Guidelines for dealing with Requests for Change in Area of SEZs
Commerce Ministry decided that here after all the requests for change in area of SEZs should be routed through the concerned Development Commissioner. All the Developers of notified SEZs who wish to change the area of their SEZs may make an application to the Department of Commerce with a copy to the concerned Development Commissioner. For increase in area, the developer may apply in Form Q and for de-notification of a portion of area the developer may apply in Form R along with the requisite documents.
While recommending the proposals to the BoA, the following guidelines will be followed by the Development Commissioner:
i) The minimum area requirements as provided under Rule 5 of the SEZ Rules 2006 should be met.
ii) The approval to various requests for changing the area of the SEZs may be approved on file provided the proposal is for modification of the non-notified SEZs.
iii) Once the proposal is notified, proposals for expansion/reduction in the area may be placed before the BoA.
iv) No further reduction of land is allowed for SEZs notified under Rule 5(3) of the SEZ Rules, which prescribes the requirement of minimum area of land. In case such requests are received, the same will have to be placed before EGoM for a decision.
v) On the requests received for addition of area, the concerned Development Commissioner should submit his report on possession/ownership, non-encumbrance, contiguity and vacancy
vi) On the requests received for de-notification of a portion of area, the concerned Development Commissioner should submit his report on contiguity and vacancy. The concerned Development Commissioner will also submit details of duty free benefits/exemptions availed by the developer under SEZ Act and Rules in respect of the area to be de-notified.
vii) The concerned Development Commissioner will also furnish details of units functioning in the area to be de-notified. If there are any units functioning in the area to be de-notified, the NOC from such units be furnished.
Obviously, the Development Commissioner will be definitely ‘ concerned' when he receives such requests.
COMMERCE MINISTRY INSTRUCTION NO. 24 (No.) Dated: July 16, 2009