The Karnataka Legislative Assembly on August 29, 2026, introduced the Karnataka Industries (Facilitation) (Amendment) Bill, 2026 to further amend the Karnataka Industries (Facilitation) Act, 2002.
The following amendments have been stated:
In the Principal Act, in section 11A,-
(i) in sub-section (1), after clause (a), the following shall be inserted, namely:-
“(a-a) The Additional Chief Secretary to Government and Development Commissioner - Co-chairman”
(ii) after sub-section (2), the following shall be inserted, namely:-
“(2-A) The Committee shall meet once in two months or at regular intervals as may be required at such times and such places and shall adopt such procedures to transact its business as may be prescribed.”
(iii) for sub-section (3), the following shall be substituted, namely:-
“(3) The functions of the State Level Empowered Committee shall be,-
(i) monitor the status of implementation of the projects cleared by the State Level Single Window Clearance Committee and State High Level Clearance Committees;
(ii) review and monitor the functioning of Single Window System;
(iii) issue directions to Departments and authorities for online enablement of services and their integration with the Single Window System; and (iv) to perform such other functions as may be prescribed.”
(iv) after sub-section (3) as substituted, the following shall be inserted, namely:- “(4) Nothing in any internal instructions or executive orders, always subject to the substantive provisions of the applicable law, the directions and orders issued by the State Level Empowered Committee under this Act shall be binding on the concerned departments, authorities and agencies.”
• In the Principal Act, in section 12, after sub-section (1), the following shall be inserted, namely:-
“(2) The State level nodal agency shall be the nodal agency for all pre establishment, post establishment and operational stage approvals. The State Nodal Agency shall be authorized to coordinate with the Authority or Authorities specified in Schedule-I or notified by the State Government to provide facilitation and guidance to investors throughout the entire project lifecycle.
(3) The State Nodal Agency shall be headed by a Chief Executive who shall be appointed by the State Government and shall be the executive head of the State Nodal Agency: Provided that such officer shall not be below the rank of an officer of Indian Administrative services in the Super-time Scale.
(4) The State Nodal Agency shall be supported by a dedicated coordination committee consisting of officers from concerned departments.
(5) The State Nodal Agency shall constitute a dedicated facilitation desk, which may be supported by a third party, as a single point of contact to carry out the functions of co-ordination with the relevant departments for approval.”
• In the Principal Act, for section 16, the following shall be substituted, namely:-
“16. Inspection.- Notwithstanding anything contained in this Act or any other law for the time being in force, no inspection shall be carried out during the period of validity of the Affidavit based clearance certificate, except in instances where inspections are warranted. In such cases, the inspection shall be carried out only by such officers of the respective departments, with the prior approval of the concerned Head of the Department and in consultation with the concerned nodal agency, in such manner and subject to such guidelines as may be specified by Government from time to time.”
• In the Principal Act, in section 19, in sub-section (2) for the words “acknowledgement certificate”, the words “Affidavit based clearance certificate” shall be substituted.
• In the Principal Act, after section 20, the following new section shall be inserted, namely:-
“20-A. Overriding effect.- Save as otherwise provided in this Act, the provisions of this Act and the rules made thereunder shall have overriding effect to the extent of service delivery and procedure facilitation, notwithstanding anything to the contrary contained in any law of the State for the time being in force.”
[LA Bill No. 19 of 2026]
