The recent decision of the State cabinet to amend the Meghalaya State Investment Promotion and Facilitation Act (MSIPF), 2024, allowing Invest Meghalaya Authority to buy land for investors has become the centre of intense debate with the VPP and KSU stating that the amendment would undermine the Meghalaya Land Transfer Act for the sake of private investments.
However, today the State government through the Planning Investment Promotion and Sustainable Development said that MSIPF 2024 has been enacted to improve “Ease of Doing Business” in Meghalaya which will promote growth and create employment opportunities for the local youth.
“The recent amendment of the Meghalaya State Investment Promotion and Facilitation Act (MSIPF), 2024, only allows the Invest Meghalaya Authority to establish land banks specifically for industrial development. The creation of land banks is an ongoing development activity undertaken by several organisations in the state such as the Meghalaya Industrial Development Corporation (MIDC), Meghalaya Transport Development Corporation (MTDC), and New Shillong Township Development Agency (NSTDA),” the State government said.
“The question of direct purchase of land by any investor does not arise. Even for the development of industries, land will be provided as per the provisions of the Meghalaya Transfer of Land (Regulation) Act, 1971,” it added.
Stating that the Invest Meghalaya Authority has been created as a single nodal authority for investment promotion and facilitation, following the practices of other North East states as recommended by the Ministry of Development of North-Eastern Region (MDONER), the State government said that this initiative is also in accordance with the mandate of the MSIPF Act, 2024, which was passed and approved by the State Assembly in March 2024.
On December 2, the State cabinet approved increasing the lease period from 30 years to 60 years, with an option for renewal for another 30 years.
The extended lease was aimed at facilitating projects taken up by private investors and companies.
However, the cabinet’s decision has kicked up a storm with those opposing the move accusing the government of giving preference to private investors at the cost of land rights of the local people and also undermining the Land Transfer Act which prohibits sale of land to non-tribals.
