In a push to improve the ease of doing business in the Union Territory (UT), the Centre has extended the Punjab Right to Business Act, 2020 to Chandigarh. The move, notified by the Ministry of Home Affairs (MHA), aims to provide a time-bound, simplified and digital system for granting approvals to industries and businesses, while also establishing the Chandigarh Bureau of Enterprise and Investment (CBEI) as the nodal agency for investor facilitation.Under the notification, all references to the Punjab government and state authorities in the Act have been replaced with the Chandigarh Administration and its agencies. The newly created CBEI will replace the district nodal agency envisaged under the Punjab law and will function under the Industries Department. It will be headed by the Secretary, Industries, Chandigarh Administration, with the Director, Industries, serving as the Additional Chief Executive Officer.The bureau will act as a single-point facilitation agency for investors by processing self-declarations, issuing in-principle approval certificates, resolving grievances, coordinating with various departments and ensuring speedy disposal of investment proposals. It will also promote investment in the Union Territory and implement policies notified by the Chandigarh Administration for eligible enterprises.A key feature of the extended Act is the introduction of a fully digital single-window system. All processes — including filing self-declarations, issuing approvals, tracking applications, inspections and grievance redressal — will be carried out electronically through a designated online portal. The portal will also provide automatic deemed approvals wherever authorities fail to take a decision within the prescribed timelines, reducing delays and bureaucratic hurdles for entrepreneurs.Applications can only be rejected if the proposed enterprise falls under prohibited categories or if there are material deficiencies, with reasons for rejection required to be communicated in writing.The Act also brings a wide range of regulatory services under its ambit, including building plan approvals, completion and occupancy certificates, factory licences, shop registrations, pollution control clearances, fire no-objection certificates, electricity connections, and water and sewerage connections. These services will now be governed by time-bound approval mechanisms to make setting up and operating businesses in Chandigarh faster and more transparent.The Chandigarh Administration had recently forwarded the proposal to the Union Ministry of Home Affairs (MHA), following which the Act has been adopted for the UT.Story continues below this adChandigarh Deputy Commissioner Nishant Yadav said the legislation is aimed at creating a simplified framework for setting up enterprises by ensuring quicker approvals through a digital single-window mechanism.The Act’s key features include a single-window digital clearance mechanism, deemed approvals if departments fail to respond within the prescribed timeline, online submission and tracking of applications, reduction in unnecessary inspections and better coordination among government departments.The Act would particularly benefit micro, small and medium enterprises (MSMEs) by ensuring transparency, accountability and faster approvals for permissions related to land, labour, power, pollution control and other regulatory requirements.“The extension of the Punjab Right to Business Act, 2020, to Chandigarh is a landmark reform that will significantly improve the ease of doing business and enhance investor confidence in the city. However, for the Act to achieve its full potential, industrial areas should be brought under the Industries Department with the District Industries Centre as the nodal agency, and the single-window committee must be revived to ensure time-bound resolution of industry issues. These measures will help create a truly business-friendly ecosystem for both MSMEs and large enterprises,” Naveen Manglani, spokesman and vice-president, Chamber of Chandigarh Industries, said.Story continues below this adThe proposed framework expands the definition of approved industrial parks to include industrial estates, Special Economic Zones (SEZs), biotechnology parks, IT parks, food processing parks and other projects approved by the Chandigarh Administration or the central government.Several key approvals will now come under the Act’s ambit, including sanction of building plans, fire safety No Objection Certificates (NOCs), labour registrations, pollution clearances, and electricity and water connections. Departments covered include the Municipal Corporation Chandigarh, Estate Office, Labour Department, Chandigarh Pollution Control Committee and Chandigarh Power Distribution Limited.Officials said extending the Act to Chandigarh will align the city’s investment ecosystem with reforms already implemented in Punjab while making the process of establishing businesses faster, more transparent and investor-friendly.