Budget 2014: Single-window-clearance

As an attempt to kickstart the investment cycle, the finance minister made it crystal clear that the new government will lay special emphasis on faster and quicker clearance of projects and at the same time focus on reduction in red tape. Following this, the government is aiming to cut down all kinds of project delays in the country which are taking a toll on the economy of the nation.

In a move to take the bite out and go easy on the small scale entrepreneurs, in acquiring the clearances from various departments (such as Town and Country Planning Department and Public Health Department) for residential constructions, the Single Window System was proposed. Experts quote that it would positively help the investment scenario in the country, since investors can skip out on the 20 odd clearances required for a project.

Developers and realtors had lamented that big housing projects in the metros are required to get approval from nearly 50 different authorities, namely- National Monuments Authority, environment ministry, aviation ministry along with water, forest, fire, pollution, revenue and town planning departments. Acquiring approvals from such departments can take up more than two years in Mumbai, while in Gurgaon, Bangalore and Chennai it can take between two to three years. Clearance issue has stalled nearly 15 lakh crore projects in the country, at present, inclusive of infrastructure and residential projects. In the wake of this, a Single-Window system will definitely come in handy, helping the investors get approvals on time and get on with their realty projects in a hassle-free manner.