T.N. government constitutes Tamil Nadu Investment Promotion Commission

A view of Fort St. George, the seat of Tamil Nadu Secretariat in Chennai. Representational image. File | Photo Credit: B. Jothi Ramalingam

The Tamil Nadu government has issued an order constituting a 20-member Tamil Nadu Investment Promotion Commission headed by Chief Secretary with an objective to facilitate and promote investments linked to Free Trade Agreements, investments by persons of Tamil origin outside India and such other investments.

According to a Government Order, the Chief Secretary will be the chairperson of the Commission while the Secretary, Industries, Investment Promotion and Commerce will be the member-convener.

Secretaries to various departments such as Municipal Administration and Water Supply; Home, Prohibition and Excise; Artificial Intelligence, Information Technology and Digital Services; Environment, Climate Change and Forests; Finance, Micro, Small and Medium Enterprises; Housing and Urban Development; Natural Resources; Rural Development and Panchayat Raj; Energy; Labour Welfare and Skill Development; Revenue and Disaster Management; Commercial Taxes and Registration; and Water Resources will be the ex-officio members.

Apart from them, the Commissioner of Land Reforms, Commissioner of Land Administration, the Member-Secretary of Tamil Nadu Pollution Control Board, and Managing Director and Chief Executive Officer of Guidance Tamil Nadu will also be ex-officio members of the Commission.

The order said the goal of the State government was to transform Tamil Nadu into a $1.5 trillion economy by 2036 and achieving this objective will require not only attracting investment commitments, but also ensuring their timely conversion into grounded projects, commercial operations and employment opportunities within predictable timelines.

Announcement

The constitution of Tamil Nadu Investment Promotion Commission was announced by the newly formed TVK-led government during the inaugural address of the Governor to the Legislative Assembly on June 18, 2026.

Following this, the State government, during the Budget session of the Tamil Nadu Assembly introduced an amendment to the Tamil Nadu Business Facilitation Act, 2018, to strengthen the institutional framework for promoting ease of doing business in Tamil Nadu and constitute the Tamil Nadu Investment Promotion Commission to facilitate, coordinate, and monitor high-value and strategic investments. The Bill was later passed.

The Amended Act reduced the time limit for obtaining clearances under 22 State Acts and other subordinate legislations to 21 days, excluding public and local holidays, to promote investments.

Commission’s role

The Commission would review the pipeline and progress of large, strategic, and high-impact investments involving proposed capital investments of ₹200 crore or more, investments expected to generate employment for 5,000 persons or more, investments linked to Free Trade Agreements, investments by persons of Tamil origin outside India, and other investments specified by the government.

The Commission would function as a dedicated high-level body to advise, oversee, and review all investment promotion and facilitation activities, the grounding of projects, employment generation, and promotion of exports in the State. It would review the progress of investments up to the stage of grounding and commencement of operation and to issue directions to the competent authorities, departments concerned, or nodal agencies for timely grant of clearances, incentives, and other prerequisite approvals. The directions of the Commission would be binding.

It would also review the allocation and utilisation of industrial land allotted for projects that have not commenced commercial operations by SIPCOT, TIDCO, SIDCO, ELCOT, and TAHDCO, and recommend measures for optimal utilisation of the land. The Commission would also monitor and review investments and projects undertaken by TIDCO, TIDEL and TICEL.

Published - November 06, 2026 02:07 pm IST