Draft Land Acquisition and Rehabilitation Bill

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    THE LAND ACQUISITION AND REHABILITATION OF PROJECT

    AFFECTED PERSONS ACT, 2007

    CONTENTS

    Page

    Introduction

    1

    Sections

    PART I

    PRELIMINARY

    1. Short title, extent, commencement and application 1

    2. Definitions 13. Repeal and saving 5

    4. Provisions of Act for involuntary acquisition done by State 5

    5. Functions of State Rehabilitation Commission 5

    6. Meeting and agreement of members of Gram Sabhas and Ward Sabhas 6

    PART IIAPPEALS

    7. Appeal to Court 6

    PART III

    PROCESS OF LAND ACQUISITION AND REHABILITATION

    8. Notification and publication of clearance of Detailed Project Report 7

    9. Process of land acquisition 7

    PART IV

    THE NATIONAL REHABILITATION COMMISSION

    10.Constitution of National Rehabilitation Commission 9

    11. Term of office and condition of service 10

    12.Removal of Chief Rehabilitation Commissioner orRehabilitation Commissioner 11

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    PART V

    THE STATE REHABILITATION COMMISSION

    13.Constitution of State Rehabilitation Commission 12

    14.Terms of office and conditions of service 1515. Removal of State Chief Rehabilitation Commissioner

    and State Rehabilitation Commissioner 16

    THE FIRST SCHEDULE 17

    THE SECOND SCHEDULE 18

    THE THIRD SCHEDULE 19

    THE FOURTH SCHEDULE 31

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    THE LAND ACQUISITION AND REHABILITATION OF PROJECT

    AFFECTED PERSONS ACT, 2007

    An Act to consolidate and amend law relating to Land Acquisition and Rehabilitation of

    Project Affected Persons in India and for matters connected therewith or incidentalthereto.

    PART I

    PRELIMINARY

    1. Short title, extent, commencement and application

    (1) This Act may be called The Land Acquisition and Rehabilitation of Project

    Affected Persons Act, 2007.

    (2) It extends to the whole of India.

    (3) It shall come into force on day of., 2007.

    2. Definitions - In this Act unless the context otherwise requires

    (1) detailed project report means a comprehensive document prepared by theProject Implementer setting out all the technical parameters of the project and

    a detailed enumeration of all its technical, environmental and social costs and

    benefits and the plan and cost of participatory resettlement and rehabilitation

    along with the internal rate of return calculated from these arrived at after the

    participatory consultation process with the Project Affected Persons has beencompleted to the satisfaction of all parties;

    (2) environmental impact assessment means a detailed participatory

    assessment of the various environmental impacts of the project on the basis of

    which the environmental costs of the project can be estimated for the purposesof arriving at a correct internal rate of return;

    (3) Gram Panchayat means the lowest institution of self-government constituted

    in a rural area;

    (4) Gram Sabha means a body consisting of all the persons registered in theelectoral rolls relating to a village comprised within the area of the Gram

    Panchayat at the village level;

    (5) land means benefits to arise out of land and things attached to the earth or

    permanently fastened to anything attached to the earth;

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    (6) Municipality means the institution of self government in an urban or semi-

    urban area;

    (7) National Rehabilitation Commission means a quasi-judicial commission set

    up under this Act to consider appeals against the decisions and actions of theState Rehabilitation Commission;

    (8) People's Rehabilitation Implementation and Monitoring Committee means acommittee elected by the Gram/Ward Sabha to oversee the implementation of

    the Rehabilitation and Resettlement Plan;

    (9) persons entitled to act means any person appointed by Project AffectedPersons to act on his/her behalf in the safeguard of his/her rights and

    entitlements;

    (10) preliminary project report means a preliminary document prepared bythe Project Implementer detailing the technical parameters and expected costs

    and benefits of the project based on rough estimates of the environmental andsocial impacts and a preliminary rehabilitation and resettlement plan;

    (11) private parties means those parties either individually or as an institutionregistered under the Companies Act, Societies Registration Act or

    Registration of Cooperative Societies Act, who would like to acquire land by

    non-coercive means for setting up projects;

    (12) project means any development project or any other initiative or activitythat entails the acquisition of land leading to displacement of people;

    (13) Project Affected Persons means those people all of whose rights andentitlements in a particular area will be affected partially or fully by the

    implementation of a project and not just those whose land is proposed to be

    acquired. Thus this expression will include separately persons of all ages,

    castes, skills, physical and mental abilities, property classes and gender.Consequently in addition to those in whose names land is actually recorded

    with the government Project Affected Persons will include the wives,

    unmarried son(s) and daughter(s) above eighteen years of age, married son(s)and his/ their wife(s), married daughter(s) if they are residing and practicing

    livelihood in the village, disabled, widows, divorcees, of the land owners,

    landless people, tenants, sub-tenants, labourers, encroachers on governmentland. It would also include women abandoned by their families and minor

    children who have no family support;

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    (14) Project Implementer means the entity that is proposing to set up a

    development project that will necessitate land acquisition and rehabilitation

    whether involuntary or non-coercive in nature;

    (15) public good means maximum welfare of the public at large;

    (16) public interest means the maximum welfare of maximum number of

    people;

    (17) public purpose means one, which serves the people and will be used by

    the public at large;

    (18) public utility means a project or service that will be used by the public atlarge;

    (19) rehabilitation and resettlement plan means the detailed participatory

    plan for the rehabilitation and resettlement of the Project Affected Personsalong with the estimated costs, which will be used to arrive at a correct

    internal rate of return;

    (20) social impact assessment means a detailed participatory assessment of

    the various social impacts of the project involving the potential ProjectAffected Persons on the basis of which the social costs of the project can be

    estimated for the purposes of arriving at a correct internal rate of return;

    (21) State Rehabilitation Authority means a statutory and independent

    authority constituted by the government of each state of the Indian Union forthe purpose of overseeing the process of land acquisition and rehabilitation

    and also for keeping a detailed record of this including for those projects that

    have already been completed or are under construction at the time ofenactment of this law thus ensuring a comprehensive audit of displacement

    and rehabilitation in this country;

    (22) State Rehabilitation Commission means a quasi-judicial commission setup by the government of each state of the Indian Union under this Act to

    assess and either sanction or reject on merit the preliminary project reports

    initially submitted to it by project implementers for its consideration. TheState Rehabilitation Commission is also the first appellate authority against

    the actions and decisions of the State Rehabilitation Authority, the Project

    Implementer, the Gram Sabha / Ward Sabha and the People's RehabilitationImplementation and Monitoring Committee;

    (23) Ward means the area from which a member is elected to a municipality

    in an urban or semi urban area;

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    (24) Ward Sabha means a general body consisting of all the persons

    registered in the electoral rolls relating to the area comprised within the Ward;

    3. Repeal and saving. - This law shall prescribe the minimum legal entitlements of

    Project Affected Persons and would override all laws, policies and administrativeinstructions that give lesser entitlements than those prescribed under this law.

    4. Provisions of Act for involuntary acquisition done by State. - The provisions

    in this law for involuntary acquisition shall apply only to that done by the State

    for setting up projects with state funds for public purpose and in the public

    interest. No involuntary acquisition can be done by the state for private parties.However the processes for ensuring the entitlements of the Project Affected

    Persons created under this law would be binding on all private parties that acquire

    land through non-coercive means and the duty to enforce these provisions will

    vest with the State through the National Rehabilitation Commission and the StateRehabilitation Commission.

    5. Functions of State Rehabilitation Commission.- (1)A private party acquiring

    land above the ceiling limit prescribed for the area has to take permission from theState Rehabilitation Commission to do so and it will be the duty of the State

    Rehabilitation Commission to see that adequate provisions for rehabilitation are

    made for Project Affected Persons other than the direct owners of the land.

