PANAJI
In a bid to enhance the ease of doing business in the State, the government has notified Goa Industrial Development Corporation's "Goa-IDC (Allotment, Transfer, and Sub-Lease Regulations), 2023".
The Corporation initiated the comprehensive reforms of the laws and regulations governing the functioning of Goa-IDC with an objective to align with the Goa Logistics and Warehousing Policy 2023 and Goa Industrial and Investment Policy 2022.
Minister for Industries Mauvin Godinho stated that the new Regulations 2023 is to promote sustainability and transparency in the process of plot allotment. The incentives introduced for women entrepreneurs, start-ups and sustainability initiatives, aim to create an enabling environment for businesses that champion inclusivity and environmental responsibility.
"The requirement for enterprises to submit a Commercial Operations certificate every two years, verified by a Chartered Accountant, is a proactive step aimed at enhancing our vigilance. This measure not only strengthens our ability to detect defunct units but also prevents any unauthorized sub-leases, ensuring the integrity of the allocated premises," he added, in a media statement issued.
Chairman, Goa-IDC Aleixo Reginaldo Lourenco went on to add that the new regulations emphasises on standardizing and simplifying all processes of plot allotment. "This strategic move is designed to enhance efficiency and clarity in the management of allocated plots. These measures collectively reflect a commitment to promoting equitable, sustainable and accountable industrial development within the state," he said.
The new Regulations introduce robust safeguards for the transfer of leasehold rights, aiming to prevent the speculative trading of unused land.
"In this proposed framework, transfer is only permissible after full construction and the acquisition of an occupancy certificate. The allottee is required to utilize a minimum of 30 percent of the plot area and settle all financial obligations, including Land Premium, Lease Rent, and any other dues payable to the Corporation, before being eligible for transfer," the rule explains adding, "the transfer of leasehold rights is positioned as a legitimate exit mechanism, particularly beneficial for distressed units. Under the proposed Regulations, it allows for the acquisition of leasehold rights by new investors, facilitating the creation of job opportunities in the state of Goa. To incentivize this process and promote a more dynamic industrial landscape, no transfer fee is imposed, provided that all transfer conditions are met. This approach not only encourages the exit of distressed units but also fosters the development of plug-and-play infrastructure for new industries."
To fortify the financial resilience of Goa-IDC, there are untapped revenue-generating avenues. The new regulations also include provisions to counter misuse of sub-leasing, stipulating that individuals completely sub-leasing built-up areas without engaging in any industrial activity will be disqualified from further plot allotments. These measures collectively ensure a balanced and accountable approach to industrial development within the state of Goa.
"The anticipated impact of the new regulations is geared towards fostering investment in Goa while simultaneously streamlining administrative processes and alleviating documentation burdens for industrial units," the minister said.
