24 Jun 2017  |   06:06am IST

Goa Inc split over CM’s decision to review projects cleared by IPB

The CM’s decision threw the cat amongst the pigeons. Since its inception, the IPB has given in-principle approval to a total of 151 projects, with reported investment of Rs 11,482.66 crore, creating an employment potential of 25,980 jobs. AJIT JOHN spoke to the Goan corporate elite to elicit their response to this move

AJIT JOHN

When Chief Minister Manohar Parrikar announced that he intended to take a look at some of the projects that were cleared by the IPB, speculation began as to the reason behind this move. Like many things in Goa, there was much discussion though not many were willing to come on record as to why this had happened. 

Businessmen in the State felt this was a move to pander to local sentiment which had expressed their displeasure at certain projects especially those in CRZ zones. 

A senior executive who follows developments in the State said “You have to remember, the CM is conscious of the opposition to some projects and with this move, he will win the applause of these people. Show me one politician who does not like the sound of applause and would like to be seen as one who listens to the people.”

Another person said the move was good but one had to question the timing of it given that the CM would be standing for elections very soon. He said “Nothing is ever simple in politics and the motivation behind the move may be something else all together though it would seem, he is planning to take a look at certain projects that had generated heat amongst the populace.” He however added that according to his sources the CM was looking at strengthening the IPB and wanted to ensure projects were not delayed unnecessarily.

Not everyone was off the record. Atrey Sawant, chairman CII Goa said “Industry will be happy with the review of the projects as it will help the industrialists to sort the issues that are still pending with the various departments. This review will help the industry to expedite the process of various permissions which one has to take from various departments as IPB will track the status of approvals which is expected to be time bound.” 

Nitin Kunkolienkar, President MAIT, erstwhile member of the IPB and one who was involved in the process to clear the projects said it was very good the CM was reviewing the status of the projects. 

Mr Kunkolienkar said “He spoke clearly about three aspects. One as Chairman of IPB, he is reviewing the status of the projects and will learn more about the  hiccups, gaps and importantly why the respective agencies who were suppose to approve and implement have failed to do so. He has to fulfill the existing IPB objective.  He has to build investor confidence which is very important. Also, the term of the IPB was over in September and in view of the rules framed under the IPB act the meeting that were held in October and December and more importantly the decisions have to be ratified.” The third point he said was there were five projects that needed to be relooked at in view of the new political dispensation and with the decision to make coconut the state tree projects like Maad which were on CRZ land would be relooked.

Mr Kunkolienkar went on to say that it was obvious during his tenure the IPB had a lot of issues due especially due to the poor support of the bureaucracy and it being a election yaer the general sentiment was different. 

He said “On the one side there was pressure to attract investments on the other hand political opponents were waiting to create distortions. Goa is a top tourism state. It is important the hospitality sector get a spread and hinterland and eco tourism was promoted. The backend system of IPB remained very weak and the sudden illness of the CEO had an impact on the working of the IPB. Except for one person down the line, the team given to IPB to support it was incompetent. There was no team to process things and there was pressure everyday on commitments made to parties for investments. There were a lot of investors lining up for tourism projects and the IPB had to act within its major limitations.”  

With regards to notified areas, he said the staff was not acquainted as to how to take decisions forward. This CM he said was a strongman who had the ability to get things done. It would be a golden time for the IPB and investors and once he approved a project, Mr Kunkolienkar said it would be in his own interest to ensure it happened. 

Mr Kunkolienkar ended by saying “The CM is very interested in making the IPB a success and he will push everyone.”     

Another senior executive who again did not want to come on record said there were projects like Vani Agro which entailed cutting of orchards which was untenable. MRF was also cutting coconut trees which had to be looked at. He said “A lot of projects I know for a fact were not taken up because they were very controversial projects in Cortalim, Mini Goa are absolute disasters but were cleared. I am happy the CM intends to look at these projects again but time will tell.”    

An executive said “there were instances I heard of people trying to sell cleared projects for a hefty premium which is crazy. This decision is good; it will give the CM an idea as to the shortcomings in the system and understand why certain projects are stuck.” 

The days ahead will show intent and execution and all the parties will hope it all works out fine.

IDhar UDHAR

Idhar Udhar