    (2) A Project Implementer wishing to set up a project must first submit anapplication to the State Rehabilitation Commission along with the Preliminary

    Project Report. The State Rehabilitation Commission will consider whether the

    project prima facie fulfils the conditions of being in the public interest and for a public purpose and in accordance with the principles set out in Schedule I,

    whether its Social Impact Assessment is valid and in accordance with the

    principles set out in Schedule II and whether the Rehabilitation and ResettlementPlan is just and implementable and in accordance with the principles set out in

    Schedule III. In general the State Rehabilitation Commission will operate in

    accordance with the guidelines prescribed in Schedule IV. The StateRehabilitation Commission will reject the Preliminary Project Report if it is prima

    facie found to be wanting in the above respects.

    Notwithstanding anything contained in the above subsection Project

    Implementer can appeal against a negative decision of the State RehabilitationCommission to the National Rehabilitation Commission and thereafter to the

    Supreme Court. However, if the project is found to be deficient in accordance

    with the provisions of Schedules I to IV even after this due process of law then itwill not be pursued with.

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    (3) If the State Rehabilitation Commission finds the Preliminary Project

    Report to be prima facie valid or if on appeal it is found to be valid by the

    National Rehabilitation Commission or the Supreme Court, the StateRehabilitation Commission will then direct the State Rehabilitation Authority to

    initiate a process of public consultation regarding the various aspects of thepreliminary project report involving the Gram Sabhas or Ward Sabhas in the areain which the project is to be implemented. For this purpose the preliminary project

    report will be translated into the local language so that its contents can be

    understood by the Project Affected Persons.

    6. Meeting and agreement of members of Gram Sabhas and Ward Sabhas.-Any number of meetings of the Gram Sabhas or Ward Sabhas may be held till

    eighty percent of their members are reasonably agreed upon the public interest

    and public purpose of the project, its Social Impact Assessment and the

    Rehabilitation and Resettlement Plan necessary to mitigate the negative impactsand a Detailed Project Report on the basis of this agreement is formulated by the

    Project Implementer to the satisfaction of all parties.

    PART II

    APPEALS

    7. Appeal to Court.- Any party aggrieved with the Detailed Project Report and the

    Rehabilitation and Resettlement Plan prepared may approach the State

    Rehabilitation Commission first. Appeal against the order of State RehabilitationCommission shall lie before the National Rehabilitation Commission. Appeal

    against the order of National Commission shall lie beforethe Supreme Court .

    PART III.

    PROCESS OF LAND ACQUISITION AND REHABILITATION

    8. Notification and publication of clearance of Detailed Project Report. - Once

    the Detailed Project Report and the Rehabilitation and Resettlement Plan has gotthe clearance of the Gram Sabhas/Ward Sabhas and the regulatory bodies a

    notification shall be published in the Official Gazette regarding the land to be

    acquired for the project.

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    9. Process of land acquisition. (1) The State Rehabilitation Authority in tandem

    with the local revenue authorities will then initiate the process of land acquisition

    and rehabilitation and resettlement of the Project Affected Persons.

    (2) Individual notices must then be served on each of the Project AffectedPersons as identified in the Rehabilitation and Resettlement Plan.

    (3) Identity cards will have to be issued to all bona fide Project Affected

    Persons within three months of their identification to prevent the subsequent entry

    of unauthorized persons to claim the benefits of the rehabilitation and resettlementplan.

    (4) The State Rehabilitation Authority will be the implementation agency of

    the rehabilitation and resettlement plan with funds provided by the ProjectImplementer for the purpose. State Rehabilitation Authority will deploy specially

    qualified staff to carry out the implementation process efficiently.

    (5) The Project Implementer cannot go ahead with the project unless the funds

    for a particular phase of the rehabilitation and resettlement plan have beendeposited with the State Rehabilitation Authority prior to the beginning of that

    phase.

    (6) While determining compensation the State Rehabilitation Authority will

    use the prevailing market rates that actually operate at the time of purchase scaledup by a multiplier to account for the escalation in property prices due to the

    conversion of agricultural land into non-agricultural land in rural areas and due to

    the proposed project implementation in urban areas to fairly account for the valueof the land. Similarly immovable assets will have to be compensated at

    replacement value and not at depreciated value.

    (7) In case a Project Affected Persons desires cash compensation then the

    State Rehabilitation Authority will take appropriate steps to see that this cashcompensation is used for productive purposes and not frittered away in

    consumption.

    (8) All entitlements to replacement assets provided under the rehabilitationand resettlement plan will be jointly held by the man and the woman in case of a

    married family. Special care should be taken to ensure gender justice in all cases.

    (9) Each affected Gram Sabha/Ward Sabha will elect a body to be called the

    People's Rehabilitation Implementation and Monitoring Committee. At least halfthe total number of People's Rehabilitation Implementation and Monitoring

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    Committee members must be from the marginalised sections like women,

    adivasis, dalits, landless workers, disabled etc in proportion to their population.

    (10) The People's Rehabilitation Implementation and Monitoring Committee

    will monitor the implementation of the rehabilitation and resettlement plan by theState Rehabilitation Authority beginning with the joint measurement of land and

    ending with complete resettlement in the new site or provision of complete

    compensation in case cash compensation is preferred by the Project AffectedPersons. The People's Rehabilitation Implementation and Monitoring Committee

    will have the power to summon documents and information for the purpose of

    carrying out its task.

    (11) The Village/Ward People's Rehabilitation Implementation and

    Monitoring Committee will elect from among themselves one member to the

    Project level People's Rehabilitation Implementation and Monitoring Committee,

    which will provide phase-wise and final certification of the implementation of therehabilitation and resettlement plan based on the reports from the village/ward

    People's Rehabilitation Implementation and Monitoring Committee submitted to

    the State Rehabilitation Commission.

    (12) If the People's Rehabilitation Implementation and Monitoring Committee

    after monitoring and evaluation is dissatisfied with the implementation of the

    rehabilitation and resettlement plan and does not certify it then work on the

    project will be stopped by the State Rehabilitation Commission and penal actiontaken against the erring officials either of the State Rehabilitation Authority or of

    the Project Implementer or both who have been responsible for this lapse.

    (13) The State Rehabilitation Commission will appoint evaluators to conductan independent public evaluation of the Rehabilitation and Resettlement Plan five

    years after the implementation is complete. The evaluation will determine

    whether the goals of positive rehabilitation and resettlement have been achieved

    and if found wanting then the operation of the project in question will be stoppeduntil these are achieved.

    (14) If under this Act land has been acquired for a public purpose, but has notbeen used for it, it should be first returned to the original owner or if that is notpossible then the land should be used for another pubic purpose and should not

    under any circumstances be left for speculative development by the Project

    Implementer.

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    PART IV

    THE NATIONAL REHABILITATION COMMISSION

    10. Constitution of National Rehabilitation Commission.- (1) The Central

    Government shall, by notification in the Official gazette, constitute a body to beknown as the National Rehabilitation Commission to exercise the powers

    conferred on, and to perform the functions assigned to it under this Act,

    (2) the National Rehabilitation Commission shall consist of

    (a) the Chief Rehabilitation Commissioner, and(b) such number of Rehabilitation Commissioners, not exceeding ten as

    many be deemed necessary

    (3) The Chief Rehabilitation Commissioner and RehabilitationCommissioners shall be appointed by the President on the recommendation of acommittee consisting of

    i. the Prime Minister, who shall be the Chairperson of the committee

    ii. the leader of the Opposition in the Lok Sabha andiii. A Union Cabinet Minister to be nominated by the Prime Minister

    (4) The general superintendence, direction and management of the affairs of

    the National Rehabilitation Commission shall vest in the Chief RehabilitationCommissioner who shall be assisted by the Rehabilitation Commissioners and

    may exercise all such powers and do all such acts and things which may be

    exercised or done by the National Rehabilitation Commission autonomouslywithout being subjected to directions by any other authority under this Act.

