The Telangana Oil Palm (Regulation of Production and Processing) Act, 1993.

THE TELANGANA OIL PALM (REGULATION OF PRODUCTION 
AND PROCESSING) ACT, 1993. 
(ACT NO. 3 OF 1993) 
ARRANGEMENT OF SECTIONS 
Sections 
1. Short title, extent and commencement. 
2. Definitions. 
3. Constitution of the Advisory Committee. 
4. Functions of the Advisory Committee. 
5. Constitution of Zonal Committee. 
6. Powers and functions of the Zonal Committee. 
7. Zonal Committee Funds. 
8. Appointment of Oil Palm Commissioner. 
9. Oil Palm Inspector. 
10. Register of Oil Palm Growers and Oil Palm Growers’ Co-
operative Societies. 
11. Declaration of Factory Zone. 
11-A. Market Intervention Scheme. 
12. Failure to buy. 
13. Power to fix prices. 
14. Maintenance of Records and Inspection. 
15. Penalties. 
16. Institution of Proceedings. 
17. Compounding of offences. 
18. Protection of acts done in good faith. 
19. Determination of occupier of factory for the purposes of 
this Act. 
2  [Act No. 3 of 1993] 
20. Payment of Oil Palm Price. 
21. Levy of Tax on purchase of Oil Palm FFBs. 
22. Purposes for which tax levied and collected. 
23. Power of Government to give directions. 
24. Delegation of powers of Government. 
25. Power to make Rules. 
 
THE TELANGANA OIL PALM (REGULATION OF 
PRODUCTION AND PROCESSING) ACT, 1993.1 
 
ACT No.3 OF 1993. 
 
1. (1) This Act may be called the 2Telangana Oil Palm 
(Regulation of Production and Processing) Act, 1993. 
 
 (2) It extends to the whole of the State of 2Telangana. 
 
 (3) It shall come into force on such date as the State 
Government may, by notification in the 2Telangana Gazette 
appoint and they may appoint different dates for different 
areas and for different provisions of this Act. 
 
2. In this Act, unless the context otherwise requires,- 
 
 (1) “Advisory Committee”  means the 2Telangana Oil 
Palm Advisory Committee constituted under section 3; 
 
 (2) “Factory” means any premises including the 
precincts thereof or any part of which any manufacturing 
process connected with the processing of Oil Palm FFB is 
carried on with the aid of mechanical power; 
 
 (3) “Factory Zone ” means an area as signed to a 
factory under section 11; 
 
 (4) “Government” means the State Government; 
                                                           
1. The Andhra Pradesh Oil Palm (Regulation of Production and 
Processing) Act, 1993 received the assent of the Governor on the 20 th 
January, 1993. The said Act in force in the combined State, as on 
02.06.2014, has been adapted to the State of Telangana, under sect ion 
101 of the Andhra Pradesh Reorganisation Act, 2014 (Central Act 6 of 
2014) vide. the Notification issued in G.O.Ms.No.18, Agriculture and Co -
operation (Horti & Seri) Department, dated 13.11.2014. 
2. Substituted by G.O.Ms.No.18, Agriculture and Co -operation (Horti & 
Seri) Department, dated 13.11.2014. 
Short title, extent 
and 
commencement. 
Definitions. 
2  [Act No.3 of 1993] 
 (5) “Occupier of the factory” means the person who, or 
the authority which has the ultimate control over the affairs 
of the factory and where the said affairs are entrust ed to a 
Secretary, Manager, Managing Director, Executive Director 
or Chief Executive Director, such Secretary, Manager, 
Managing Director, Executive Director or Chief Executive 
Director shall be deemed to be the occupier of the factory; 
 
 (6) “Oil Palm” means the palm of the genus, Elaeis and 
includes the species, Elaeis guineensis and Elaeis, 
Malanococcea or Corozooleifera and hybrids of these 
species; 
 
 (7) “Oil Palm Commissioner ” means the Oil Palm 
Commissioner appointed under section 8; 
 
 (8) “Oil Pa lm FFB ” means, the unprocessed Oil palm 
fresh fruit bunch and includes its loose form also; 
 
