The race towards development has been on for a while. All the states have been involved with various degrees of enthusiasm. If Andhra Pradesh and Gujarat are the gold stars in terms of competence, policy and political gumption with regards to encouraging investments, Goa was 19 out of 31 states in 2015 but then dropped to 21 in 2016.
Was it an apt indicator of the state of affairs with regards to attracting investments? The recently released report compiled by the Goa Institute of Management and GCCI was to analyze the implementation of business reform action plans in the State, analyze the reason behind the low rank, recommend steps to improve the implementation of the Business Reform Action Plan (BRAP) and improve the ease of doing business in the State.
The state had set up the Investment Promotion Board and through its working it has 150 projects in its kitty valued at Rs 11498 crore and which promised to provide employment to 25,425 Goans which was a very important aspect behind the clearance of these projects. 25 projects have been completed of which some are expansions. These projects totaled Rs 652 crore of investments and guaranteed employment to 1700 odd people.
So far in terms of sectors the IPB has cleared 9 Eco tourism projects, 5 in education, 36 in hospitality, 32 industrial expansions, 52 new industries, 2 marinas, 2 industrial warehouses, one mall and one amalgamation. The board also refused to allow projects that revolved around steel production and those on Khazan lands to go ahead. In addition 10 projects closed with promoters either dying or not responding to messages. The next meeting of the IPB will be held in July.
In the state, there are some realities one has to accept. Barring the pollution control board to some extent, most departments or units do not score high on the automation front. In terms of digitization there is a large gap between the Central govt offices and the State govt offices. The report suggested the government take up centralized workflow automation urgently. It also recommended that the government reconstitute the IPB as a single authority by amending the relevant statues. This authority would have a senior, experienced and professional team who would have the powers to vet proposals and ask other state authorities to approve or reject from their respective functional perspectives within a defined time frame. It should be a one stop shop and the only point of contact.
In Goa, land is a very emotive issue, the report advised that the chief executive of the GIDC be a professional with well articulated authority and responsibility. The process has to be streamlined and the motto made transparent. Ensure automation of the operations and put in place a mechanism for a through audit of individual industrial estates every year. With regards to policy formulations, the report suggested the setting up of standing committee with industry representation. Set up a review committee with industry representation. Redraw regulation making it consultative and interactive and conduct a holistic review of all existing laws and regulations to consolidate and simplify as much as possible. Set timelines for every action, response, approval by government authorities, impose pecuniary penalties on officers who fail to act on time. With regards automation, the report advised as single workflow automation solution for functions of various departments. With regards power, it advised that the state ensure quality power and pare down the process to those absolute necessary and make them transparent. With regards grievance redressal, it advised the appointment of an Ombudsman and institutionalise administrative reforms. These are some of the recommendations made by the report.
It remains to be seen if they will be implemented and ensure that Goa moves up the attractiveness ladder. Time will tell.