    (5) The Chief Rehabilitation Commissioner shall be a retired Supreme Court

    Judge and he shall be assisted by Rehabilitation Commissioners who shall be

    persons of eminence in public life with wide knowledge and experience in law,science, technology, social service, management, journalism, mass media or

    administration and governance with special expertise in various aspects of

    rehabilitation and resettlement of project affected persons.

    (6) The Chief Rehabilitation Commissioner or a Rehabilitation Commissionershall not be a member of Parliament or Member of the Legislature of any state or

    Union Territory as the case may be, or hold any other office of profit or be

    connected with any political party or carrying on any business or pursuing anyprofession.

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    (7) The headquarters of the National Rehabilitation Commission shall be at

    Delhi and the National Rehabilitation Commission may with the previous

    approval of the Central Government establish offices at other places in India.

    11. Term of office and condition of service. -(1) The National RehabilitationCommissioner shall hold office for a term of five years from the date on which he

    enters upon his office and shall be eligible for reappointment,

    Provided that no Chief National Rehabilitation Commissioner shall hold office assuch after he has attained the age of seventy years.

    (2) Every Rehabilitation Commissioner shall hold office for a term of five

    years from the date on which he enters upon his office or till he attains the age of

    sixty five years, whichever is earlier and shall not be eligible for reappointment assuch provided that every Rehabilitation Commissioner shall on vacating his office

    under this sub section be eligible for appointment as the Chief RehabilitationCommissioner in the manner specified.

    Provided that where the Rehabilitation Commissioner is appointed as theChief Rehabilitation Commissioner, his term shall not be more than five years in

    aggregate as the Rehabilitation Commissioner and the Chief Rehabilitation

    Commissioner.

    (3) The Chief Rehabilitation Officer or a rehabilitation Commissioner may at

    any time by writing under his hand addressed to the President resign from his

    office. Provided that the Chief Rehabilitation Commissioner or a Rehabilitation

    Commissioner may be removed in the manner specified.

    (4) The salaries and allowances payable to and other terms and conditions of

    service of the Chief Rehabilitation Commissioner shall be the same as that of the

    Supreme Court Judge and the Rehabilitation Commissioners shall be the same asthat of Principal Secretary, Government of India.

    Provided that if the Chief Rehabilitation Commissioner or a Rehabilitation

    Commissioner, at the time of his appointment is, in receipt of a pension, otherthan a disability or wound pension, in respect of any previous service under theGovernment of India or under the Government of a State, his salary in respect of

    the service as the Chief Rehabilitation Commissioner or an Rehabilitation

    Commissioner shall be reduced by the amount of that pension including anyportion of pension which was commuted and pension equivalent of other forms of

    retirement benefits excluding pension equivalent of retirement gratuity:

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    Provided further that if the Chief Rehabilitation Commissioner or a

    Rehabilitation Commissioner if, at the time of his appointment is, in receipt of

    retirement benefits in respect of any previous service rendered in a Corporationestablished by or under any Central Act or State Act or a Government company

    owned or controlled by the Central Government or the State Government, hissalary in respect of the service as the Chief Rehabilitation Commissioner or aRehabilitation Commissioner shall be reduced by the amount of pension

    equivalent to the retirement benefits:

    Provided also that the salaries, allowances and other conditions of service of

    the Chief Rehabilitation Commissioner and the Rehabilitation Commissionersshall not be varied to their disadvantage after their appointment.

    (5) The central government shall provide the Chief RehabilitationCommissioner and the Rehabilitation Commissioners with such officers andemployees as may be necessary for the efficient performance of their functions

    under this Act, and the salaries and allowances payable to and the terms and

    conditions of service of the officers and other employees appointed for the

    purpose of this Act shall be such as may be prescribed.

    12. Removal of Chief Rehabilitation Commissioner or RehabilitationCommissioner. - (1) Subject tot the provisions of the Act, the Chief

    Rehabilitation Commissioner or any Rehabilitation Commissioner shall beremoved from his or her office only by order of the President on the ground of

    proved misbehaviour or incapacity after the Supreme Court, on a reference madeto it by the President has, on inquiry, reported that the Chief RehabilitationCommissioner or any Rehabilitation Commissioner as the case may be ought on

    such ground be removed.

    (2) The President may suspend from office, and if deemed necessary prohibit

    also from attending the office during inquiry, the Chief RehabilitationCommissioner or Rehabilitation Commissioner in respect of whom a reference

    has been made to the Supreme Court under the provisions of this Act until the

    President has passed orders on receipt of the report of the Supreme Court on such

    reference

    (3) Notwithstanding anything contained in sub-section (1) the President may

    by order remove from office the Chief Rehabilitation Commissioner, any

    Rehabilitation Commissioner if the Chief Rehabilitation Commissioner or aRehabilitation Commissioner, as the case may be, -

    (a) is adjudged insolvent, or

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    (b) has been convicted of an offence which, in the opinion of the President,

    involves moral turpitude, or

    (c) engages during his term of office in any paid employment outside theduties of his office; or

    (d) is, in the opinion of the President, unfit to continue in office by reason of

    infirmity of mind or body, or(e) has acquired such financial or other interest as is likely to affect

    prejudicially his functions as the Chief Rehabilitation Commissioner or a

    Rehabilitation Commissioner.

    (4) If the Chief Rehabilitation Commissioner or a RehabilitationCommissioner is in any way concerned or interested in any contract or agreement

    made by or on behalf of the Government of India or participates in any way in the

    profit thereof or in any benefit or emolument arising there from otherwise than asa member and in common with the other members of an incorporated company,

    he shall, for the purposes of sub section (1) be deemed to be guilty of

    misbehaviour.

    PART V

    THE STATE REHABILITATION COMMISSION

    13. Constitution of State Rehabilitation Commission.- (1) Every State Government

    shall, by notification in the Official Gazette, constitute a body to be known asthe ......... (name of the State) Rehabilitation Commission to exercise the powers

    conferred on, and to perform the functions assigned to, it under this Act.

    (2) The State Rehabilitation Commission shall consist of

    (a) The State Chief Rehabilitation Commissioner, and(b) Such number of State Rehabilitation Commissioners, not

    exceeding ten, as may be deemed necessary.

    (3) The State Chief Rehabilitation Commissioner and the State RehabilitationCommissioners shall be appointed by the Governor on the recommendation of a

    committee consisting of(i) The Chief Minister, who shall be the Chairperson of the committee;

    (ii) The Leader of Opposition in the Legislative Assembly; and(iii) A Cabinet Minister to be nominated by the Chief Minister.

    Explanation.For the purposes of removal of doubts, it is hereby declared

    that where the Leader of Opposition in the Legislative Assembly has not been

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    recognised as such, the Leader of the single largest group in opposition of the

    Government in the Legislative Assembly shall be deemed to be the Leader of

    Opposition.

    (4) The general superintendence, direction and management of the affairs ofthe State Rehabilitation Commission shall vest in the State Chief Rehabilitation

    Commissioner who shall be assisted by the State Rehabilitation Commissioners

    and may exercise all such powers and do all such acts and things which may beexercised or done by the State Rehabilitation Commission autonomously without

    being subjected to directions by any other authority under this Act.

