The formal approval for Tata Steel SEZ Ltd’s multi-product special economic zone in Gopalpur, Odisha, which was to expire next month, has been extended by a year by the government.
The developer had sought more time to get the mandatory environmental clearance for the project. The Board of Approval for SEZs, which took the decision recently in its meeting, asked development commissioners to recommend extension of formal approvals beyond the fifth year, only if the developers have taken sufficient steps for the operationalisation of the project.
“The Board advised that extensions beyond fifth year should not be granted as a matter of routine unless some progress has been made on ground by the developer. After deliberations, it extended the validity of the formal approval to the requests for extensions beyond fifth year for a period of one year and those beyond sixth year for a period of six months,” according to a government official.
Other projects which got an extension for formal approvals include Nagaland Industrial Development Corporation for its agro and food processing SEZ in Dimapur, GP Realtors Pvt Ltd for its electronic hardware and IT/ITES SEZ in Gurgaon, Haryana, Mikado Realtors for its IT/ITES in Gurgaon, Haryana, and Golden Tower Infratech for its IT/ITES SEZ in Noida, Uttar Pradesh.
“The BoA does not want developers to hold on to the SEZ land without showing enough proof that they are serious about the projects. It has decided to be strict about extensions and we can expect lesser extensions going forward,” the official said.
Source: The Hindu Business Line