSIs: 30 CTE: 40 days days days For red Grant of category Consent: items: 60 1. For 29 types days of highly polluting CTO: 40 industries: days 120 days 2. For non- polluting SSIs: permanent registration includes consent. 3. For low- polluting medium and large industries other than (1.): 30 days Power Sanction of Issue of 15-20 days feasibility power load: feasibility and 30 days clearance: connectio 45-90 days ns: 7 days depending and 23 on the load days Issue of demand Up to 7 days for notice: 21- Up to 30 sanction of load, and 4. Electricity 30 days 120 days days up to 23 days for depending connection on the load Release of connection: 30-180 days depending on the load Permissio - n to draw water from NOC: 21 NOC: up to 5. Water rivers / - days 21 days public tanks: 30 days NOC: 15 NOC: 30 5 days Up to 7 6. Fire 2-3 days days days days Approval of Approval Approval prior Site Factory Approval of factory of factory to Clearance License: 30 factory plans: 90 plans: 7 construction for 29 days plans: 30 7. Factories - days days of factory hazardous days License: 30 building / use industries: License: 30 days Factory as a factory: 45 days days DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 153 S. Name of License / Andhra Uttar Rajasthan Tamil Benchmark Comments No. Department Bihar Pradesh Pradesh (existing Nadu Time (existing (existing (existing time lines) (existing time lines) time time lines) time lines) lines) License: 7 For non- days hazardous Approval of industries: 30 Factory days Plan: 50 For days hazardous and major Factory hazardous License: 15 industries: 60 days days Factory License: For non- hazardous industries: 30 days For hazardous and major hazardous industries: 60 days Registration as shop and commercial establishment : 30 days - - Provisional Order: 15 Grant of license is days post inspections at 8. Boilers 30 days 30 days various stages of Final construction Order: 45 days Permissio LOI: 30 days n for establish Excise ment of License: 30 distillery: days 30 days LOI: 15-20 License LOI: 15 days for days 10. State Excise16 Efficient processes License: 30 possessio License: 30 days n and use days of Rectified Spirit (RS) / Distilled Spirit (DS): 7 days - - No benchmark Weights & 11. 2-3 days time lines Measures available for other states - - Businesses face problems with Employee State respect to providing 12. Insurance social security to the unorganized sector in areas where ESIC DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 154 S. Name of License / Andhra Uttar Rajasthan Tamil Benchmark Comments No. Department Bihar Pradesh Pradesh (existing Nadu Time (existing (existing (existing time lines) (existing time lines) time time lines) time lines) lines) does not have coverage Commercial taxes VAT / Introduction 7 days for CST of unique issue of registratio Tax Payee each TIN 13. n: 7 days Identificatio under n No. for all several state level state acts acts - NOC: 60 Without days amendments to Central Acts there is 180-200 not much scope for 14. Forest N.A. days simplification of process or rationalization of time S IM CS R T A B S. Name of Bihar Andhra Uttar Pradesh Rajasthan Tamil Benchmark Comments No. License / (existing Pradesh Nadu Time Department time lines) - Reservation This has been Annual of cane area suggested so that renewal of should be on sugar mills take 1. Sugarcane cane long-term keen interest in reservation basis at least developmental orders for a period of work in area ten years allotted to them - NOC: 30 days Drug License: Drug License 45 days 2. Drugs 30 days 30 days (after establishment): 60 days 3. Cold Storage 25 days Abolished Abolished Abolished Abolished N.A. Abolition of license - No similar time 4. Mining Upto 1 year N.A. lines available for other states - Grant of Departments can License: 10 internally define a days time-limit within 5. Food related which such a license can be issued. S IM CS R A P O I B I N IM CS T T A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 155 T A B P O I Benchmark Frequency* S. Bihar Department (*except in case of Comments No. (existing frequency) specific complaints) INFRASTRUCTURE Land –Industrial Area Possibility of Joint 1. No fixed frequency Annual, random Development Authority Inspections with SPCB 2. Electricity Department No fixed frequency Annual Possibility of joint Water Resources inspections 3. Case to case basis Annual Department ENVIRONMENT Bihar State Pollution Possibility of Joint 4. Annual Annual, random Control Board Inspections with BIADA 5. Forest Department 3-4 per year 3-4 per year - TAX REGISTRATION 6. State Excise Department Annual Annual - Central Excise, Patna 7. Annual Annual - Commissionerate Commercial Taxes Only in case of 8. Rarely - Department irregularities observed LABOR WELDARE AND SAFETY 9. Labor Department Annual Employee Provident Fund 10. Annual Organization Employee State Insurance 11. Annual Corporation Annual, random / Self Joint Inspections Directorate of Employment certification 12. Annual & Training Once in 2 years to Department of Labor, twice a year 13. Employment and Training depending on the no. of employees Possibility of Joint Annual, random / Self 14. Factories Department At least 3 per year Inspections with Labor certification Department