    (5) The State Chief Rehabilitation Commissioner shall be a retired High CourtJudge and shall be assisted by the State Rehabilitation Commissioners who shall

    be persons of eminence in public life with wide knowledge and experience in law,

    science and technology, social service, management, journalism, mass media or

    administration and governance with special expertise in various aspects ofrehabilitation and resettlement of project affected persons.

    (6) The State Chief Rehabilitation Commissioner or a State Rehabilitation

    Commissioner shall not be a Member of Parliament or Member of the Legislatureof any State or Union territory, as the case may be, or hold any other office of

    profit or connected with any political party or carrying on any business or

    pursuing any profession.

    (7) The headquarters of the State Rehabilitation Commission shall be at suchplace in the State as the State Government may, by notification in the Official

    Gazette, specify and the State Rehabilitation Commission may, with the previous

    approval of the State Government, establish offices at other places in the State.

    14. Terms of office and conditions of service.- (1) The State Chief RehabilitationCommissioner shall hold office for a term of five years from the date on which he

    enters upon his office and shall not be eligible for reappointment:

    Provided that no Chief State Chief Rehabilitation Commissioner shall holdoffice as such after he has attained the age of sixty- eight years.

    (2) Every State Rehabilitation Commissioner shall hold office for a term of

    five years from the date on which he enters upon his office or till he attains the

    age of sixty-five years, whichever is earlier, and shall not be eligible forreappointment as such State Rehabilitation Commissioner:

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    Provided that every State Rehabilitation Commissioner shall, on vacating his

    office under this sub-section, be eligible for appointment as the State Chief

    Rehabilitation Commissioner in the manner specified in sub-section (3) of section13:

    Provided further that where the State Rehabilitation Commissioner is

    appointed as the State Chief Rehabilitation Commissioner, his term of office shallnot be more than five years in aggregate as the State Rehabilitation Commissioner

    and the State Chief Rehabilitation Commissioner.

    (3) The State Chief Rehabilitation Commissioner or a State Rehabilitation

    Commissioner, shall before he enters upon his office make and subscribe beforethe Governor or some other person appointed by him in that behalf, an oath or

    affirmation according to the form set out for the purpose in the First Schedule.

    (4) The State Chief Rehabilitation Commissioner or a State Rehabilitation

    Commissioner may, at any time, by writing under his hand addressed to theGovernor, resign from his office:

    Provided that the State Chief Rehabilitation Commissioner or a State

    Rehabilitation Commissioner may be removed in the manner specified undersection 15.

    (5) The salaries and allowances payable to and other terms and conditions of

    service of

    (a) the State Chief Rehabilitation Commissioner shall be the same as that of aHigh Court Judge;

    (b) the State Rehabilitation Commissioner shall be the same as that of the

    Chief Secretary to the State Government:

    Provided that if the State Chief Rehabilitation Commissioner or a StateRehabilitation Commissioner, at the time of his appointment is, in receipt of a

    pension, other than a disability or wound pension, in respect of any previous

    service under the Government of India or under the Government of a State, hissalary in respect of the service as the State Chief Rehabilitation Commissioner or

    a State Rehabilitation Commissioner shall be reduced by the amount of that

    pension including any portion of pension which was commuted and pension

    equivalent of other forms of retirement benefits excluding pension equivalent ofretirement gratuity:

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    Provided further that where the State Chief Rehabilitation Commissioner or a

    State Rehabilitation Commissioner if, at the time of his appointment is, in receipt

    of retirement benefits in respect of any previous service rendered in a Corporationestablished by or under any Central Act or State Act or a Government company

    owned or controlled by the Central Government or the State Government, his

    salary in respect of the service as the State Chief Rehabilitation Commissioner orthe State Rehabilitation Commissioner shall be reduced by the amount of pension

    equivalent to the retirement benefits:

    Provided also that the salaries, allowances and other conditions of service of

    the State Chief Rehabilitation Commissioner and the State RehabilitationCommissioners shall not be varied to their disadvantage after their appointment.

    (6) The State Government shall provide the State Chief Rehabilitation

    Commissioner and the State Rehabilitation Commissioners with such officers and

    employees as may be necessary for the efficient performance of their functionsunder this Act, and the salaries and allowances payable to and the terms and

    conditions of service of the officers and other employees appointed for the

    purpose of this Act shall be such as may be prescribed.

    15. Removal of State Chief Rehabilitation Commissioner and State

    Rehabilitation Commissioner.- (1) Subject to the provisions of sub-section (3),

    the State Chief Rehabilitation Commissioner or a State Rehabilitation

    Commissioner shall be removed from his office only by order of the Governor onthe ground of proved misbehaviour or incapacity after the Supreme Court, on a

    reference made to it by the Governor, has on inquiry, reported that the State ChiefRehabilitation Commissioner or a State Rehabilitation Commissioner, as the casemay be, ought on such ground be removed.

    (2) The Governor may suspend from office, and if deem necessary prohibit

    also from attending the office during inquiry, the State Chief Rehabilitation

    Commissioner or a State Rehabilitation Commissioner in respect of whom areference has been made to the Supreme Court under sub-section (1) until the

    Governor has passed orders on receipt of the report of the Supreme Court on such

    reference.

    (3) Notwithstanding anything contained in sub-section (1), the Governor may

    by order remove from office the State Chief Rehabilitation Commissioner or a

    State Rehabilitation Commissioner if a State Chief Rehabilitation Commissioner

    or a State Rehabilitation Commissioner, as the case may be,(a) is adjudged an insolvent; or

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    (b) has been convicted of an offence which, in the opinion of the Governor,

    involves moral turpitude; or

    (c) engages during his term of office in any paid employment outside theduties of his office; or

    (d) is, in the opinion of the Governor, unfit to continue in office by reason of

    infirmity of mind or body; or(e) has acquired such financial or other interest as is likely to affect

    prejudicially his functions as the State Chief Rehabilitation Commissioner or a

    State Rehabilitation Commissioner.

    (4) If the State Chief Rehabilitation Commissioner or a State Rehabilitation

    Commissioner in any way, concerned or interested in any contract or agreement

    made by or on behalf of the Government of the State or participates in any way inthe profit thereof or in any benefit or emoluments arising therefrom otherwise

    than as a member and in common with the other members of an incorporated

    company, he shall, for the purposes of sub-section (1), be deemed to be guilty of

    misbehaviour.

    THE FIRST SCHEDULE

    [See Section 2(16)(17)]

    PUBLIC INTEREST AND PUBLIC PURPOSE

    1. A project fulfils a public purpose and is in public interest when -

    i. the project benefits the community as a body

    ii. the project is directly related to the functions of the government

    iii. the project does not have as its primary objective the benefit of a private partyiv. the benefits of the project option outweigh the costs of loss of land, livelihood,

    shelter, culture, habitat, environment and other capital and operating costs

    incurred andv. the public interest to be created outweighs any public interest value accruing

    from the existing use of the land and everything attached to it.

    THE SECOND SCHEDULE

    [See Section 2(20)]

    SOCIAL IMPACT ASSESSMENT

    1. The Social Impact Assessment should take into account the following -

    i. Deprivation of property including land and everything attached to it (with

    water sources, wells and trees) and houses either owned, occupied withtenancy rights or in de facto possession.

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    ii. Deprivation of economic, social and cultural opportunities, including but not

    restircted to means of livelihood, due to stagnation of developmental activity

    after project is proposed, loss of access clientele, loss of jobs due to physicalrelocation, loss of gainful employment and loss of access to income

    generating common property resources.

    iii. Adverse impacts on both physical and mental healthiv. Loss of security especially for women, children and the aged

    v. Loss due to suspension of developmental activity in affected areas after

    project is proposedvi. Loss due to decrease in property prices due to lack of saleability of

    immovable property

    vii. Loss of cultural heritage sites and monuments

    viii. Loss of familiar social and geographical surroundingsix. Loss of markets

    x. Loss of social and political leadership

    xi. Loss of communication and transport facilities

    xii. Loss of access to government schemes and facilitiesxiii. Impacts of alienation from kin and traditional communities and possible

    conflicts with host communities.xiv. Adverse impacts on quality of life due to pollution from project construction.

