Centre Notifies Chandigarh Under Ease-Of-Business Law Framework

The Ministry of Home Affairs (MHA) has extended the Punjab Right to Business Act, 2020, to the Union Territory of Chandigarh, introducing modifications to suit the city's administrative framework. The move is aimed at simplifying regulatory procedures, improving the ease of doing business, and creating a more investor-friendly environment by ensuring faster approvals for industrial and commercial projects. The Act came into effect in Chandigarh following a notification issued on July 2.

Officials said the extension of the legislation is expected to reduce bureaucratic delays, strengthen investor confidence, and establish a transparent legal framework for business operations in the Union Territory. By streamlining approval processes and minimising regulatory hurdles, the government aims to encourage new investments and promote Chandigarh as an attractive destination for industry, services, and commercial enterprises.

Under the new framework, businesses operating in information technology parks, biotechnology parks, Special Economic Zones (SEZs), industrial townships, growth centres, food processing parks, and other projects approved by either the Chandigarh Administration or the Central Government will be eligible for the benefits provided under the Act. These include simplified regulatory clearances, time-bound approvals, and a more efficient system for processing applications, helping businesses commence operations more quickly.

Also Read: Punjab Sikh MLAs Summoned By Akal Takht Over Anti-Sacrilege Law Review

A major feature of the notification is the establishment of the Chandigarh Bureau of Enterprise and Investment (CBEI) as the Union Territory's nodal agency for investment facilitation. The bureau will coordinate with various government departments, process investment proposals, issue in-principle approvals, and address grievances raised by investors. The CBEI will be headed by the UT Secretary (Industries), while the Director of Industries will serve as its Additional Chief Executive Officer to oversee implementation and coordination.

The notification has been issued under Section 87 of the Punjab Reorganisation Act, 1966, which empowers the Central Government to extend Punjab laws to Chandigarh with suitable modifications. As part of the adaptation process, references to the Punjab Government and its agencies have been replaced with corresponding authorities in the Chandigarh Administration, creating a governance framework specifically designed for the Union Territory.

The extension of the Punjab Right to Business Act is expected to strengthen Chandigarh's business ecosystem by providing a predictable and efficient regulatory environment for investors and entrepreneurs. The initiative aligns with the Centre's broader objective of improving the ease of doing business across the country, promoting industrial growth, generating employment opportunities, and encouraging greater private investment through simplified administrative procedures and faster decision-making.

Also Read: AAP Leaders To Appear Before Akal Takht On June 29 Over Anti-Sacrilege Law