Department of Home 15. Random Annual, random Guards (Fire Inspector) 16. Controller of Explosives Annual Annual INDUSTRY SPECIFIC LICENSES / OTHERS 17. Cane Department Annual Annual 18. Mines Department Annual Annual Depending on boiler 19. Boilers Department Annual Once in 3-5 years technology 20. Health Department Annual Annual 21. Drugs Controller Annual Annual 22. Horticulture Board 3-4 per year Annual Department of Weights & 23. Annual Annual measures A R B I N IM CS T T A DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 156 T A B S. Bihar Return Benchmark Frequency Comments No. (existing frequency) 1. Inspector of Factories Annual, half yearly 2. Labor Department Annual Quarterly, Once in 2 3. Employment Exchange years Common, simplified Annual returns 4. Provident Fund office Monthly, Annual 5. ESI Department Half yearly half yearly, Annual 6. Apprentice Advisor Possibility of common 7. Pollution Control Board Annual Annual returns with factories and labor Director Statistics- 8. Monthly Monthly - Production return 9. Income tax annual Annual - 10. Central Excise Monthly Monthly - 11. State Excise Monthly, Annual Monthly, Annual - 12. Commercial Tax Quarterly, annual Quarterly, Annual - A C B P C A S I T S A ESIC F BIADA W C S E C D B I A D A T T A T A I A D A F AP B G State (State Bihar (Bihar Industrial Andhra Pradesh (Andhra Gujarat (Gujarat Industrial Industrial Area Development Pradesh Industrial Development Corporation) Development Authority) Infrastructure Corporation Authority) Ltd.) Criteria Based on size of industry Flat Fee Based on amount of land requirement DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 157 Processing Fee For medium & large industry Rs. 250 For 1-10,000 sq, mtrs = Rs. = Rs. 1000, 1000 For small industry = Rs. 500 For 10,000-50,000 sq, mtrs = Rs. 5000 Above 50,000 mtrs = Rs. 50,000 All types of Sheds, Housing Quarters, Commercial properties and other buildings = Rs. 2000 O A P G R R B S E S E S I B S E A S W S A O CAF I B R T N R R T G I E B NDEXT DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 158 A I D B T I T • S T T SIPB T SIPB I P P U G SIPB I I SIPB I P P • P T B A B I P P H • A C I D U M H M I G E DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 159 P • L W T • L I T T E T • B S M A A • M C SPIB T I SIPB B H • F T D T L T SIPB B A A I D DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 160 S N D N D I D M RKS I D C M M P D T D M RPS J D B I A D M G K E D A BIADA M I B A D O U M M RCR C E O B S P C B M SNR S BSPCB M V K P R B S E B BSEB M SK S E S E O M L D M R P M J C M A S D L C B D M K S C I B F D M S C S C I F R D M PK J D L A R L S E D M S J C M R S E I C D M BK S J C W R D M U S S C E C M V K S E M C M D M J S J S S D M R B S J S M SNL C O F D M S S S H D M S J D E S I M BK S A D E E M UP S A D M A S E D A M R P S D W M D M J P N D C M A K J J C M R N S F D M R R V A D G D I C DIC P M B N P G M D C M S D D S I A SIA M A M P R O I C M SKS M D S A C S S SIPB DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 161 C S S I I R C D B T F A T Application for setting up Sugar Industry Acquisition of Government land Registration for IEM (Part I) within a day Application for Application to move Distance Issue of Distance for Cabinet Certificate Certificate approval. Requires documents * Application Final Cabinet to SIPB approval SIPB SIPB CM Meeting Meeting Approval Preparation Time for Investor 0 7 15 21 25 26 85 90 120 In days * Documents : NOC Cane Department; NOC, Excise Department; NOC, Pollution Control Board; Sanction of power load P T B A C S B C DPR R L SIPB A SIPB T T DPR P M SIPB A R I D D MOA AOA L DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 162 D B R P A SIPB SIPB T T SIPB I A C A S C A I D C NOC C D NOC S E D NOC P C B D S C M M T A C M R C A D C T D C S I C D K C R C B G R S T A T D C IEM P A A G T T I D D K K N B D O P C O C M DPR P C C P BIADA R R P I C S I S I R C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 163 D B T F A A I S Application for setting up Iron & steel plant Application for water linkage Application for Factory Lay out approval Application for Load Sanctioned Electricity by Chairman - connection BSEB Load Application for Pollution Sanctioned by Clearance – EIA required GM -BSEB Registration for IEM (Part I) within 7 days Land Acquisition through private transaction SIPB Meeting Aug’05 Oct’05 Aug’06 Jan’07 Feb’07 June’07 Sep’07 Nov’07 Dec’07 Jan ’08 Pending approvals S • D SIPB A T • T E I A S SEAC A M EF NOC A • F J C S I I R C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 164 F • C BIADA H B M BIADA • T M • I I BIADA Q DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 165 A B B S W A B I P P M S M E D MSMED A A P C P A W P C P A E P A E A F A B F R I B A I B R C L R A A C N V A B E A S W M A S W M E A E S I A F C A I W P A B S R S P A D C R D P C O B M M C R P F A A L W M B D G T R AC A L P S N R S J C I I CII DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 166 L R S R S I C A C I I CII S R B R F E C S I S S T W B BERC T O FY D L G U M D I D H U M D I N R L R D G B B P I D I C DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 167 DRAFT FINAL REPORT Study on Regulating Enterprise Entry and Operations in Bihar: Towards Improved Implementation 168