    THE THIRD SCHEDULE

    [See Section 2(19)]

    REHABILITATION AND RESETTLEMENT PLAN

    The Rehabilitation and Resettlement Plan for the Project Affected Persons must includethe following detailed provisions for their benefit -

    1. Infrastructural Facilities

    1. For en-masse resettlement of populations, the following infrastructural

    facilities and basic minimum amenities are to be provided at the cost of

    requisitioning authority to ensure that the resettled population in the newvillage or colony can secure for themselves a reasonable standard of

    community life and can attempt to minimise the trauma involved in

    displacement. The new resettlement site must be reasonably habitable orbe made reasonably habitable, and the villages or colonies established in

    new sites should be well planned in all aspects. A reasonably habitable

    and planned settlement would have, as a minimum, the following facilities

    and resources, as appropriate;

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    2. Roads within the resettled villages and an all weather road link to the

    nearest well constructed road, passages and easement rights for all the

    resettled families be adequately arranged

    3. Proper drainage as well as sanitation plans executed before physicalresettlement;

    4. One or more assured sources of safe drinking water for each 25 families

    settled in a pocket has to be ensured, capable of yielding enough water to

    meet the demand of at least six litres per capita per day of safe drinkingwater and 40 litres per capital per day of water for other purposes.

    5. Drinking water for cattle through a pond/borewell/well with a trough;

    6. Grazing land as per proportion acceptable in the state

    7. Freehold rights for habitation plots and recognition as a revenue village or

    a habitation with a panchayat/local self-government committee

    8. Necessary plantation of inhabited areas must be taken up under social

    forestry or agro-forestry schemes financed by various Ministries of theGovernment and environmental aspects of the new rehabilitation site duly

    taken care of;

    9. A reasonable number of Fair Price shops must be set up;

    10. Panchayat Ghars, as appropriate, must be established in each newly settled

    village/basti;

    11. Efforts must be taken to set up one Primary Agricultural Co-operative

    Credit Society with facility for selling essential consumer articles in everyresettled village;

    12. Village level Post Offices, as appropriate, with facilities for openingsaving accounts must be set up;

    13. Appropriate seed-cum-fertilizer storages must be set up;

    14. Efforts must be made to provide basic irrigation facilities to the

    agricultural land allocated to the resettled families if not from theirrigation project, then by developing a cooperative or under some

    government scheme or special assistance;

    15. Institutional arrangements for training under theTraining for Rural Youth

    in Self Employment scheme, easy access to financial institutions foravailing of financial assistance under the Integrated Rural Development

    Programme or any other government or bankable schemes;

    16. Panchayati Raj Institutions must be immediately brought under operation

    in the newly settled villages/colonies above (Institutions such as schools,supplemental nutrition and health centers and community centers must be

    controlled and managed through some local organization which either

    already exists or is newly formed, like the gram sabha or gram panchayat,or a mahila mandal);

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    17. All resettlement families living below poverty line receiving land in the

    resettled area for agricultural purpose shall also get free supply of seeds

    and irrigation from any public source for cultivation of suitable crops freeo cost for the first year, and on loan basis for subsequent two years;

    18. All new villages established for resettlement of the Project Affected

    Persons shall be provided with suitable transport facility which mustinclude public transport facilities through local bus services with thenearby growth centers; urban localities;

    19. Burial and/or cremation ground, depending on the caste-communities at

    the site and their practices;

    20. Facilities for sanitation, including individual toiled points;

    21. Individual single electric connections (or connection through non-conventional sources of energy like solar energy), for each household and

    for public lighting;

    22. Child and mother supplemental nutritional services;23. Pre school and primary school;

    24. Sub health center within two kilometre range;

    25. Primary Health Centre for each group of 20,000 populations.

    26. Playground for children;

    27. One community center for every 500 families;

    28. Places of worship and chowpal/tree platform for every 50 families forcommunity assembly, of numbers and dismensions consonant with the

    affected area;

    29. Separate land must be earmarked for traditional tribal institutions;

    30. Grazing ground and nistaar land for food and fodder, especially in the caseof biomass dependent communities;

    31. The forest dweller families must be provided, where possible, with their

    traditional rights on non-timber forest produce and common property

    resources, if available close to the new place of settlement and, in case andsuch family can continue their access or entry to such forest or common

    property in the area close to the place of eviction, they must continue to

    enjoy their earlier rights to the aforesaid sources of livelihood;

    32. The beneficiaries of resettled area, irrespective of caste, creed, religion oreconomic status, must be allowed to construct for themselves all other

    facilities essential for community life by taking up suitable projects for

    which finances are available from governmental scheme. In addition,

    members of a resettled family may be encouraged to undertake suitableself employment schemes for which finances are available under

    government and/or any bankable scheme;

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    33. Appropriate security arrangements must be provided for the settlement, if

    needed.

    2. Agricultural Land

    1. Any displaced person/family engaged primarily in agricultural work, either as

    worker, tenant or owner with or without legal little, subject to those declaredineligible under the policy, must be allotted agricultural land of two standard hectares,

    if he or she exercises such an option. The title rights will be non-alienable.

    Explanation 1: One standard hectare shall mean one hectare of agricultural land

    irrigated out of any public irrigation scheme, 1.25 hectare of agricultural landirrigated/irrigable from any private source/private or personal irrigation project, 1.5

    hectare of agricultural land if the land is non-irrigated and non-irrigable but duly

    rainfed, 2 hectares if the land allotted is cultivable but non-irrigable plain land and 3hectares if the land offered is wasteland, hilly land, forest land, dry land in arid zone

    which require land development works for initiation of cultivation, but is capable of

    being made cultivable.

    Explanation 2: Every major male adult member, dependent upon thelandholding, jointly or separately, and adult female member when unmarried,

    widowed or divorced, would be considered as a separate family unit for all purposes

    of land allotment.

    2. Allotment of irrigated land: - Whether landless or landholding ProjectAffected Persons will have the first right to the land in the command. To make such

    land available, the requiring authority would acquire up to 50 percent of land in

    excess of 2 standard hectares of each land holder benefiting from the new command.Consolidation of holdings would have to be undertaken, in such a way as to ensure

    that Project Affected Persons from a village are allotted land in close proximity. In

    case the Project Affected Persons agriculturist chooses to be allotted land outside thecommand area, this option must be respected subject to availability, and the cost of

    land development and irrigation of irrigable land allotted under the scheme would be

    borne by the requiring authority.

    Explanation: It may be stressed that irrigated or at least irrigable land must be therule, and other categories only the exception where irrigated or irrigable land is

    impossible, the requiring agency or authority shall bear the cost of organizing

    irrigation in the allotted land. A specific contract must be signed by requiringagencies or authorities with each individual family or group to provide the same

    within the prescribed period. The allottee of land in the resettled area shall be

    provided with proper rights and title on land, free from all encumbrances, following

    the land demarcation and allotment procedure as per the Land Revenue Code.

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    3. Agricultural land for rehabilitation must be allotted in the joint name of

    husband and wife except in the case of single parent households, or unmarried adult

    individuals.

    4. Obligation of other requiring agencies and authorities to bear the cost ofdevelopment of cultivable waste land: - If land allotted is wasteland, undulated,

    hilly, rocky, degraded, cost for improvement, development, reclamation of the land

    including construction of contour bunds or other watershed development schemesshall be borne by the project, and implemented within a period not exceeding two

    years from the date of allotment of such land, again based on a specific contract.

