Maharashtra Cabinet on Thursday accorded industry status to tourism and decided to permit distilleries in the state, which have own sugar factories to produce ethanol to be used as a fuel additive.

Chief Minister Sushilkumar Shinde told reporters that henceforth the tourism industry need not procure prior sanction from the government to purchase agricultural land. The relevant amendments would be carried out in the Maharashtra Rent Act, 1961.

Shinde said, "The Union government by a notification on January 1 has permitted eight states, including Maharashtra, and four union territories to use ethanol as a fuel additive in the ratio of five per cent.

"Several private and co-operative sugar factories have sought permission to process sugarcane juice and molasses to manufacture ethanol," Shinde said.

Co-operative and private sugar factories would be issued permission on a priority basis to manufacture ethanol to be used as a fuel additive.

"This will benefit the sugar manufacturers who currently find international prices of sugar unremunerative. However, in the event of a shortfall in sugar production in the state, it would be binding upon these sugar factories to maintain production," Shinde said.

A sugar factory in Kolhapur has already begun ethanol production after receiving permission.

The Cabinet also cleared a proposal to protect women chief executive officers of civic bodies.

Shinde said, "It was constantly being brought to my notice that women CEOs from reserved seats are being harassed and made to relinquish office by frequent no-confidence motions.

"Since currently the stipulation is that a no-confidence motion can be passed to remove these CEOs if a two-thirds majority supports it, we have decided to increase this to three-fourths of the strength of the civic body."

This, Shinde said, would accord some degree of protection to women heads of civic bodies. The government would soon issue a notification to this effect after securing the approval of the governor.

In view of the water scarcity, the Cabinet allowed civic body chiefs to purchase pipes and hand pumps without inviting tenders at rates prescribed by the government or a maximum limit of 10 per cent above these rates.

Giving a helping hand

• Cabinet allows distilleries to produce ethanol as a fuel additive.
• Move to benefit sugar manufacturers.
• Proposal to protect women chiefs of civic bodies gets nod.
• Civic chiefs given more powers in view of water scarcity.