labels: industry - general, economy - general
Government shifts burden of rehabilitation to SEZ developernews
23 March 2007

Mumbai: Close on the heels of the deaths in police firing in Nandigram, the centre has announced changes in rules for special economic zones (SEZs) and made developers solely responsible for rehabilitation of displaced persons.

The commerce ministry, which is the nodal agency for approving SEZs, has announced the changes ahead of the finalisation of a rehabilitation policy being worked out by the ministry of rural development.

"The developer (of special economic zones) shall make adequate provision for rehabilitation of the displaced persons as per the relief and rehabilitation policy of the state government," a commerce ministry notification said.

The notification also announced that the validity for 'in-principle' approval has been reduced from three years to one year.

The validity for formal approval, however, remains three years because land possession is essential for getting the final nod from the Board of Approval in the commerce ministry.

The developer will have to show it possesses irrevocable rights over the land.

The announcement also coincides the planned meeting of leaders of UPA as well as the Left parties at the prime minister's residence.

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Government shifts burden of rehabilitation to SEZ developer