 (9) “Oil Palm Grower ” means a person who cultivates 
oil palm whether by himself or by his own servants or by 
hired labour or by members of his family or by his tenants 
and includes Oil Palm Growers ‟ Co-operative Society, but 
not a member thereof, and a Company as defined in section 
3 of the 3Companies Act, 1956; 
 
 (10) “Oil Palm Growers‟ Co-operative Society” means a 
Society registered under 4the Telangana Co -operative 
Societies Act,  1964, which has among its objects and 
functions the cultivation and sale of oil palm FFB by its 
members, and includes the F ederation of any such 
Societies; 
 
                                                           
3. Now see the Companies Act 2013 (Central Act 18 of 2013). 
4. Adapted by G.O.Ms.No.53, Agriculture and Cooperation (Coop.II) 
Department, dated 20.05.2016.  
Central Act 1 of 1956. 
Act No.7 of 1964. 
[Act No.3 of 1993]  3 
 (11) “Oil Palm Inspector” means the Oil Palm Inspector 
appointed under section 9; 
 
 (12) “Oil Palm Product”  means any product obtained 
directly from the oil palm and it includes palm oil, palm 
karnel, palm karnel cake, palm fatty acids, oil palm seeds 
and oil palm seedings; 
 
 (13) “Prescribed” means prescribed by rules made 
under this Act; 
 
 (14) “Zonal Committee ” means a Zon al Committee 
Constituted under section 5. 
 
3. (1) As soon as may be after the commencement of this 
Act, the Government shall by notification, constitute a 
Committee for the State to be called “The 5Telangana Oil 
Palm Advisory Committee”. 
 
 (2) The Committee shall consist of the following 
members, namely:- 
 
  (a) the Minister in -charge of Horticulture who shall be 
the Chairman; 
 
  (b) three members of the Legislative Assembly of the 
State to be nominated by the Government; 
 
  (c) Secretaries to Government in -charge of 
Agriculture, Industries and Finance; 
 
  (d) Heads of Departments of Agriculture, Horticulture 
and Industries; 
 
                                                           
5. Substituted by G.O.Ms.No.18, Agriculture and Co-operation (Horti & 
Seri) Department, dated 13.11.2014. 
Constitution of the 
Advisory 
Committee. 
4  [Act No.3 of 1993] 
  (e) the Vice -Chancellor of Professor Jayashankar 
Telangana State Agricultural University; 
 
  (f) the Director, Regional Research Laboratory, 
Trivandrum; 
 
  (g) a representative of the Government of India, in the 
Ministry of Agriculture; 
 
  (h) four representatives of the Oil Palm processing 
Factories as may be nominated by the Government; 
 
  (i) four persons from among the Oil Palm Growers as 
may be nominated by the Government; 
 
  (j) the Oil Palm Commissioner. 
 
 (3) The Oil Palm Commissioner shall be the Ex -officio 
Member Secretary of the Committee. 
 
 (4) The t erm of Office of the Committee s hall be three 
years, but the Government may for reasons to be recorded 
in writing, reconstitute the Committee at any time before the 
expiry of the term. 
 
4. It shall be the duty of the Advisory Committee to advise 
the Government on the following matters namely:- 
 
 (a) extension of the areas under cultivation of oil palm; 
 
 (b) problems relating to the cultivation of oil palm; 
 
 (c) problems faced by the oil palm processing industry; 
 
 (d) co -ordination between the oil palm growers and 
industry and sorting out of all matters which may arise; 
 
Functions of the 
Advisory 
Committee. 
[Act No.3 of 1993]  5 
 (e) to bring to the notice of the Government any 
measures that will suit the orderly development of the oil 
palm cultivation and industry; 
 
 (f) such other matters as may be prescribed. 
 
5. (1) The Oil Palm Commissioner may, by notification 
declare each area specified therein attached to a processing 
Factory as a Zone (hereinafter referred to as „Factory Zone‟) 
constitute an Oil Palm Zonal Committee for each such Zone: 
 
 Provided that the Oil Palm Commissioner may, with the 
approval of the Government , constitute one Zonal 
Committee for more than one Factory Zone or more tha n 
one Zonal Committee for each F actory Zone, if it is deemed 
necessary in the interests of effectively carrying out the 
purposes of this Act. 
 
