IndiaFilings Review of The Industries Development Bill 2015

The Industries (Development and Regulation) Act, 1951 was enacted to provide for the development and regulation of certain industries. The Industries (Development and Regulation) Amendment Bill, 2015 was introduced in Lok Sabha on December 7, 2015 by Minister of State for Commerce and Industry, Ms. Nirmala Sitharaman to amend the Industries (Development and Regulation) Act, 1951. In this article, we review the proposed Industries (Development and Regulation) Amendment Bill, 2015.

Main Amendments

The current Industries Act, 1951 regulates the production of alcohol for potable purposes. The Industries Development Bill, 2015 would exclude production of alcohol for potable purposes from the ambit of the Act. The Supreme Court of India has already demarcated the regulation of production of alcohol between centre and states (Bihar Distillery and another vs. Union of India and others). The court ruled that centre should regulate the production of alcohol for industrial use and states should regulate the production of alcohol for potable purpose (domestic consumption). The Bill conforms to the Supreme Court’s decision.

Industries (Development and Regulation) Act, 1951

The Industries Act, 1951 governs all aspects of industrial undertakings in India. Every person/entity who starts or owns an existing industrial undertaking, not being the Central Government are required to be registered under this Act. The following are some of the industries classified as industrial undertaking:

METALLURGICAL INDUSTRIES

Iron and steel (metal)
Ferro- alloys
Iron and steel castings and forgings
Iron and steel structurals
Iron and steel pipes
Special steels
Other products of iron and steel
Precious metals, including gold and silver, and their alloys
Other non-ferrous metals and their alloys

FUELS

Coal, lignite, coke and their derivatives
Mineral oil (crude oil), motor and aviation spirit, diesel oil, kerosene oil, fuel oil, diverse hydrocarbon oils and their blends including synthetic fuels, lubricating oils and the like
Fuel gases-(coal gas, natural gas and the like)

BOILERS AND STEAM GENERATING PLANTS

Boilers and steam generating plants

PRIME MOVERS

Steam engines and turbines
Internal combustion engines

ELECTRICAL EQUIPMENT

Equipment for generation, transmission and distribution of electricity including transformers
Electrical motors
Electrical fans
Electrical lamps
Electrical furnaces
Electrical cables and wires
X-ray equipment
Electronic equipment
Household appliances such as electric irons, heaters and the like
Storage batteries
Dry cells

TELECOMMUNICATIONS

Telephones
Telegraph equipment
Wireless communication apparatus
Radio receivers, including amplifying and public address equipment
Television sets
Teleprinters

TRANSPORTATION

Aircraft
Ships and other vessels drawn by power
Railway locomotives
Railway rolling stock
Automobiles (motor cars, buses, trucks, motor cycles, scooters and the like)
Bicycles
Others such as fork lift trucks and the like

INDUSTRIAL MACHINERY

Textile machinery (such as spinning frames, carding machines powerlooms and the like) including textile accessories
Jute machinery
Rayon machinery
Sugar machinery
Tea machinery
Mining machinery
Metallurgical machinery
Cement machinery
Chemical machinery
Pharmaceuticals machinery
Paper machinery
Conveying equipment- bucket elevators, skip hoist, cranes, derrick and the like
Size separation units-screens, classifiers and the like.
Mixers and reactors-kneading mills, turbo mixers and the like
Filtration equipment-filter presses, rotary filters and the like
Centrifugal machines
Evaporators
Distillation equipment
Crystallisers
Driers
Power driven pumps-reciprocating, centrifugal and the like
Air and gas compressors and vacuum pipes (excluding electrical furnaces)
Refrigeration plants for industrial use
Fire fighting equipment and appliances including fire engines
Ball, roller and tapered bearings
Speed reduction units
Grinding wheels and abrasives.

AGRICULTURAL MACHINERY

Tractors, harvestors and the like
Agricultural implements

EARTH-MOVING MACHINERY

Bulldozers, dumpers, scrapers, loaders, shovels, drag lines, bucket wheel excavators, road rollers and the like

MISCELLANEOUS MECHANICAL AND ENGINEERING INDUSTRIES

Plastic moulded goods
Hand tools, small tools and the like
Razor blades
Pressure Cookers
Cutlery
Steel furniture

COMMERCIAL, OFFICE AND HOUSEHOLD EQUIPMENT

Typewriters
Calculating machines
Air conditioners and refrigerators
Vacuum cleaners
Sewing and knitting machines
Hurricane lanterns

MEDICAL AND SURGICAL APPLIANCES

Surgical instruments- sterilisers, incubators and the like

Download Industries Act 1951 or Download Industries Development Bill, 2015

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Frequently Asked Questions

Common questions about Industries Development Bill 2015 Review.

The Industries (Development and Regulation) Amendment Bill, 2015 is a proposed legislation to amend the Industries (Development and Regulation) Act, 1951, which regulates the development and regulation of certain industries in India. The main amendment proposed is to exclude the production of alcohol for potable purposes from the purview of the Act.

The Amendment Bill proposes to exclude the production of alcohol for potable purposes from the Act to conform with a Supreme Court ruling. The Supreme Court had ruled that the regulation of production of alcohol for industrial use should be governed by the Centre, while the regulation of production of alcohol for domestic consumption (potable purposes) should be governed by the respective states.

The Industries (Development and Regulation) Act, 1951 governs various industrial undertakings in India, including metallurgical industries, fuel industries, boilers and steam generating plants, prime movers, electrical equipment, telecommunications, transportation, industrial machinery, agricultural machinery, earth-moving machinery, and miscellaneous mechanical and engineering industries, among others.

Yes, every person or entity who starts or owns an existing industrial undertaking, except for the Central Government, is required to be registered under the Industries (Development and Regulation) Act, 1951.

The Supreme Court had ruled that the Centre should regulate the production of alcohol for industrial use, while the states should regulate the production of alcohol for potable purposes (domestic consumption). The Industries (Development and Regulation) Amendment Bill, 2015, by excluding the production of alcohol for potable purposes from the Act's purview, aligns the Act with the Supreme Court's demarcation of regulatory authority between the Centre and states.

The Industries (Development and Regulation) Act, 1951 is a significant legislation that governs all aspects of industrial undertakings in India. It provides a framework for the development and regulation of various industries, promoting industrial growth and ensuring compliance with regulatory standards.

The article primarily focuses on the main amendment proposed by the Bill, which is to exclude the production of alcohol for potable purposes from the Act's purview. It does not mention any other specific changes proposed by the Amendment Bill.

The article does not provide specific details on how the Amendment Bill impacts the regulation of alcohol production for industrial use. However, it implies that the regulation of alcohol production for industrial use will continue to be governed by the Centre under the amended Act, as per the Supreme Court's ruling.

The classification of various industries as industrial undertakings under the Industries (Development and Regulation) Act, 1951, is likely to facilitate better regulation and monitoring of these industries by the concerned authorities. It helps in identifying the specific industries that fall under the purview of the Act and the applicable regulatory requirements.

The article does not mention any specific process for public consultation or feedback on the proposed Industries (Development and Regulation) Amendment Bill, 2015. However, it is common practice for proposed legislation to undergo parliamentary debate and scrutiny before being enacted into law, allowing for stakeholder inputs and deliberations.