Provided further that, no such direction shall be made by the State Government without giving the local authority a reasonable opportunity to show cause why any such direction should not be made.

Restriction of lease permission in adjoining areas If any person or Company applies to the Collector or any other competent authority for lease of Government land or for permission to convert agricultural land into non-agricultural use for setting up of an industrial undertaking or for locating a brick kiln, quarry or for any other use which may be detrimental to the orderly growth of an industrial area or industrial estate and if such Government land or agricultural land is situated within a radius of five kilometres of the outer boundary of the said industrial area or estate, the Collector or the competent authority shall not grant such lease or permission without prior consultation with the Board: Provided that where the Collector or the competent authority overrides the objection of the Board, he will give reasons therefore in writing to the Board; whereupon the Board may appeal to the prescribed authority: Provided further that no action shall be taken on the order of the Collector or the competent authority till such appeal is disposed of: Provided also that the provisions of this section shall not apply to any village industry, cottage industry or tiny sector industry. Explanation—For the purpose of this section—

1. (i) the expressions "village industry" and "cottage industry" shall have the same meaning as assigned to them under the Orissa State-aid to Industries Act, 1978;
2. (ii) "tiny sector industry" shall mean such industry as may be declared by the State Government, from time to time, to be a tiny sector industry.