 (2) The Zonal Committee constituted under sub-section 
(1) shall consist of the following members, namely:- 
 
  (i) a Chairman nominated by the Oil Palm 
Commissioner, with the approval of the Government from 
among the persons residing in the Factory Zone; 
 
  (ii) two persons representing the factory located in 
the factory one to be nominated by the Managing Director of 
the factory concerned; 
 
  (iii) four persons from among the growers to be 
nominated by the Oil Palm Commissioner; 
 
  (iv) the J oint Director (Agriculture) and Assistant 
Director (Horticulture) of the area, Executive Engineer 
(Panchayat Raj) and Executiv e Engineer (Roads and 
Buildings) representing the area and the Executive Engineer 
(Public Health); 
Constitution of 
Zonal Committee. 
6  [Act No.3 of 1993] 
  (v) a representative of the 6[Professor Jayashankar 
Telangana State Agricultural University] to be nominated by 
its Vice-Chancellor; 
 
  (vi) the Oil Palm Inspector concerned who shall be 
the Member Secretary of the Committee: 
 
 Provided that the Members specified in clause (iv) shall 
have the right to speak and otherwise to take part in the 
meetings of the Zonal Committee but shall not be entitled to 
Vote at any such meeting. 
 
 (3) The Committee constituted under this section shall 
be a body corporate having perpetual success ion and 
common seal with power t o acquire, hold and dispose of 
property and to enter in  to contracts and may by its 
corporate name sue and be sued. 
 
 (4) the term of the Zonal Committee shall be three 
years and upon its expiry, the Committee shall be 
reconstituted in accordance with th e provisions of sub -
section (1): 
 
 Provided that if the Oil Palm Commissioner is satisfied 
that it is necessary so to do, he may with the approval of the 
Government, by order dissolve the committe e before the 
expiry of its term: 
 
 Provided further that the Oil Palm Commissioner shall 
not pass any such order unless the Committee has had an 
opportunity of making its representations. 
 
 (5) When a Committee is dissolved, the followin g 
consequences shall follow,- 
                                                           
6. Substituted by G.O.Ms.No.18, Agriculture and Co -operation (Horti & 
Seri) Department, dated 13.11.2014. 
[Act No.3 of 1993]  7 
  (a) all the members shall  vacate their offices on the 
date specifi ed in the order but without prejudice  to their 
eligibility for renomination as members; 
 
  (b) the Committee may be reconstituted within three 
months of its di ssolution by the Oil Palm Commissioner in 
accordance with the provisions of sub-section (1); 
 
  (c) the powers and functions of the Committee shall, 
pending its reconstitute be exercised and performed by the 
Secretary subject to such restrictions as may be specified in 
the order. 
 
 (6) The Oil Palm Commissioner may, with the approval 
of the Government, remove any member of the Committee, 
including the Chairman, from his office after recording the 
reasons in writing for such removal: 
 
 Provided that the order removing a member shall not 
be passed by t he Oil Palm Commissioner unless such 
member has had an opportunity of making his 
representation. 
 
6. (1) The functions of the Zonal Committee shall be to,- 
 
  (a) consider the programme  of development of Oil 
Palm cultivation on the Factory Zone; 
 
  (b) deliberate on the problems faced by the factory or 
the growers in cultivation and transport of Oil Palm; 
 
  (c) devise plans for removal of such problems with 
the funds as may be available  with the Committee and to 
recommend to the Government such action as is necessary 
for solving the problems; 
 
Powers and 
functions of the 
Zonal Committee. 
8  [Act No.3 of 1993] 
  (d) recommend to the local bodies, Public -Works 
Department and Roads and Buildings Departments of the 
Government for proper improvement and upkeep of roads 
leading to the F actory Zone from the cultivating centres 
including feeder roads; 
 
  (e) take steps for prevention and control of Oil Palm 
diseases and pests affecting Oil Palm and render all 
possible help for the development of Oil Palm cultivation; 
 
  (f) draw up Plans for training of the cultivators and for 
extension work in respect of Oil Palm with the funds as may 
be available with the committee; 
 
  (g) consider complaints of the growers regarding 
transportation purchase of Oil Palm FFBs and payment of 
price by the factory to the Oil Palm cultivators; 
 
  (h) administer the funds as may be available. 
 
