The Madhya Pradesh Udyog Ki Sthapna Evam Parichalan Ka Saralikaran Adhyadesh, 2023

Posted On - 27 February, 2023 • By - King Stubb & Kasiva

The Governor of Madhya Pradesh has issued an Ordinance to provide for exemption from obtaining specified approvals and inspections for establishing and operating industrial units in Madhya Pradesh under 21 laws, including the Factories Act, 1948, the Contract Labour (Regulation & Abolition) Act, 1970, the Minimum Wages Act, 1948, the Payment of Wages Act, 1936, the Employees’ State Insurance Act, 1948, the Payment of Bonus Act, 1965, the Payment of Gratuity Act, 1972, the Madhya Pradesh Shops and Establishments Act, 1958, the Legal Metrology Act, 2009, the Madhya Pradesh Municipal Corporation Act, 1956, the Environment (Protection) Act, 1986, etc. The Ordinance shall come into force on such date as the State Government may, by notification in the Official Gazette, appoint.

As per the Ordinance, Madhya Pradesh Industrial Development Corporation Limited shall be the Nodal Agency, unless otherwise notified by the State government; and shall assist and facilitate the establishment of industrial units in the notified areas. Any person who intends to start an industrial unit in a notified area may furnish to the Nodal Agency an intention to invest in such form and manner as may be prescribed, basis which the Nodal Agency may issue an Acknowledgement Certificate in the prescribed form.

An Acknowledgement Certificate so issued, shall have the effect of approval for a period of three years from the date of its issuance, provided that the industrial unit uses the land as per the layout plan approved by the competent authority or the development plan notified under the Madhya Pradesh Nagar Tatha Gram Nivesh Adhuniyam, 1973 where applicable.  However, industrial units commencing commercial operations prior to the expiry of three years shall be required to obtain all the necessary approvals before the commencement of commercial operations. Further, the inspection of the industrial unit shall be carried out only when it applies for approvals prior to the commencement of commercial operation or after the expiry of three years from the date of issuance of the Acknowledgement Certificate.