CAPT AMARINDER LAUNCHES KEY MSME REFORMS

Chandigarh: Chief Minister Captain Amarinder Singh launched a fresh wave of reforms to further reduce the regulatory burden on MSMEs through rationalisation, digitalisation and decriminalisation of the regulatory landscape, thus enabling entrepreneurs to focus on expanding their operations in a predictable business environment during this Covid-19 pandemic. The reforms on removing imprisonment terms, building flexibility […]

by Anil Bhardwaj - April 16, 2021, 7:39 am

Chandigarh: Chief Minister Captain Amarinder Singh launched a fresh wave of reforms to further reduce the regulatory burden on MSMEs through rationalisation, digitalisation and decriminalisation of the regulatory landscape, thus enabling entrepreneurs to focus on expanding their operations in a predictable business environment during this Covid-19 pandemic. The reforms on removing imprisonment terms, building flexibility and reducing oversight in the labour rules, and pursuing a data-driven assessment of service delivery delays are all centred around making entrepreneurship easier in Punjab, said the Chief Minister.

Terming it the beginning of the state’s transformation journey, he said with these reforms, commitments had been set for future changes including rationalising trade license with shops and establishments act and removing imprisonment terms from 100 low-risk provisions in non-labour related rules. Besides, the Chief Minister announced that the number of labour registers will be reduced, requiring an entrepreneur to maintain from 60 to less than 14, and flexibility enhanced in hiring women employees. Discretionary powers of inspectors are being removed with regard to deductions related to the absence or leave which will be deduced from labour registers going forward. These changes will be incorporated in the new State Rules.

Further, to ensure timely delivery of key licenses and permits, as prescribed under the Transparency Act 2018, Government has begun a monthly data-driven assessment mechanism under the Chief Secretary to make sure not a single license or permit is delayed beyond the stipulated period. Going forward, it is also proposed to reduce the number of Pre-commissioning licenses & NOCs to start a business by at least 20% and the possibility of doing this entirely online being explored. Also, changes will be made in Land Use for starting new business and mechanisms will be developed for timely and hassle-free water, electricity and sewage connections. “These reforms are the start of a journey, and we hope to make Punjab a lighthouse State for MSME growth support,” he said, adding, “We have listened to entrepreneurs on the ground and we will continue to reduce the compliance burden to start, operate, and grow a business.”