Tuesday, 11 July 2017

Maharashtra reduces registration, permit time for ease of doing business

A year after the landmark concept of ease of doing business was introduced at the World Bank’s instance, the Devendra Fadnavis-led government has drastically shortened the period for property and sales tax registration, electricity connection and construction permits to start a business.

A battery of top bureaucrats led by the chief secretary made a PowerPoint presentation before the World Bank team in the presence of the chief minister on steps the state has taken to end procedural wrangles and red tape in key sectors.

"Last year, our performance was not up to the mark. As a result, our ranking was very low. Now, we have brought in changes and cut registration time drastically. In addition, we have submitted physical data before the World Bank team for verification. Now, we are better placed in terms of performance," a senior bureaucrat told TOI.
The bureaucrat said the state submitted data on 21 power connections in Mumbai with 100 kva to 150 kva load. The average time taken for providing the connections was nine days and only two documents were required—identify and occupancy proofs. All applications were to be submitted online.

For registration under the Shops & Establishments Act, the bureaucrat said the procedures have been reduced to one from two and the total time reduced to half a day from four to eight days earlier. The entire process is online, including payment. All physical touch points have been eliminated, including inspection before issue of certificates. "We received 65,535 applications, of which 60,584 have been approved and 4,951 are rejected. All completed applications were approved within a single working day," he said.

Procedures for construction permits have been reduced to eight from 42 and total time taken for all approvals during the construction cycle to less than 60 days from 164. "We have introduced a single-window clearance system, including for building plan and plinth approval, completion and occupancy certificates, and a common application form. There is no need to apply or follow up with various departments for NOCs or approvals."

Elaborating on the impact of reforms, the bureaucrat said between June 1, 2016, and May 31, 2017, the BMC received 3,157 plans, of which 1,923 were approved, 834 rejected, 251 amended and 148 are under process. "The average time taken for approval during the past one year was 17.6 days. In the past six months, 48 building plans were approved within seven days," he said.

On registration of properties in Mumbai, the bureaucrat said the number of procedures has been reduced to six from seven. Total time taken for all procedures to register a property has been reduced to 22.5 days from 45.5. Records of rights and title deeds are available online. Cost associated with registering property has been reduced to Rs 30,405 from Rs 51,800. Besides, dispute resolution must be completed within four months.

The period for registration of value-added tax has been reduced to one day from 10 and the cost to Rs 500 from Rs 525. Professional tax registration must be done the same day from two days earlier, since the procedure has been merged with VAT. "Reforms undertaken by the Fadnavis government will go a long way in improving the state’s ranking," said the bureaucrat.

Read all such Property News at CREDAI MCHI – Thane Unit website.







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