 (2) The Government or the Oil Palm Commissioner 
may call a joint meeting of the Chairman and Members of all 
the Zonal Committees for deliberating o n the issues 
common to all the Factory Zones. 
 
7. (1) There shall be a fund at the disposal of the Zonal 
Committee for the performance of the various functions 
entrusted to it. 
 
 (2) The funds of the Committee shall consist of,- 
 
  (a) grants made by the State Government either for a 
general purpose or for any specific purpose for the 
performance of the functions of the Committee; 
 
  (b) such contributions as may be made by the 
factories Oil Palm growers, Oil Palm Growers‟ Co -operative 
Zonal Committee 
Funds. 
[Act No.3 of 1993]  9 
Societies or such other organisations interested in the 
development of Oil Palm cultivation and processing. 
 
8. Subject to such rules as may be made in this behalf the 
Government shall appoint an Officer as Oil Palm 
Commissioner, or may designate an Officer of the 
Government as Oil Palm Commissioner to exercise the 
powers and perform the functions of the Commissioner 
under this Act. 
 
9. (1) Subject to such rules as may be made in this 
behalf, th e Government may appoint such number of 
officers of the Government as Oil Palm Inspectors for such 
areas as may be specified under this Act to exercise the 
powers and perform the functions vested in the Oil Palm 
Inspectors under this Act. 
 
 (2) Notwithstanding anything contained in sub -section 
(1) the Go vernment may designate  any officer of the 
Department of Horticulture to exercise the powers and 
perform the funct ions of the Oil Palm Inspector u nder this 
Act. 
 
10. The occupier of the factory in every F actory Zone shall 
maintain in such form and in such manner as may be 
prescribed a Register of Oil Palm Growers in the Zone  
attached to the factory in acc ordance with the provisions of 
section 11. The Register shall be updated every year and 
shall always be available in the office of the factory for 
inspection by the Oil Palm Inspector or any other authority 
authorised by the Government or Oil Palm Commi ssioner. A 
copy of the list of Oil Palm Growers‟ and the Oil Palm 
Growers‟ Co-operative Societies in the concerned Zone as 
in the Register shall also be made available by the said 
occupier to the Zonal Committee. It shall be competent for 
the Oil Palm C ommissioner, on the report submitted by the 
Appointment of 
Oil Palm 
Commissioner. 
Oil Palm 
Inspector. 
Register of Oil 
Palm Growers 
and Oil Palm 
Growers‟ Co-
operative 
Societies. 
10  [Act No.3 of 1993] 
inspecting authority, to order such corrections as he deems 
fit in the registers maintained under this section. 
 
11. (1) The Government shall have the power to declare by 
notification, any area as Factory Zone for the purpose of 
supply of fresh Oil Palm fruit bunches to the factory 
specified for the purpose or purchase of Oil Palm FFB and 
any other Oil Palm product by the factory. 
 
 (2) Where a particular area is declared as Factory Zone 
under sub-section (1) the Oil Palm growers in that area shall 
supply the fresh fruit bunches from Oil Pa lm plantations 
grown in that area only to the factory to whom the Factory 
Zone is attached and to none else. 
 
 (3) Where a particular Factory Zone is declared under 
this section the occupier of the factory in the concerned 
Factory Zone and for which the zone is de clared, shall buy 
all the Oil Palm FFB produced by all the Oil Palm growers or 
their Co -operative Societies in that Factory Zone as are 
offered for sale by them at a price which shall not be less 
than the price fixed by the authority empowered to fix the 
price under this Act. 
 
