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Big News: Center proposes states borrow to meet revenue shortfall; Bihar offers incentives to agriculture based industrial units; Gujarat announces incentives for new industrial parks; Telangana bans registration of unauthorized buildings; Maharashtra disallows setting up new thermal plants in the state; and more.

Industrial Policy & Business Regulations

Bihar government approves a new agriculture investment policy in the state. The policy offers a capital subsidy of 15 to 30 percent on setting up of agriculture based industries in the states. Source: Muzcorner

In detail: Cabinet Decision (in Hindi)

Gujarat government announces a new industrial policy to promote industrial parks for small and medium industries. Under the policy, developers of new industrial parks can avail up to 70 percent of total project cost in the form of financial incentives.

Source: Times of India

In detail: Press Release

Land Acquisition & Labor Regulations

Nothing critical to report this week

Infrastructure

Gujarat tops NITI Aayog’s Export Preparedness Index 2020, followed by Maharashtra and Tamil Nadu. The index evaluates various parameters, and ranks states and union territories on their overall export performance.

Source: Financial Express

In detail: Export Preparedness Index 2020

Haryana government passes amendments to Haryana Rural Development Act, 1986. As per the bill, ad valorem rural development fee at the rate of one percent will be payable on the sale of fruits and vegetables.

Source: Business Standard

In detail: CMO Tweet

Maharashtra government decides to temporarily reduce stamp duty on housing units from five percent to two percent until December 31, 2020. The reduction is expected to spur investments in the real estate market.

Source: Money Control

In detail: CMO Tweet (in Marathi)

Maharashtra government exempts tax on freight and public transport vehicles in the state from April 1, 2020 to September 30, 2020.

Source: Economic Times

In detail: CMO Tweet (in Marathi)

Telangana government bans registration of unauthorized properties. Existing registered unauthorized plots and buildings will not be considered for any official transactions.

Source: Deccan Chronicle

Power & RE

The Bihar Electricity Regulatory Commission (BERC) releases draft tariff regulations for renewable energy projects. These regulations will be valid for the financial year (FY) 2020-21 to FY 2022-23.

Source: Mercom

In detail: BERC Regulation

The Delhi Electricity Regulatory Commission (DERC) announces there will be no hike in power tariffs for FY 2020-21. DERC has also waived the existing 20 percent surcharge on time of day tariff for the month of September, 2020.

Source: Economic Times

In detail: DERC Press Release

The Karnataka Electricity Regulatory Commission grants another three-month extension to obligated entities for fulfilling their renewable purchase obligations.

Source: Mercom

In detail: Order

Maharashtra government refuses to set up new thermal power generation units in the state citing low demand. The state electricity distribution company has signed power purchase agreements for 35,000 Megawatt (MW) but is purchasing only 14,500MW.

Source: Economic Times

In detail: Energy Minister’s Tweet

Oil & Gas

Nothing critical to report this week

Water & Sanitation

Nothing critical to report this week

Health

Nothing critical to report this week

Centre – State relations

The Ministry of Home Affairs announces the Unlock 4.0 guidelines. Under the guidelines, the lockdown will be extended in the country till September 30, 2020. However, the lockdown will only be implemented in the containment zones.

Source: Money Control

In detail: Notification

Business Negative Reform

The Goods and Services Tax (GST) Council asks states to borrow in order to meet the shortfall in GST revenues. At the time of GST rollout in July 2017, the central government had assured the states of full compensation from any losses arising due to the transition to GST for a period of five years.

Source: Indian Express

In detail: GST Councils’ Note