Chandigarh
Aiming to improve the business climate and “reduce regulatory hurdles”, the UT administration is in the process of framing a dedicated Ease of Doing Business Act on the lines of the legislation implemented in Punjab. The proposed law aims to ease compliance requirements for micro, small and medium enterprises (MSMEs) and create a more investor-friendly environment in the Union Territory.
Deputy commissioner-cum-estate officer Nishant Kumar Yadav said, “We are in the process of framing the Act. We are hopeful that it will be rolled out next month.”
The Chamber of Chandigarh Industries and other associations had been demanding so for long. Under the proposed framework, newly incorporated MSMEs will be allowed to establish and operate their businesses based on a certificate of in-principle approval issued through a self-declaration mechanism. Similar to the Punjab model, the certificate will remain valid for three years and six months, during which enterprises will be exempt from several regulatory approvals and routine inspections. Officials say the move is aimed at encouraging entrepreneurship while reducing the bureaucratic burden faced by small businesses.
The new legislation will be rolled out alongside “Deregulation 2.0”, a comprehensive reform roadmap designed to streamline approvals and reduce compliance requirements across multiple sectors, including land use, construction, utilities, education, healthcare and digital governance.
One of the key proposals is the removal of the change in land use (CLU) requirement, a move officials say will end procedural harassment faced by landowners, particularly farmers. The administration also plans to adopt a “permitted until prohibited” principle for land-use planning, allowing construction approvals even while master plans are under preparation. Industrial land use in existing and upcoming clusters will also be optimised, with special provisions for MSMEs. These changes are expected to be implemented by June 30.
To accelerate housing and commercial development, the administration, by May 31, will streamline building permit procedures and rationalise fire safety norms by adopting global best practices.
