Panel lays out SEZ guidelines

Use of prime agricultural land should be avoided while establishing Special Economic Zones...

Use of prime agricultural land should be avoided while establishing Special Economic Zones SEZs, the second Administrative Reforms Commission ARC has recommended. It has also suggested that the number of SEZs itself be limited, with a 8220;larger minimum size with locations preferably in backward areas so that they act as nuclei for economic growth8221;. The commission has also called for 8220;reconsideration8221; of the extremely liberal tax holidays provided to exporters and developers.

In its seventh report 8212; Capacity Building for Conflict Resolution 8212; the commission has recommended negotiations as an 8220;important mode8221; of tackling Left wing extremism even as the Government strengthens the capacity of security forces to act effectively. The report deals with a host of other issues, including those related to Scheduled Castes and Scheduled Tribes and inter-state river disputes.

8220;The recently-announced National Policy on Rehabilitation of project-affected persons should be implemented forthwith for all the ongoing projects as well as those in the pipeline,8221; commission chairperson M Veerapa Moily said after presenting the report to Prime Minister Manmohan Singh.

On SEZs, an issue that has generated considerable debate, the ARC feels enterprises promoted by farmers themselves should be encouraged.

The report says livelihood of the displaced should be a 8220;major concern8221; of the SEZ policy; it wants clear allocation of social responsibility of rehabilitation to the entrepreneurs in the SEZ regulations and 8220;re-examination8221; of the existing ratio between processing and non-processing activities to maximise the proportion of land being put to productive use.

On administration in the affected areas, it has called for revitalisation of the system of periodic official inspections and review of organisational performances. 8220;It must be recognised that a major reason for such practices falling in disuse in disturbed areas is the apprehension of senior functionaries about their personal safety while on tour,8221; the report noted.

The commission feels agencies like the Border Roads Organisation could be used in areas where road projects were either opposed by extremists or 8220;are used to extort funds from local contractors8221;. The report also speaks of the nexus between illegal mining and forest contractors, transporters and extremists that provides financial support to the extremists.

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Calling for a national water law, the commission has focused on water, asking the Centre to be more 8220;proactive and decisive8221; in inter-state river disputes. It has suggested River Basin Organisations RBOs for each inter-state river. This can be done through a legislation to replace the River Boards Act, 1956.

On Scheduled Castes, the commission has asked for speedy disposal of discrimination cases against Scheduled Castes and engaging independent agencies to identify cases of social discrimination.

8216;Home Ministry should be nodal agency8217;

The commission has asked for abolition of the ministry for

Development of North Eastern Region, suggesting that the responsibility be given to the North-Eastern Council NEC and ministries handling the relevant subjects. The Home Ministry should act as the nodal agency, its seventh report has said. The responsibility of sanctioning funds from the Non-Lapsable Central Pool of Resources should be entrusted to the NEC. The commission wants local governance institutions in the region to be strengthened. It has also called for greater incentives for officers posted in the Northeast and an increase in the number of police officers on deputation to these states and vice versa.