Goa Cabinet Approves Amendment to Panchayat Raj Act for Fee Levying Powers
The state cabinet in Goa has granted approval on Thursday to amend the Goa Panchayat Raj Act, 1994. This significant move aims to empower panchayats to levy fees for permissions and licences granted or renewed by them. Additionally, panchayats will now have the authority to decide the quantum of such fees through a resolution passed in their meetings, subject to the maximum rate as specified in the Act.
Background and Need for Amendment
The Goa Panchayat Raj Act was originally enacted on July 9, 1994, and came into force on July 13, 1994. Since its enactment, the act has undergone numerous amendments to adapt to changing needs. The cabinet highlighted that further amendment is necessary to incorporate certain changes essential for the effective implementation of the act.
A specific section of the Goa Act provides for granting permission and licences for various commercial activities undertaken within the jurisdiction of panchayats. This section states that permission or a licence can be granted upon payment in advance of such fees as may be prescribed. However, the cabinet noted that the section is silent on the maximum rate at which panchayats shall levy fees on the issuance of a trade licence or permission for commercial activity.
Implications of the Amendment
This amendment addresses a critical gap in the existing legislation by clarifying the fee structure. By allowing panchayats to set fees via resolution, it provides local bodies with greater autonomy and flexibility in financial management. The stipulation that fees must not exceed the maximum rate specified in the Act ensures consistency and prevents arbitrary charges.
The move is expected to enhance the revenue generation capabilities of panchayats, enabling them to better fund local development projects and services. It also streamlines the process for businesses and individuals seeking permissions, as the fee guidelines will be more transparent and standardized.
Overall, this amendment represents a step towards strengthening local governance in Goa, aligning with broader efforts to empower panchayats and improve administrative efficiency at the grassroots level.