7[11A. (1) Notwithstanding anything contained in section 11 , 
where the Government notifies any Market Intervention 
Scheme approved by the Government of India for any 
specified period for all the Factory Zones in the State, and 
designates an agency or agencies for the  purpose, such 
designated agency may buy specified quantities of Oil Palm 
F.F.Bs produced by the Oil Palm growers or their  
co-operative societies in all the zones as are offered for sale 
by them at a price fixed by t he Government under the 
Market Intervention Scheme. 
                                                           
7. Inserted with marginal heading by Act No.21 of 2000. 
Declaration of 
Factory Zone. 
Market 
Intervention 
Scheme. 
[Act No.3 of 1993]  11 
 (2) The designated agency may supply the said Oil 
palm F.F.Bs to the occupiers of the factories in the 
concerned factory zones and the occupier of the factory 
shall buy all the Oil Palm F.F.Bs so supplied by the 
designated agency, which shall  be deemed to be an Oil 
Palm growers in the Factory Zone under the provisions of 
this Act, in relation to such supply and buying.] 
 
12. (1) In the event of failure on the part of the occupier of 
a factory to buy all the fresh fruit bunches from the growers 
in the Factory Zone declared in relation to a factory, without 
any valid reason, the occupier of factory shall be liable to 
compensate the loss that may have been caused to the 
grower on account of non-purchase of the Oil Palm FFBs by 
the factory in addition to the penalty specified in section 15. 
 
 (2) Where an occupier of a factory refuses to buy 
particular consignment or consignments of Oil Palm FFBs 
from a grower he shall assign reasons therefor in writing: 
 
 Provided that damage, inefficient running, breakdown 
of plant, machinery failure, to use capacities, and any other 
operational problems shall not be valid reasons for refusal of 
the consignment of Oil P alm FFBs and shall be treased as 
the failure on the part of the factory to buy the Oil Palm FFBs 
or purposes of sub-section (1): 
 
 Provided further that the Oil Palm Commissioner shall 
be the authority to decide whether there are valid reasons 
for the failure to buy Oil Palm FFBs and his decision there on 
shall be final. 
 
13. (1) The Government may  on their own fix the minimum 
price of Oil Palm FFBs or may authorize the Oil Palm 
Commissioner to do so, subject to such guidelines as they 
may give in that regard from time to time. 
 
Failure to buy. 
Power to fix 
prices. 
12  [Act No.3 of 1993] 
 (2) Where the Oil Palm Commissioner is authorised to 
fix the prices of  Oil Palm F FBs to be purchased by the 
factory, he shall declare to such intervals as may be directed 
by the Government the minimum price at which the Oil Palm 
FFBs be purchased, by the factories. 
 
14. (1) Every occupier of the factory shall maintain such 
records as are prescribed or as requ ired by the Oil Palm 
Commissioner with the approval of the Government. 
 
 (2) An Oil Palm Inspector may at any time inspect a 
factory and verify such records, reports, statement s and 
registers as may be required to be maintained in connection 
with due implementation of the provisions of this Act and 
may also direct the occupier of a factory to produce them 
for his verification. 
 
 (3) The powers under sub-section (2) may be exercised 
by any officer authorised in this behalf by the Oil Palm 
Commissioner by a general or specific order. 
 
 (4) An occupier of the factory who fails to maintain the 
records as required by this section or fails or refuse s to 
produce the same when called for by an authority under this 
Act shall be punishable under section 15. 
 
15. (1) Every person or oc cupier of a factory who 
contravenes the provisions of sections 11 shall be 
punishable with fine which may extend to rupees ten 
thousand and in the case of a continuing contravention of 
the provisions of the said section with a further fine not 
exceeding rupees one thousand for each day during which 
the contravention continues. 
 
 (2) Any person or occ upier of a factory contravening 
any of the provisions of this Act or of any rule or order made 
under this Act for which no penalty is provided in  
Maintenance of 
Records and 
Inspection. 
Penalties. 
[Act No.3 of 1993]  13 
sub-section (1) shall be punishable with fine which may 
extend to rupees five thousand. 
 
