When it comes to going big in business lifelines like availability of land for industries, provisioning of an objective land allotment policy and effective rolling out of the single window system (SWS), which serve as an interface between bureaucracy and investors and meant to cut red-tapism and discretion, Odisha is yet to evolve a comparatively sound reform platform vis-a-vis lead States.
The result: While Chandrababu Naidu-led Andhra Pradesh walked the talk to grab top slot in the country in the ‘Ease of Doing Business’ in 2016, Odisha, despite aiming big to figure among top-3, slid to 11th in 2016 from 7th in 2015.
The World Bank’s (WB) Business Reforms Implementation Status report in collaboration with the Union Government released on Monday comes as a grim reminder for Odisha as it mirrors persistence of the age-old chinks, as was revealed in Posco and Vedanta fiasco, in State’s business environment despite the Government coming out with a new Industrial Policy Resolution (IPR).
Though the IPR – 2015 laboured hard to rezig the timid single window system by laying emphasis on web-based time-bound ‘clearances’ to investment proposals and an amendment in 2016 to even provide punitive measures for violation, Odisha still failed to figure among the top-5 States in inducing greater reforms in this indicator nationally.
An analysis shows Odisha was on par with the top-10 States, and even performing better to figure among top-5, in three vital determinants like access to information and transparency enablers, construction permit enablers and environment registration enablers – where the State slotted itself from ranks 3 to 5 nationally – but a poor show in the vital parameters of single window system and land availability pulled the State down and, even, out of the top-10 business friendly States in the country. Significant here is Odisha is trailing behind all its neighbouring competitors by yards in the ease of doing business ranking list, except West Bengal.
Take for an instance. When post the Sum inferno, private hospitals and State Government were at loggerheads over intricacies involved in issuing of NOC from Fire department, Uttar Pradesh, despite finishing 14th , has left a trail as UP Government’s online single window system ensures ‘NOC from Fire department’ like it delivers and allows tracking of other necessary clearances, payments and statuses. The result: WB report declared UP’s online single window system a good practice nationally and recommends other States to adopt.
Interestingly, Odisha, though, has approved almost all the 340 recommended reforms by WB to ensure ease of doing business, the State stands outsmarted in its designing and innovative implementation vis-a-vis other leader States.
Take the case of approving for a WB recommended online facility to which an investor can log in to source specific details and information on approvals necessary to set up a business unit. Odisha has followed suit but AP’s system was rated as a good practice by WB and it asks all States to implement the AP’s innovation. Similarly, Maharashtra outclassed Odisha by having an advance tax filing system of State taxes on the lines of IT Act.