    5. Allotment of land to displaced allottees of government land : - The recipientsof the government agricultural land or Gram Sabha agricultural land, if displaced,

    shall be entitled to the same rights as a land-owner, even if such allottee did not have

    physical possession, appropriate record or document to prove such possession.

    6. Requiring agency to bear stamp duty and other fees: - The cost ofregistration, stamp duty and other fees, if any, for providing legal documents on land

    to the allottees shall be borne by the requiring agency.

    7. Payment of cost for initial cultivation of allotted land: - The requiring

    agency shall provide cost of ploughing, seeds, and fertilizers in the first year ofcultivation of the allotted land, In the second and third year, cost of cultivation must

    be paid to such allottee of land on the basis of loan from the requiring agency

    recoverable within next five years on the basis of single installment per annum andfree from any interest on the outstanding loan. Provided that the land which requires

    development in order to become cultivable, the assistance grant must continue until

    the development work is in progress. In all of these, cash payment must be kept tothe minimum. Service centers/guilds must be established, wherever possible.

    8. Non-titled cultivators on forest lands: - Forest dwellers, cultivating forest

    lands since any date prior to 13th December 2005 (or as per the provisions of

    Scheduled Tribes and other traditional forest dwellers (Recognition of Forest Rights)Act, 2006. shall be considered as owners of such land for purposes of compensation

    for such land and allotment of land in lieu of land.

    9. Other encroachers: - All encroachers of Government land for a period of five

    years or more before the date of acquisition of land, who are otherwise landless ormarginal farmers, primarily dependent on cultivation for their livelihoods, shall be

    treated as owners of the land for the purpose of resettlement and rehabilitation. They

    shall also be entitled to allotment of land in lieu of the encroached land surrenderedby them.

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    3. Employment Opportunities

    1. At least one person from every project affected family will be given

    employment by the project.

    Explanation 1 -In the first place, all unskilled and semi-skilled direct employmentin the project must always go to a Project Affected Persons with a mandatory

    preference, as long as any such positions are available for employment. Those with

    appropriate qualifications must also be given first priority for skilled positions. Apriority list of eligible Project Affected Persons must be prepared and published along

    with criterion and procedure for selection, and objections heard before these are

    finalized by the State Rehabilitation Authority. The priority list must begin withthose who are most vulnerable - landless labourers and artisans who have lost their

    livelihood. After that, landholders will be listed on a descending scale, with a lower

    priority for those with larger holdings, In recruitment to regular jobs in the project

    preference shall be given to those losing their source of livelihood, residents of the

    zone, of the district and of the state in that order. Many projects, including publicsector units in the past, have attempted to evade this responsibility by giving even

    many such on-going unskilled or semiskilled tasks (eg. Horticulture) to contractors,which could adequately be implemented by Project Affected Persons. This must not

    be permitted as long as there are any eligible Project Affected Persons.

    Explanation 2 - A second problem frequently encountered is that Project Affected

    Persons are rejected because they are said to lack the skills required. Since all suchprojects have long gestation periods, therefore the State Rehabilitation Authority with

    the assistance for local District Rural Development Agencies and the District Urban

    Development Agencies and the state government must systematically ensure fullliteracy as well as the creation of necessary skills to render the Project Affected

    Persons eligible for employment for semi-skilled positions, and for those with

    sufficient educational qualifications for skilled positions. Even those privateenterprises, which benefit from the project would be charged in the same manner with

    responsibility for providing skills and jobs to such people. This systematic skill

    development is primarily the responsibility of the project, with assistance where

    available from state agencies.

    2. For the above provision to be operationalised, from the conceptualization of the

    project plan itself, the State Rehabilitation Authority must plan multi-dimensionalliteracy, educational and training programmes and institutions for the people likely to be affected. The training must focus also on developing such traditional

    occupations/skills, which can be carried to, and useful in, the areas of resettlement.

    New skills for new occupations in the resettlement area must be the core of the effort.

    The entire objective would be to enable the project-affected people to havepreferential access to the employment opportunities likely to be generated by the

    project. The entire programme must be planned with high professionalism well in

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    advance, and must be based upon prior studies of the existing skills, experience,

    training, competence and aptitudes of the people likely to be affected so that they can

    easily switch over or be absorbed in new employment. Even after displacement andresettlement, there must be major efforts to run training programmes to provide

    modern skills to the resettled people to ready them for their new employment. This

    training programme is not meant merely for preparing for jobs or services, but alsofor self-employment.

    3. Provision of casual and manual wage employment shall not be considered as an

    alternate source of livelihood or employment in the case of affected persons.

    Moreover, all such employment shall be co-operatised so as to instill a sense ofdignity amongst the participants. Accordingly, all possible tasks in the project will be

    assigned to cooperatives or groups (even unregistered) of workers, which at present

    are being generally executed through contractors and middlemen.

    4. In all mining projects, preference in grant of lease . would be given to corporatebodies comprising (i) the gram sabhas of the likely zone of influence; (ii) persons

    owning mineral bearing lands; (iii) workers; and (iv) entrepreneurs providing capital

    and technical know how. The share of concerned gram sabhas in each shall not beless than fifty percent.

    5. The Project Implementing Agency in consultation with t State Rehabilitation

    Authority will also prepare a broad outline of a perspective plan for reclamation of

    the mining areas, and for land use and development after the mining operations areover. All such lands after development will belong to the community comprising the

    concerned gram sabhas. The same must be assigned to the erstwhile land-owners orlandless labourers, subject to the condition that the economic activity thereon will beexclusively through personal labour of the assignee and his family and that the land

    shall not be transferable except through inheritance. A detailed scheme on the above

    lines will be prepared by the requiring agencies in consultation with the gram sabhasat least two years in advance of the closure of a mine area or any part thereof.

    4. Allotment of Shares

    1. Allotment of shares from the project will be made according to the

    recommendations laid down by the Dilip Singh Bhuria headed Parliamentary

    Committee Report which states that 50% of the shares of the mining and otherindustries should go to the community and 10% to the people who are directly

    affected and 10% to the workers.

    5. One Time Grant

    1. A one-time rehabilitation grant for loss of livelihood will be provided to every

    adult member of the eligible displaced family, equivalent to 750 days of minimum

    wages admissible for unskilled workers. This is provided to cover a gestation period

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    of around three years to enable the family to establish a new livelihood. This amount

    will be placed in a bank account in fixed deposit in the joint name of male and female

    heads of household. The interest may be freely used for consumption purposes, butthe capital can only used for purchase of productive assets or in other ways connected

    with the establishment of secure livelihoods. This will be ensured by the Collector, or

    any officer nominated for the purpose by the Collector, who would be a jointsignatory (along with male and female heads of families) of the account.

