GUWAHATI: Small, non-polluting industries in Assam will no longer need to wait for a string of government clearances before commencing operations, under a major ease-of-doing-business reform cleared by the state Cabinet and announced by Chief Minister Himanta Biswa Sarma at a press briefing following the cabinet meeting.
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Under the new system, eligible small enterprises will be allowed to begin operations without prior government approvals for their first three years, a decisive shift from the earlier regime that required multiple sign-offs before a unit could even switch on its machines. Previously, an entrepreneur seeking electricity connection for an industry had to first secure panchayat permission and fire brigade clearance, in addition to inspections by various departments, a process that could stretch on for months before a single unit of power reached the factory floor.
Under the reformed process, industries set up within a designated industrial estate in any district will have their permissions routed through the Industries Department, which will issue the requisite clearances. Entrepreneurs will need to submit a single, consolidated application in compliance with the prescribed rules.
Crucially, even if the government has not yet acted on that application, the industry will be permitted to commence operations regardless, a self-certification model that shifts the burden of process from the entrepreneur to the administration. The Chief Minister clarified that the relaxation applies specifically to proposed industries located within industrial estates.
The relaxation is available only to small units, which can now operate for up to three years on the strength of an application alone, without waiting for multiple approvals; the necessary permissions will still be required once the three-year window lapses. Large industries have not been brought under this dispensation and will continue to follow the existing approval process.
The Chief Minister said the relaxation falls under the Assam Ease of Doing Business (Amendment) Act and is aimed at cutting down red tape in the administration.
The move is part of a broader package of reforms cleared by the Cabinet ahead of the state's budget session, with the Assam Micro, Small and Medium Enterprises (Facilitation of Establishment and Operations) Bill, 2026, and the Assam Ease of Doing Business (Amendment) Bill, 2026, set to be introduced during the session.
The Chief Minister framed the reform as part of the government's larger vision: to make it simpler for entrepreneurs to pursue their ambitions rather than get bogged down chasing files from desk to desk.