Momentum Jharkhand Investors Summit 2017

Momentum Jharkhand

Global Investors Summit 2017.

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Red tape to Red Carpet: Ease of Doing Business reforms in Jharkhand

In its thrust to facilitate investment and increase investor convenience, Government of Jharkhand is taking multiple initiatives to improve Ease of Doing Business in the state. The emphasis has been not only on strengthening standard operating procedures but also on simplification of procedures and introduction of information technology to make government facilitation of businesses more efficient and effective.

In a very short period after starting the reforms in the state, Government of Jharkhand has made an impact through its investor-friendly initiatives. The state was ranked amongst top states, with compliance score of 96.57% of business reforms prescribed by Department of Industrial Policy and Promotion, Government of India and World Bank.

Jharkhand Ease of Doing Business model:

Prime Objective of Ease of Doing Business:

  • Investor Facilitation for Time bound approvals
  • Transparency in process of seeking approvals
  • All information available in public domain
  • Online application – online payments – online approvals – certificate
  • Offline services being made online at the earliest
  • No Surprise inspections are done without the approval of Head of the Department

Reforms are being done with the objective of ‘Ease of Doing Business as state’s responsibility. Thus state has gone beyond DIPP points. Thus following is also being implanted:

  • Sector specific services are also being made online
  • Once a service is online, it goes into ‘only online’ mode in shortest time period.

‘Single Sign on’ was introduced the concept of, first time in India to integrate websites through a common login. 37 Services of 10 departments have been integrated with Jharkhand Single Window.

Highlights of Ease of Doing Business:

Single Window related

  • 37 Services of 10 departments have been integrated with Jharkhand Single Window
  • Interactive system to identify approvals required for starting a business

Commercial Tax related

  • VAT Tax registration certificate issued in 1 working day of application
  • Professional Tax registration certificate issued 1 working day of application
  • VAT refund reduced to 60 days from 90 days
  • Single ID implemented for all state taxes

Electric connection related

  • Electric connection is now made available in 15 days from 125 days

Labour Dept. related

  • Online grant of Factory Licence and renewals can be issued for up to 10 years
  • Small Shops and Establishments up to 10 workers exempted from filing returns
  • Online system for grant of Registration and Renewal for Boilers
  • Third Party Auditors allowed to audit interested firms under all labour laws including Factories Act

Pollution Control related

  • Validity of CTE has been set for minimum of 5 years for industries requiring forest and environment clearance from earlier provision of 6 months, thus reducing renewals
  • Provision for Auto renewal of CTE and CTO has been made by Pollution Control Board
  • Exemption of select green industries from pollution control board clearances

Water allocation

  • Industrial Water allocation approval time limit reduced to 30 days
  • Diversion of Nala/ Natural stream approval time limit reduced within 30 days

Building Plan related

  • Timeline for Building Plan Approval is 60 days. Earlier it was not defined.
  • Software evaluates a building plan with no human intervention

Inspection reforms across Dept.

  • Submission of inspection reports online within 48 hours by Department officials for Labour Dept, Pollution Control Board, Building Plan Approval, Forest Dept.
  • Online Inspection module for ‘Risk based inspection’ by Urban Dept, Labpour Dept, Pollution Control Board, Commercial Taxes and Transit Permit for Tree
  • Single Joint Site Inspection by relevant authorities for Construction permit approval, approvals under Labour law