In a move expected to encourage investments in the industrial, renewable energy, and MSME sectors, the Karnataka Land Reforms and Certain Other Laws (Amendment) Bill was passed in the Legislative Council by a voice vote on Monday. The bill, placed by Revenue Minister Krishna Byre Gowda, removes the need for application for land conversion if MSME units or renewable energy establishments are set up on agricultural land up to two acres, as the land will be converted automatically due to the amendment.
The intention behind this amendment is to attract investments in the renewable energy sector, as there will be no requirement for land conversion for such units. For MSMEs, the change aims to ease the process of setting up units on agricultural land within the specified acreage. By removing the conversion clause, the bill seeks to streamline the process and reduce bureaucratic red tape, potentially boosting economic growth in the state.
The Bill’s passage comes amidst ongoing debates about agricultural reforms and industrialization in Karnataka. The Bharatiya Janata Party (BJP), the ruling party in Karnataka, has been advocating for measures to stimulate investment and economic growth. The state government hopes that this amendment will help create jobs and generate revenue by encouraging more MSMEs and renewable energy projects.
The bill is expected to be tabled in the Legislative Assembly for final approval in the coming weeks. Stakeholders, including farmers, entrepreneurs, and environmentalists, have expressed varying opinions about the potential impacts of this amendment. As the Bill proceeds through the legislative process, it remains to be seen how these concerns will be addressed and how the changes will ultimately shape Karnataka’s economic landscape in 2025 and beyond.