16. (1) No court shall take cognizance of an offence 
punishable under this Act, or any rule or order made there 
under except upon a complaint in writing made by the Oil 
Palm Commissioner or any authority or officer authorised  by 
him in this behalf. 
 
 (2) No court inferior to the court of a Magistrate of the 
First Class shall take cognizance of, or try, an offence under 
this Act or any rule or order made thereunder. 
 
17. On the application of a person accused of an offence 
under this Act or any rule or order made thereunder, the Oil 
Palm Commissioner or any authority or Officer authorised 
by him in this behalf may, at any stage, compound such 
offence by levying a compoundi ng fee not exceeding 
rupees ten thousand. 
 
18. (1) No suit, prosecution or other legal proceeding shall 
lie against any person for anything which is in good faith 
done or intended to be done in pursuance of any provision 
of this Act or any rule or order made thereunder. 
 
 (2) No suit or other legal pro ceedings shall lie against 
the Government for any damage caused or likely to be 
caused by anything which is in good faith done or intended 
to be done in pursuance of any provision of this Act or of 
any rule or order made thereunder. 
 
19. (1) Where the occupier of a Oil Palm factory is a firm or 
other association of individuals any one or more o f the 
partners or members there of may be prosecuted and 
punished under this Act for any offence for which the 
occupier of the factory or owner thereof is punishable: 
 
Institution of 
Proceedings. 
Compounding of 
offences. 
Determination of 
occupier of 
factory for the 
purposes of this 
Act. 
Protection of acts 
done in good 
faith. 
14  [Act No.3 of 1993] 
 Provided that the firm or association may give notice to 
the Oil P alm Commissioner that it has nominated one of its 
partners or members to be occupier of the factory for the 
purposes of this Act, and such individuals shall be deemed 
to be the occupier of factory for the purpose of this Act, until 
further notice cancelling his nomination is received by the 
Oil Palm commissioner or until he ceases to be a partner or 
member of the firm or association as the case may be. 
 
 (2) Where the occupier of a factory is a company or a 
co-operative s ociety, any one or more of the Directors 
thereof, or, in the case of a private company, any one or 
more of the shareholders thereof, may be prosec uted and 
punished unde r this Act, for any offence for which the 
occupier of the factory is punishable: 
 
 Provided that the company or co-operative society may 
give notice to the Oil Palm Commissioner that i t has 
nominated a Director, and a private company may give 
notice to the said officer that it has nominated a 
shareholder, to be the occupier of the factory for the 
purposes of this Act, and such Director or share holder shall 
be deemed to be the occupie r of the factory for the 
purposes of this Act, until  further notice cancelling his 
nomination is received by the Oil Palm Commissioner or 
until he ceases to be a Director of shareholder, as the case 
may be. 
 
20. (1) The occupier or owner of a Oil Palm factory shall 
make suitable provision to the satisfaction of the Oil Palm 
Commissioner for the pay ment of the price of Oil Palm F FB 
supplied to the factory. 
 
 (2) Upon the delivery of Oil Palm FFB the occupier or 
owner of factory shall b e liable to pay within fourteen days 
from the date of such delivery the price of the Oil Palm FFB 
so supplied. 
Payment of Oil 
Palm Price. 
[Act No.3 of 1993]  15 
 (3) The price of the Oil Palm FFB remaining un -paid on 
the expiration of the period specified in sub -section (2) shall 
carry interest at fifteen per cent per annum from the date of 
delivery of Oil Palm FFB and it shall be recovered as if it 
were an arrear of land revenue. 
 
 (4) If any occupier or owner of a factory fails to pay the 
price of the Oil Palm FFB sold to him in accordance with the 
provision of sub-section (2) or the interest payable under the 
sub-section (3), he shall, in addition to the said price or the 
interest bein g recovered from him as an arrear of land 
revenue, be liable to the penalty provided for under clause 
(b) of sub -section (4) of section 3 of the Essential 
Commodities Act, 1955 a s if he has contravened a direction 
issued under that clause. 
 
