In this Livemint article, Rohan Shridhar, Associate at IDFC Institute, writes on how environment regulations are hindering the growth of coastal districts in India.
"Burdensome laws, accompanied by the onerous rules and regulations they impose, restrict economic activity in the entire country. The coastal regions suffer from the additional liability of having to comply with far-fetched coast protection norms originating under the Environment (Protection) Act (EPA). Passed under the powers conferred on the Central government by Section 3 of the EPA, the Coastal Regulation Zone (CRZ) rules were first notified in 1991 and were further amended in 2011...
The CRZ norms are another example of a top-down, heavy-handed, legislative diktat from Delhi that ignores local dynamics and the diverse needs and realities of states. Regulations like CRZ create significant entry barriers for firms unable to negotiate the myriad, complex guidelines or lobby for rent-seeking special concessions from the government. Restrictive market entry adversely affects economic development and consumer welfare, increases prices owing to high costs and constrains technological improvement."
Read the whole article here.