Panaji: Vocal civil society is one of the major reasons why the investors are reluctant in putting up large projects in Goa, says a survey undertaken by the Goa Tourism Development Corporation – 2020 named “SURVIVAL AND REVIVAL OF GOA’S TOURISM INDUSTRY”.
The survey report says the state of Goa has strong presence of NGOs and activists leading to delays or complete hold on projects.
“Local communities opposing a project often leads to huge losses for the investor. Thereby, the local community should be involved from the conceptualisation phase of the project to ensure good mutual understanding and constructive collaboration between all parties,” says the report.
It further says the past challenges with infrastructure projects is not only because of the current Covid-19 crisis that additional support is required by the investors, but also prior to Covid-19 the investors were already reluctant in putting up a large project.
Following are the common issues in the state leading to unfriendly environment for the investor:
• Unavailability of land for development: Goa’s is covered by nearly 40% of forest land. Hence, this land cannot be used for any construction or development purpose. Also, approvals from all living family members of the land is mandatory for purchase/sale of ancestral properties in the state. This makes purchase and selling of any land parcel a complicated process. Also, the complex process of land conversion under sanad, which is often required for large projects, creates additional hurdles for investors.
• Difficulty in getting NOCs / Clearances: Large projects involve a high number of clearances and NOCs from relevant government authorities. As per the industry feedback, the time involved in getting these clearances is high thereby increasing the duration and the cost of the investment phase, at times making them unviable. 92
• CZMP not finalized: The finalization of the draft coastal zone management plan (CZMP) is now facing a major setback due to a delay in the reconstitution of new body or extension of the term of the members of Goa Coastal Zone Management Authority (GCZMA). The draft CZMP must be submitted by the state government to the concerned CZMA for appraisal, including appropriate consultations and recommendations after holding public hearing. The unclear stringent regulations often reduce the viability of high value projects.
• Lack of supporting infrastructure: A large tourism project requires supporting infrastructure in terms of road connectivity, electricity supply, water supply, public transportation, drainage facilities, parking lot, nearby accommodation facilities etc. The large land parcels available in the state are not in the vicinity of developed towns and thereby lack basic infrastructure facilities. This makes the property unfeasible for the investor to develop.
• Lack of metering for taxis: Various response received during the survey, both from tourists and investors, specifically mentioned the difficulties to commute in the state for visitors given the lack of regulation of the taxi industry, and particularly due to the absence of meters. This image of Goa is causing the investors to avoid investing in such an environment where the tourists will be reluctant to visit.