State plans to draw up own norms for SEZ ...as reported in Eco Times 16 Jul 2008 pg 3

Our Political Bureau MUMBAI

THREE years after proposing the idea, the Maharashtra government will finally introduce its own SEZ Act during the monsoon session of the state legislature beginning Wednesday. Chief minister Vilasrao Deshmukh said the central government had permitted the state to come out with its SEZ Act. Mr Deshmukh, however, refused to divulge the details.

The state government had planned to offer incentives and concessions to SEZ developers other than those proposed under the Centre's SEZ Act. For instance, the state, which at the last count had around 152 SEZs proposals (notified and approved in principle or formally), is learnt to have proposed further relaxation in the labour laws. "But this proposal has been rejected by the Centre," said one official requesting anonymity.

The chief minister, who was briefing media on the eve of the monsoon session, hinted at a stormy session with the Opposition likely to corner the government on the issues of drought, farm debt-waiver, and political issues like revenue minister Narayan Rane's alleged involvement in the Sahar village land case.

"The Opposition seems to be in a state of confusion. Last year, they attended the customary tea party even when the issues like farm suicides, load shedding, and deterioration of law and order were there. This year, they have refused to have tea with the government on the pretext that these issues still remain burning. I don't' understand this," Mr Deshmukh said.

The CM ridiculed MNS chief Raj Thackeray for raising a hue and cry over the issue of Marathi in schools and Marathi nameplates at shops and business establishments. "He is raising trivial matters as if there no real issues left," Mr Deshmukh remarked. Asked if the state approved of the MNS move to write letters to English medium schools asking them to make teaching of Marathi mandatory, he said that the MNS was not authorised to do so.

No housing regulator for now

The state government may not push for the passage of a bill that seeks to appoint a housing sector regulatory commission during the monsoon session. The bill was introduced during the budget session.

Maharashtra is the only state which has proposed a housing sector regulator which will have quasi-judicial powers. Chief minister Vilasrao Deshmukh himself indicated this when he clarified on Tuesday that developers had some issues about the proposal which the state would like to address.

"Some developers have raised queries about certain sections of the Act. They have expressed fears that the act could be very harsh on some counts. We have called them for discussions as we favour an extensive debate over this proposal before it is finally converted into an act," Mr Deshmukh said.

The government, however, is likely to introduce a revised bill enabling the Brihanmumbai Municipal Corporation (BMC) to shift to capital value system of property tax from the existing rateable value system. The bill was introduced in 2007. But, following objections raised by opposition as well as ruling party legislators from Mumbai, the bill was referred to a joint select committee. Minister for parliamentary affairs Harshvardhan Patil said the committee had approved the bill and could be re-introduced during the monsoon session.