Commerce Ministry issues new set of guidelines

NEW DELHI: The Centre on Wednesday announced changes in rules on special economic zones, making developers solely responsible for rehabilitation of displaced persons.

"The developer [of SEZs] shall make adequate provision for rehabilitation of the displaced persons as per the relief and rehabilitation policy of the State Government," a Commerce Ministry notification said. The Ministry is the nodal agency for approving SEZs.

The move comes even as the rehabilitation policy is being finalised by the Rural Development Ministry and on a day when United Progressive Alliance and Left leaders are meeting at Prime Minister Manmohan Singh's residence.

Further, in a measure to check speculation by real estate players the validity for "in-principle" approval has been reduced from three years to one year. However, the validity for formal approval remains three years because land possession is essential for getting the final nod from the Board of Approval in the Commerce Ministry. The developer will have to show irrevocable possession rights over the land. PTI

More In: Today's Paper