Home »Documents » Laws » Senate panel adopts SEZs (Amendment) Bill, 2016

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  • Aug 2nd, 2016
  • Comments Off on Senate panel adopts SEZs (Amendment) Bill, 2016
The Senate Standing Committee on Cabinet Secretariat Monday passed the Special Economic Zones (Amendment) Bill, 2016. The committee, which met with Senator Muhammad Talha Mahmood in the chair, approved the Special Economic Zones (SEZ) Amendment Bill, moved by State Minister for Parliamentary Affairs Sheikh Aftab Ahmed, and has asked the Chairman Board of Investment (BoI) Dr Miftah Ismail to arrange consultant for conducting feasibility study of identified sites for establishment of SEZs in Balochistan.

Dr Miftah Ismail assured the committee that he will be provided consultant for conducting feasibility study of identified sites for setting up of SEZs in Balochistan. A senior official of the Balochistan government informed the committee members that they have identified some sites for setting up of SEZs. He also forwarded a summary to the government for approval of fund to conduct feasibility study of the proposed sites but government has not yet allocated the required fund.

The statement of objects and reasons of the Bill says that Special Economic Zones Act, 2012 was promulgated to encourage industrial infrastructure in the country. The purpose was to facilitate domestic and foreign investors to invest in manufacturing sectors of Pakistan while offering them special exemptions and incentives leading to reduced cost of doing business with efficient infrastructure.

The said legislation would also provide opportunity to investors for importing duty free plant, machinery and equipments besides income tax holidays of 10 years for Zone Developers as well as Zone Enterprises. The Amendment in the Ordinance will make the SEZ regime more investment and business friendly and encourage development of SEZs in Pakistan. Such investor friendly legislation would also encourage rapid industrialisation and economic activity in the country leading to job creation, technology transfer and development of industrial infrastructure.

The committee also recommended the Capital Development Authority (CDA) to allot a plot at sector I-12 to the Pakistan Institute of Medical Sciences (PIMS) for construction of a hospital and campus near IJ Principal Road. The committee also decided to write a letter to Prime Minister for the approval of allotment of plot to PIMS.

Chairman CDA Maroof Afzal informed the committee that 23.93 acres site was earmarked in the approved layout plan of Sector I-12 which has yet not been allotted as the authority has received request for allotment from three different forums including PIMS, Capital Administration and Development Division (CADD) and the Government of Punjab. "A summary has been submitted with the CDA Board for forwarding the case to CADD for an appropriate decision, he added.

Afzal informed the committee, 112 departmental inquiries are underway against the CDA officials and some of the inquiries have been sent to Federal Investigation Agency (FIA) and National Accountability Bureau (NAB) for investigation. Dr Mazhar-ul-Haq Kakakhel, Director FIA Islamabad Zone told the committee that the agency is currently conducting 19 inquires against officials of the CDA.

He briefed the committee about seven cases out of 19 cases including Kachi Abadi settlements case, purchase of 55 walkie-talkies, ladies club case, La'Montana Restaurant case, auction for commercial plots, the CDA land encroachment by Shifa Hospital and CDA illegal recruitment. He said the agency has arrested 38 out of 44 employees of CDA allegedly responsible for the establishment of Kachi Abadis in the city.

Copyright Business Recorder, 2016


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