Shimla, Mar 13 (PTI) Section 118 of HP Tenancy and Land Reforms Act was a major hurdle in investment in the state and unless an amendment is made to simplify the procedures, industrial development cannot be promoted in true sense, Industrial Minister Harshwardhan Chauhan told Vidhan Sabha during the question hour on Thursday.

Replying to a question of Sukhram Chowdhary and Jeet Ram Katwal (both BJP), he appealed to the opposition to cooperate with the government for simplification of Section 118 for formulating a long-term policy for attracting investment in the industrial sector.

Closure of industrial units from time to time is a normal process and there are several reasons like lack of demand of the produce in the market, disputes between partners, financial issues and after closure of the unit the promoters cannot directly sell the industrial plot due to restriction under section 118 and difficulties in getting permission to sell from the government.

He said that during the past two years approval was given for setting up 143 industrial units through the Single Window Authority involving investment of Rs 8,380 crore and employment generation for 17,730 persons.

He informed that presently there are 64 industrial areas in the state and it is proposed to establish 13 more industrial areas for which land has been identified.

Meanwhile, Public Works Minister Vikramaditya Singh said that construction of a tunnel for the remote Dodra-Kwar area of Shimla district would be considered for all-weather connectivity. However, as for now there is no provision for the tunnel.

Dodra Kwar subdivision remains cut from the rest of the state during winters for almost four months following snowfall.

Replying to a question of Mohan Lal Brakta (Congress), he said that the central government has extended the time for completion of roads in Bada Bhangal and Dodra-Kwar areas under Prime Minister Gramin Sadak Yojana by one year.

Deputy Chief Minister Mukesh Agnihotri told Prakash Rana (BJP) that the funds under MLA Local Area Development Fund have been released and asked the members to send their recommendations as the release of funds has to be done before March 31, 2024. PTI BPL MR

Restriction on sale of industrial land under Section 118 hampers investment; amendment sought to simplify permissions. Section 118 operates as a restriction requiring government permission to sell industrial plots after unit closure, creating transactional delays and impeding disposal by promoters; the Minister urges amendment to simplify permissions and enable faster transfer of defunct industrial land to promote reinvestment.