    6. Homesteads

    1. All displaced families from the rural as well urban communities shall be

    provided with the following benefits of resettlement and rehabilitation packages;

    2. The rehabilitation package will include allotment of homestead land of the

    quantum specified, as well as constructed dwelling of such standard and with suchnumber of rooms as has been specified separately for rural and urban households, as

    per stipulations provided below. In addition, allotment of funds for construction ofcattle-sheds, transportation cost for shifting of building materials, persons, and theirbelongings including cattle is to be provided by the Project Implementing Agency, by

    such number of trips as must be mutually decided by the State Rehabilitation

    Authority in consultation with individual families. Those Project Affected Personswho are given the land for land option, but voluntarily do not opt for land, will be

    eligible to opt for assistance available to displaced persons from urban areas;

    3. Allotment of homestead land in rural area: - All displaced families from the

    rural area, shall be settled in areas selected by the Project Affected Persons from

    among a range of real choices (at least three), including sites as close as possible tothe place of displacement, as well as sites as close as possible to new livelihoods such

    as the command area or new factory and the new township. If such families aresettled in the rural areas, they shall be allotted a homestead land, which must not be

    less than the homestead land acquired, submerged or otherwise lost on account of the

    project, subject to a minimum of 150 square meters;

    4. Allotment of constructed houses and standard/floor area thereof: - Inaddition to allotment of homestead land each family settled in a rural area shall be

    provided with a constructed house of the standard prescribed under Indira Aawas

    Yojana with one living room for the nucleus family of husband, wife and two minorchildren; but for every two additional adult members living in such family one

    additional dwelling room of at least 10x10 floor area is to be added to such

    constructed house, subject to a maximum number of three additional rooms per

    family. If the displaced families are willing to and capable of getting their housesconstructed, they are to be given financial assistance equivalent to the rate prescribed

    in Indira Aawas Yojana. Based on the replacement value at the market rates for the

    house acquired. Such families may, however, on their own, construct additional

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    rooms or make necessary extension of the constructed houses out of the funds

    received as compensation as well as by using building materials allowed to be

    transported at the cost provided by the requiring agencies;

    5. Allotment of funds for construction of cattle-sheds: - The requiring agenciesshall provide necessary financial assistance as may be required for construction of

    cattle-sheds or poultry farms in the place of their resettlement of the same size and

    standard as was owned by any displaced family. The exact quantum of amount shallbe decided for each individual family separately on the basis of number of cattle or

    birds owned and transported to the new place of settlement;

    6. Allotment of homestead land in urban area: - For allotment of homestead inurban centre a family must be allotted homestead land to the extent acquired and up

    to a minimum of 50 square meters and a maximum of 150 square meters. However,

    the number of rooms to be constructed for a single family or a joint family shall be

    determined on the basis of total number of adult members in the family. At least oneliving room for the nucleus family of husband, wife and two minor children; but for

    every two additional adult members living in such family one additional dwelling

    room of at least 10x10 floor area must be added to such constructed house, subjectto a maximum number of two additional rooms per family;

    7. In case of no allotment of constructed houses in the rural areas: - If the

    displaced family is willing to construct their house, financial assistance given them

    should be equivalent to the rate prescribed in the Indira Awaas Yojana or equivalentto the replacement value whichever is higher;

    8. Independent plot for every adult of the family and preferably readymade

    constructed houses should be avoided;

    9. Allotment of homestead land to homeless families: - No. displaced familyshall be left shelter less in the area of their resettlement. A displaced family, which

    had a dwelling house on unauthorized land, or a temporary house on authorized land,

    or did not have either authorized homestead land (i.e. 50 square meters) in the urbanarea of 150 square meters in the rural areas) and constructed dwelling house of such

    standard and with such number of rooms as separately prescribed for resettlement ofvarious sizes of displaced families to be resettled in the rural as well as urbanhabitations;

    10. Construction cost of new houses to be borne by Project ImplementingAgencies through the State Rehabilitation Authority: - The construction cost is tobe borne by the PIA, in the form of a construction grant, and it shall not be less than

    the amount specified from time to time for construction of Indira Aawas Yojana

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    houses, if such houses are constructed in the rural areas. As far as possible, cash

    payment must be avoided, and substituted by provision of materials/supplies through

    contracted sellers. For construction of houses in the urban areas, the amount to be paid as construction grant shall be 50 per cent more than what is allocable for

    construction of houses in the rural areas in the same tehsil. An option is to provide

    the replacement value of the house acquired;

    11. Limitation to adjustment of the cost of construction of dwelling housing

    against compensation awarded: - The cost of construction of the dwelling houses

    shall not be adjusted from the compensation payable to a Below Poverty Line family;

    7. Self-employed Persons

    1. For all self- employed persons in the project-affected areas who can transfer

    their self- employment to the new area, all the incentive schemes, subsidies, materialand financial assistance on the basis of priority, would be made available so as to

    enable them to resettle in the new area. It is recognized here that some smallagriculturists or landless workers are also self-employed, therefore for purposes ofthis section, only those persons will be regarded as self-employed who derive more

    than 66 per cent of their family income from this source. Also in order to exclude

    large traders who would not require special consideration and assistance, theassistance mentioned in this section would not be available to self-employed persons

    with an capitalized value of trade and business which is 25 lack rupees or more at

    1998 prices. In the cases o self-employed persons who cannot or do not wish to

    transfer their self-employment to the new area, they would be provided withopportunities for similar or alternative self-employment in the area, and with similar

    facilities in the form of incentives, subsidies, material and financial assistance.

    District Panchayats and other state agencies must be given additional grants forvarious relevant schemes, so that they do not have to eat into the rightful quota of the

    host communities and conflict is avoided. If it is not possible to do so, they must be

    paid compensation on the basis of the capitalized value of their trade or business.This will be calculated by the State Rehabilitation Authority on the basis of a

    speaking order which would be appealable. They must also be provided with jobs, as

    indicated below, subject to the willingness of the Project Affected Persons.

    8. Allotment of constructed shops or working sheds: -

    1. All displaced families, including artisans, shop-keepers, small traders, etc. shall

    be provided with addition to what is admissible to all the displaced families under this

    policy, all non- agricultural necessary assistance to resume the traditional/familytrade, occupation, vocation and productive activities in their new place of settlement.

    The allotment would be of a constructed shop or working shed along with the landrequired for such construction to resume trade. The allotment would also be given

    transport cost for shifting the goods, materials, and movable properties to the place of

    resettlement. An artisan, like a potter, blacksmith, carpenter, metal-worker, weaver,shoe-maker, etc. would also be given constructed sheds along with necessary land for

    resuming his or her productive activities. In case a shop owner has rented out his or

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    her shop or run it through paid employees, an equitable Resettlement and

    Rehabilitation Policy which centers around restoring livelihoods would give separate

    allotments of shops in the new township to the former shop owner andtenant/employee. This will also be applicable to urban areas.

    9. Interim financial assistance

    1. In case of displacement preceding the allotment of constructed sheds and land,

    all resident adult members of the family of displaced artisans shop keepers, small-

    traders etc. shall be given a monthly subsistence allowance of not less than 25 daysminimum wages, for each adult member of the family and for a period of six months

    after the constructed shed and transportation allowance are availed to by such a

    displaced family of artisans. The State Rehabilitation Authority is also responsiblefor providing active assistance with regard to improvements in technology, markets,

    access to credit and raw materials etc. Displacement of self-employed persons is

    permitted only where an alternative sustainable source of livelihood is established atleast one year prior to the displacement.

    10. Tribals

    1. It has been empirically established that tribals bear a highly disproportionate

    burden of displacement. Because of their especial vulnerability when uprooted from

    their traditional habitats. Therefore, to the maximum extent possible large scaleprojects in tribal areas must be reconsidered carefully as to whether they can be

    located elsewhere so as to avoid or at least minimize tribal displacement. The first

    policy option should be an option that would save adivasis from displacement and

    alienate them from their lands and livelihood. The next preference should be atechnology and project with minimum displacement, which should be accepted even

    if the costs are greater and the benefits are less than the greater displacement option.

    2. It is a common experience that displaced tribal communities are not able tosettle and strike roots in regions that are very different socio-culturally, and with

    different resource base and social institutions from their original habitant. Hence,

    whenever a project displaces such communities, they must preferably be resettled in a

    zone adjacent to the affected area, consonant with the socio-cultural, ecological,linguistic and economic characteristics of the community. All adivasi communities

    must be rehabilitated strictly in compliance with International Labour Organization107 convention, and in strict compliance with the policy of prior informed consent.

