Parliament passes Industries (Development and Regulation) Amendment Bill, 2015

The Parliament has passed the Industries (Development and Regulation) Amendment Bill, 2015.

•  The Bill amends the Industries (Development and Regulation) Act, 1951.
•  Now it will go for Presidential assent as per Article 111 of the Indian Constitution.
•  The bill seeks to bring industries engaged in the manufacture of potable alcohol under the exclusive control of States in all respects.
• However, the Centre will continue to be responsible for formulating policy and regulating foreign collaboration for all products of fermentation industries, including industrial and potable alcohol.

The Industries (Development and Regulation) Amendment Bill, 2015 :

• The Industries (Development and Regulation) Amendment Bill, 2015 was introduced in Lok Sabha on December 7, 2015.
• The Bill was introduced by Minister of State for Commerce and Industry, Ms Nirmala Sitharaman.
•  The Bill amends the Industries (Development and Regulation) Act, 1951.
• The1951 Act provides for development and regulation of certain industries including metallurgical, telecommunications, transportation, fermentation (which includes the production of alcohol) among others.
• The 1st schedule of the Act includes all industries that are regulated under the Act. 
• The Bill amends the schedule to exclude production of alcohol for potable purposes from the ambit of the Act.
• The Supreme Court of India in its judgement on 20th January 1997, 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 the portable purpose (domestic consumption).  The Bill conforms to the Supreme Court’s decision.