Delays in Pollution Board Clearances Stifle Small Industries in Jammu

The small industries in Jammu are facing delays in getting clearance and renewal certificates from the Pollution Board to establish or operate the orange and red category industries. The renewal of the files of the existing units are also pending due to which they are have repercussions on getting incentives but also on getting their limits with the banks renewed.

In this regard, the apex industry body of the region, Bari Brahmana Industries Association (BBIA) has sought urgent intervention of Lt Governor of Jammu & Kashmir Manoj Sinha.

BBIA Urgently Appeals to Lt Governor for Intervention in Delayed Clearances

In this regard, BBIA also called an urgent meeting with its members to discuss the matter.

The industries in Jammu & Kashmir get several types of incentives from the central government. To get the incentives, the industries need to have the Clearance Certificate from the Pollution Control Board. The certificate is also mandatory for the renewal of limits and loans from the banks.

Incentives for Industries Hinge on Pollution Control Board's Clearance Certificates

Talking to TICE News, Mr Lalit Mahajan, Chairman, BBIA, said, “The industries whose renewals of the pollution certificates are pending, are unable to get the incentives. The Chairman of the Pollution Control Committee retired in April. Since then, the new Chairman has not been appointed. Th existing units are even not able to get their bank limits renewed.”

BBIA held the meeting under the Chairmanship of its President Lalit Mahajan. The other senior members of BBIA including Tarun Singla, Senior Vice President; Ajay Langer, Vice President; Viraaj Malhotra, General Secretary; Rajesh Jain, Secretary and Vivek Singhal, Treasurer BBIA along with other members of Association attended the meeting. 

Delays in Issuing Environmental Consents is Hindering Industrial Development

In a recent meeting, members expressed serious concerns over the growing backlog of files in the Office of the Chairman of the Pollution Control Committee. These files pertain to the issuance of Consent to Establish/Operate for industrial units falling under the Orange/Red Category. The delays are primarily attributed to the vacant post of Chairman, following the retirement of the previous Chairman on April 30, 2023, BBIA said.

The accumulation of these files has raised significant alarm among the industries in the region. The backlog dates back to May 1, 2023, and continues to grow, impeding the progress of industrial activities. Of particular importance is the fact that without a valid Consent to Establish, prospective investors are unable to register under the National Clean and Sustainable Scheme (NCSS) 2021. This delay in registration on the portal is directly linked to the absence of necessary documentation, hindering potential investments and causing distress among unit holders.

BBIA said, “Despite efforts to address the issue, no concrete actions have been taken thus far, the industrialists in the region said. The matter was brought to the attention of the Forest Department, but no substantial steps have been taken to resolve the situation. Consequently, unit holders are experiencing severe hardships and are left to bear the brunt of the situation.”

Backlog of Files in Chairman's Office Hinders Industrial Development

The files related to these renewals are also pending in the Office of the Chairman. The absence of valid consent poses additional challenges for unit holders who are seeking to renew their bank limits. In order to secure the renewal, a Pollution Control Valid Consent to Operate is among the necessary documents required, BBIA added. 

The lack of this essential document has left unit holders unable to apply for the renewal of bank limits, consequently preventing them from claiming fiscal incentives under the package of incentives provided by the Union Territory/Central Government.

BBIA Calls for Delegation of Clearance Power in Chairman's Absence

Suggesting an alternative to resolve the problem, Mr Mahajan said, “In the absence of the Chairman, the power to give clearance should be delegated to Member Secretary of the Committee for the issuance of Consent to Establish/Operate for early disposal of files and the approval of the Chairman should be mandatory for the issuance of Red Category Consent to Establish/Operate.

He highlighted that, “Control Valid Consent to operate is one of the requisite Document for the Renewal of Bank Limits resulting the Unit Holders are not in a position to apply for claiming Fiscal Incentives under the UT/Central Government package of Incentives.”

BBIA said, “The delays in processing these files have not only caused frustration but also have severe implications for the industrial sector. The inability to obtain necessary consents has hindered new investments and growth prospects for industrial units. Moreover, existing unit holders face financial constraints due to their inability to renew bank limits, thereby losing out on the fiscal incentives offered by the government.”