 (5) Without prejudice to the provisions of the foregoing 
sub-sections, where the owner or occupier of a factory or 
any other person competent in that behalf, enters into an 
agreement with a bank under which the bank agrees to give 
advance to him on the security of palm oil produced or to be 
produced in the factory the said oc cupier, owner or other 
person, as the case may be , shall provide in such 
agreement that such percentage, which shall not be less 
than fifty percent of the total amount of advance as may be 
prescribed, shall be set apart and be avai lable only for 
payment to Oil Palm growers or other co -operative societies 
on account of the quantity of Oil Palm FFB purchased or to 
be purchased for the factory from those Oil Palm growers of 
from or through those societies and interest thereon and 
such societies commission in respect thereof. 
 
 (6) Every such occupier, owner o r other person as 
aforesaid shall send a copy of every such agreement to the 
Oil Palm Commissioner within a week from the date on 
which it is entered into. 
 
Central Act 10 of 1955. 
16  [Act No.3 of 1993] 
21. (1) Government may by notification, levy a tax with a 
rate not exceeding Rupees One Hundred per M.T. on the 
purchase of FFBs required for use, consumption or sale in a 
factory. 
 
 (2) The Government may, by notification, remit in whole 
or in part such tax in respect of FFBs used or intended to be 
used in a factory or any purpose specified in such 
notification. 
 
 (3) The tax payable under sub -section (1) shall be 
levied and collected from the occupier of the factory or from 
the person receiving Oil Palm FFBs or the oil palm 
Processing Factory in such manner and by such authority 
as may be prescribed. 
 
22. The tax on Oil Palm levied and collected under Section 
21 shall be used for the following purposes namely:- 
 
 (i) for the overall development of oil palm plantation; 
 
 (ii) to bring more areas under oil palm cultivation; 
 
 (iii) to monitor the schemes benefit ting the oil palm 
growers; 
 
 (iv) to develop the feeder roads to facilitate movement 
of oil palm FFBs; and 
 
 (v) any other purpose in the i nterests of Oil Palm 
Growers in particular or in the interests of general public 
residing in Oil Palm Growing Zones. 
 
23. The Government may subject to other provisions of this 
Act, by order direct the Oil Palm Commissioner or any other 
Officer to make an enquiry or to take appropriate 
proceeding under this Act, in respect of any matter specified 
Levy of Tax on 
purchase of Oil 
Palm FFBs. 
Purposes for 
which tax levied 
and collected. 
Power of 
Government to 
give directions. 
[Act No.3 of 1993]  17 
in this order, and  the Oil Palm Commissioner or the other 
officer, as the case may be, shall report to the Government 
in due course the result of the enquiry made or the 
proceeding taken by him. 
 
24. The Government may, by notification, delegate all or 
any of their powers under this Act, except section 25 to any 
person or authority subordinate to them subject to such 
conditions and to such control and revision as may be 
specified in the notification; and they may in the like  manner 
withdraw any powers so delegated. 
 
25. (1) The Government may, by notification make rules for 
carrying out all or any of the purposes of this Act. 
 
 (2) In particular and without prejudice to the generality 
of the foregoing power the Government may make rules: 
 
  (a) as to the conditions governing the declaration of a 
Factory Zone and as to the alteration or cancellation thereof; 
 
  (b) as to the plucking, collection and delivery of the 
Oil Palm FFBs by the growers or as the case may be, by the 
companies and the prescription of collection centres by the 
Oil Palm Commissioner. 
 
 (3) Every rule made under this Act shall immediately 
after it is made, be laid before the Legislature of the State if it 
is in session and if it is not  in session immediately following 
for a total period of fourteen days which may be comprised 
in one session, or in two succes sive sessions and if, before 
the expiration of the session in which it is so laid or the 
session immediately following , the Legislature agrees in 
making any modific ation in the rule or in the annulment of 
the rule the rule shall, from the date on which modification 
or annulment is notified, have effect only in such modified 
form or shall stand annulled, as  the case may be, so 
Delegation of 
powers of 
Government. 
Power to make 
Rules. 
18  [Act No.3 of 1993] 
however, that any such modification or annulment shall be 
without prejudice to the validity of any thing previously done 
under that rule. 
 
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