Power to Advance Loans.

Subject to Rules made under this Act, it shall be competent for the State Development Bank and District Development Banks to Advance loans for the following purposes; (i) agricultural and rural development; and (ii) such other purposes, for which refinance facilities are available from the National Bank. Explanation :-For the purpose of this section "Agricultural and Rural Development purposes" means any work, construction or activity which aids agricultural and rural development and in particular includes the following -- (a) construction and repair of wells including tubewells, borewells and dug-cum-borewells, tanks and other works for storage, supply or distribution of water for the purposes of agriculture or for use of men and cattle employed in agriculture; (b) renewal or reconstruction of any of the foregoing work or alteration therein of addition thereto; (c) preparation of land for irrigation including Command Area Development; (d) Drainage, reclamation from river or other waters, or protection from floods or from erosion or other damage by water, of land used for agricultural purposes or waste land which is culturable; (e) bunding and similar improvements; (f) reclamation, clearance and enclosure or permanent improvement of land for agricultural purposes; (g) horticulture; (h) pisciculture; (i) poultry, animal husbandry or dairy farming; (j) sheep and goat rearing, piggery; (k) purchase of plough-bullocks; (l) purchase and repair of oil engines, pumping sets, and electrical motors for any of the purposes mentioned in this section; (m) Plantation including tree crops; (n) Transportation, storage including rural warehouses, godowns and cold-storage, and marketing of agricultural, cottage and industrial products, and acquisition of purchase of tools, implements, machinery; (o) Purchase and repair of tractors or powertillers or any other agricultural machinery; (p) increase of the productive capacity of land by addition to it of special variety of soil; (q) construction, repair and reconstruction of permanent farm-houses, cattle-sheds and sheds for processing of agricultural produce at any stage; (r) purchase of machinery for crushing sugarcane, manufacturing Gur; (s) purchase of machinery for harvesting and processing of agricultural produce; (t) apiculture, sericulture including production of silk, (u) agro-forestry; (v) implements and machineries including animal-driven carts in connection with such activities; (w) market yards for agricultural produce; (x) establishment of bio-gas plant; (y) working capital or production credit to borrowers of investment credit; (z) setting up of cottage and village industries; (z-1) purchase of shares in Cooperative sugar factory, spinning mill or any agro-processing industry; (u-1) laying of transmission lines of electricity, and rural electrification; (d-1) development and use of non-traditional sources of energy; (e-1) establishment of milk-chilling plant; (f-1) acquisition including acquisition of plot, construction, reconstruction or repair of rural dwelling houses; (g-1) all such other activities as are incidental or ancillary to the above mentioned purposes or as may be approved by the Board of the State Land Development Bank in consultation with the Refinancing Agencies. in case of any disagreement the Board's decision shall be final.