    3. Efforts must be made to ensure that all tribal families of the ousted villages are

    resettled together in a particular area, to the extent possible. The minimum unit for

    relocation must be a hamlet or a clan. In no case must such tribal families be so

    segregated in providing settlement with house-sites, that they lose the contact within

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    their linguistic group and ethnic group, unless any of such family had expressed its

    willingness/no objection in writing, to such segregated rehabilitation. For settlement

    of tribal families in a new locality, common property land for religious andcommunity gathering must be allotted free of cost.

    4. Prior to the acquisition of land for any project in any tribal area, all land rightsdue but not settled will be settled through a special drive ending before landacquisition commences. An inquiry must be made by the competent revenue

    authorities in collaboration with reputed voluntary organizations to determine

    whether any tribal lands have been transferred in violation of the law on the subject.Urgent measures must be taken to cancel such transfers and restore the right and title

    of the tribals on their alienated land, before acquisition proceedings are started, so

    that the tribal families are not deprived of their legal rights and benefits of allotmentof fresh land.

    5. Measures must also be taken to record the rights of tribals in land allotted tothem. All forest-land under occupation of the tribal families before 13th December

    2005 shall be deemed for purposes of compensation and rehabilitation andresettlement to have been allotted or owned by the concerned tribal families, and

    while dispossessing from such land such families shall be treated as per with land-

    owners with legal title (with joint ownership of husband and wife.) This will ensurethat the compensation and rehabilitation package is made available also to such tribals

    who occupied forest-land in the past, but were unable to secure legal rights.

    6. The displaced tribal families shall also be compensated for loss of their

    customary rights/usage on forest produce, fish in case the new site does not providefor such gathering of such forest produces. Such compensation must be calculated at

    10 times the minimum wages which a tribal would have earned at the rates fixed by

    the respective State Government during one single working season of 45 days, i.e.equivalent to 450 days minimum agricultural wages, in addition to normal packages

    like one-time rehabilitation grant for loss of livelihood. This must however be treated

    only as an interim measure. Project and state government authorities must ensure

    within 5 years of the displacement, the development of alternate fuel, fodder and NonTimber Forest resources on non forest-land sufficient to meet the needs of the

    relocated tribal community.

    11. Persons Not Adequately Rehabilitated in Earlier Projects

    1. In the majority of projects executed since Independence, resettlement and

    rehabilitation were not done systematically to enable displaced and affected people toregain their livelihoods and rebuild their lives. This has dispersed the displaced and

    affected people to a wider geographical area, and empirical studies have established

    that the trauma of their destitution has left them living in enhanced poverty and in

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    several cases in stark destitution. These disempowered people, pauperized by the

    development process itself, must be provided even belatedly with rehabilitation

    benefits to enable them to regain and if possible improve upon their existinglivelihoods. This must be in the nature of a national commitment.

    2. The State Rehabilitation Authority will be responsible for tracing and enumeration

    of the people displaced and affected by all projects since Independence within a

    particular state which have been executed or are under execution prior to the cominginto force of this Act. The State Rehabilitation Authority with the assistance of

    reputed academic institutions and Non Government Organizations will undertake this

    exercise, especially an assessment of their shelter and livelihood needs. It isrecognized that especially for older projects, the tracing of displaced persons can be a

    highly daunting task, but it must be pursued with commitment and will to the extent

    feasible. The central government, on the basis of such studies, would assist the stategovernments through the State Rehabilitation Authority s to enable the older Project

    Affected Persons to satisfy their needs, mainly through special allotments under

    existing governmental programmes: for provision of houseplots and title deeds,construction or repair of house through Indira Awas Yogna and a National Slum

    Development Programme, acquiring employable skills and initiation of self-

    employment activities through Training of Rural Youth in Self Employment,

    Integrated Rural Development Programme, Pradhan Mantri Swarozgar Yojana,Swarn Jayanti Shahri Rozgar Yojana, and other schemes. The displaced/affected

    women could be facilitated to enhance their income earning potential through

    resources from programmes like Development of Women and Children in RuralAreas and financial institutions. Such assistance must be based on special additional

    allocations, and should not be at the expense of the share of the host community.

    3. In those cases where, in the absence of a satisfactory alternative acceptable to the

    people or the person concerned, they may have changed their habitation andestablished a new one on their own; or a person after losing her or his resource base

    may have occupied a piece of land and may be subsisting on the same through family

    labour, and not hired labourers, no coercive process shall be instituted against thepeople under any law whatsoever. The new habitation shall be deemed to have

    acquired the status of a regular habitation after lapse of five years irrespective of the

    status of the land - private, common, community, or revenue, on which it is situated.In case of private lands so encroached on the affected persons shall be eligible for

    compensation as per the provisions of this Act. In the case of forestlands, special

    cases would be made for exemption under the Forest Conservation Act 1980.

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    THE FOURTH SCHEDULE

    [See Section 5(2)]

    OPERATIONAL GUIDELINES FOR THE NATIONAL AND STATE

    REHABILITATION COMMISSIONS

    1. Verify the necessity of displacement and the extent of displacement that is

    likely to occur;

    2. Assess each project that involves displacement to ensure it adopts the least

    displacing alternative;

    3. Ascertain that the rehabilitation plan is capable of being implemented, for e.g.,by verification that, where the principle of allocation of land for land as rehabilitationis recommended, land for such rehabilitation is available.

    4. The Rehabilitation Commissions shall on the basis of the above criteria and the

    principles set out in Schedules I to III above -

    1. give clearance2. give conditonal clearance, or

    3. refuse clearance to the project for reasons given in writing.

    5. The Rehabilitation Commissions shall periodically review the implementation

    of the detailed rehabilitation and resettlement plan drawn up in consultation with theProject Affected Persons. The Rehabilitation Commissions may revoke the clearance,

    or conditional clearance, if the Project Implementing Agency fails to fulfill the terms

    of the detailed rehabilitation plan.

    6. The Rehabilitation Commissions may act suo motu or on the complaint of any

    person displaced by the project, people's movements or collectives of persons

    working with the displaced, or Non Government Organizations.

    7. The Rehabilitation Commissions shall conduct investigations before givingclearance or conditional clearance. The Rehabilitation Commissions may solicit and

    consider reports of persons and organizations before deciding to give clearance or

    conditional clearance, or reject or revoke clearance.

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    8. The Rehabilitation Commissions shall monitor that those falling within the

    zone of displacement are given information at all stages of the project, are consulted,

    and their concurrence taken in the formulation of the detailed rehabilitation plan inaccordance with the provisions of this Act.

    9. The Rehabilitation Commissions may, inter alia, direct restoration of land,

    habitation and livelihood where rehabilitation is not done as required by the

    provisions of this Act. The Rehabilitation Commissions may also direct restoration ofland in the event of more displacement than the minimum required for the purposes of

    the project.

    10. A clearance, or conditional clearance, will be valid for a period of one year, ora shorter period where the Rehabilitation Commissions so order and the

    Rehabilitation Commissions shall review the clearance or conditional clearance on

    the basis of the reports submitted by the People's Rehabilitation and Implementation

    Monitoring Committees before deciding about the continuance of the clearance. The process of renewal of clearance is thus contingent on the reports regarding the

    implementation of the rehabilitation package submitted by the People's Rehabilitation

    and Implementation Monitoring Committees.

    11. Where the Project Implementing Agency or the State Rehabilitation Authority

    or both default in the implementation of the Rehabilitation Plan and displacement

    occurs without resettlement and rehabilitation, the Rehabilitation Commissions may

    take penal action against the offenders.