10 Dec 2017  |   06:26am IST

Withdrawing of approvals to big ticket projects indictment on IPBs previous functioning

The decision of the Parrikar government to withdraw in principle approvals given to 17 proposals by the Investment Promotion Board is not only an indictment of the previous Parsekar government, but a clear indication of the haphazard manner in which IPB gave approvals in the previous regime. It appropriated to itself absolutely sweeping powers under the act, whereby the approver, the IPB and the project proponent assumed the in principle approval, as the last word on the project. Therefore the decision of the Parrikar-chaired IPB is not just timely, but a very important aspect of the streamlining and cleaning of the IPB.

What assumes significance is that the in principle approval has been withdrawn from very big ticket projects backed to the hilt by the previous government. They include the GTDC’s ropeway project from Panjim-Reis Magos, falling under the Coastal Regulation Zone (CRZ) areas and the two marina projects proposed at Sancoale in Mormugao by Yacht Heaven Pvt Ltd and one at Nauxi village in North. The Mini India Park proposed at Quelossim, which was initially rejected by the Goa Coastal Zone Management Authority (GCZMA) has also lost its in-principle approval. Herald incidentally has reported extensively on people’s opposition to each of these projects for various reasons. The in-principle withdrawal further proves that the fundamentals of these projects were not on solid ground.

The decision to not grant any approvals to projects in CRZ areas is surely commendable. But it is also important to note that it took a Chief Minister to actually state what is obvious, which necessarily meant that the previous government was carrying out approvals which were not good in law. The IPB previously clearly misused its powers under Section 8 of the IPB act. The projects were granted in-principle approval by the Board and had recommended that the CRZ area – falling within 200-500 meters of high tide line (HTL) – to be declared as Investment Promotion Areas. But Section 8 of the Goa Investment Promotion Act 2014 does not empower the Board to grant permissions in CRZ areas.

Now, with these proposals going through Directorate of Industries, Trade and Commerce to the State Government for decision, the efficacy of the IPB is under a cloud.

Meanwhile the other projects, whose approvals have been withdrawn, are all those which have been walking the fine line between what is strictly legal and what is not. They include nine five-star and eco-resorts and floating jetty in River Mandovi.

 As we have reported, the IPB has granted in-principle approvals to nearly 160 projects. Of which, government has handed over 13 projects with a total investment of Rs 1308.42 crore, approved by IPB to Satellite Consultant for examination.

These decisions, and the government move to look at these projects directly, prompts the big ask, has the IPB really served its objective and if not, can’t the state handle under the agesis of an investment promotions department, without the absolutely sweeping powers that the IPB appears to have over many land acts?

 As a part of the same exercise, which Mr Parrikar has begun well, the government needs to re-look at the Vani Agro beer and spirits project in Amdai in Sanguem, a red category industry which was fast tracked. This too should be reexamined from all aspects including the genuine concerns of the locals.

The silver lining here is that projects which the common people have objected to are coming under some sort of scanner. That augurs well.

IDhar UDHAR

Iddhar Udhar