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LAND ACQUISITION

Sandeep Goyal

GO5139

Guided By:- Mr. Siddesh Pai

Pravin Pawar

GO5127

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Land

Land is the most critical component for any development

work, be it a road, building, development of new township,

power project, laying of new railway track, or a housing

colony.

With increasing pace of urbanization, pressure on land,

particularly urban land is getting more and more

pronounced.

Land is already a scarce commodity.

INTRODUCTION

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Land Scenario in India

- 2.3% of the global land housing, 17% of thehuman population and 15% livestockpopulation.

- High degree of population pressure.

- Land resource under high degree ofdevelopmental stress.

- Large scale land degradation due to soil

erosion, deforestation etc. (38.4-187 millionha of land)

- 20% of land falls under the category of WasteLand.

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Major Problems of Land Management in India include:

Acquisition ACT, 1894.

Absence of urban land policy

Lack of information.

Existence of a weak institutional capacity to manage

land.

Lack of adequate financial resources.

Corruption/illegal practices.

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Mode of procuring land from the owners for development .

Amount of compensation.

Socio -Political uprising against acquisition of private land.

Huge difference between Government Value and Market Value.

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Facilitating the governments acquisition of privately held land for

public purposes.

The word "public purpose", as defined in the act, refers to the

acquisition of land for

EDUCATIONAL INSTITUTIONS

HOUSING

HEALTH

SLUM CLEARANCE

Purpose of Land Acquisition Act

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Investigation

Objection and Confirmation

Claim and Award

Reference to Court

Procedure for the Land Acquisition

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The Land Acquisition (Amendment) Bill, 2007

The Land Acquisition (Amendment) Bill, 2007 was passed by the

Lok Sabha on 25th February 2009

The Amendment attempts to expand the rights of those whose

land is being acquired

To restrict the types of projects for which governments can

acquire land.

The Rehabilitation and Resettlement Bill, 2007 which attempts to

specify the benefits that displaced people will receive.

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Highlights of the Bill

Role and Power of Govt

The consent of 80% of those likely to be affected.

Even landless people of the village, will be considered.

The compensation is likely to be six times the registered value,

with Rs 2000 per month annuity for 20 years.

If the value of land goes up in future transactions for the next ten

years, 20% of the increased value would go to the original landowners.

Companies have to offer the land owner with a share of the

profits of the project.

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Resettlement of displaced residents.

While determining compensation, the intended use of land and

value of such land in the current market is to be considered.

Establishment of Disputes Settlement Authority at the state and

central levels.

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Less reliance on agricultural land

Providing attractive compensation to local communities

Direct engagement with stakeholders

Involve people in the developmental activity after acquisition

Owner to have option to buy back the land

Avoiding political alignments

Key Ingredients of Successful Acquisitions ?

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What are the various models of land acquisition ?

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State SponsoredModel of land acquisitions

The dominant model of land acquisition in India till date.

The state directly acquires fragmented land from the peasants.

However, in recent times, this model of land acquisition has come under

serious questioning from the direct stakeholders Nandigram , Singur.

Due to lack of inadequate compensation it has become practically very

difficult to implement in the current democratic set up of India.

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Second model of land acquisition - Marketization

State should in no way be involved in any acquisition of land.

Land has to be obtained through the process of direct exchange

between buyers (private or state agencies) and sellers.

This model however does not clarify the compensation package forother stakeholders related to land, say, for example, the agricultural

workers.

This model would lead to the emergence of a huge 'brokerage' land

market and 'land acquiring' private companies would create 'privateland bank.

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Third model of land acquisitionPPP

(Public Privet Partnership)

The third model is derived from the first and the second models.

The state government outsource the process of buying land to an

agency.

The agency act as a buyer in the market to acquire land directly fromthe peasants only to hand it over to the state government.

Two kinds of contracts rule this model of land acquisition

I. A contract between state and private agency of land buyer - a

written or unwritten contract.

II. Between the private agency of land buyer and the peasants - has

to be written and legally ratified.

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Cases of Acquisition

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Jindal Model, in Salboni

JSW is setting up a 10-million-tonne plant.

On 4877.44 acres at Salboni in West Bengal.

At a cost of Rs 35,000 crore.

It has three components:

i. Employment for at least one person per family losing land.

ii. Compensation for land price in the form of cash and insurance annuity.

iii. Free shares at par equivalent to land price.

Steps taken:

The process of land acquisition was started in 2006.

In 2008 project was brought under the purview of the SEZ-2005 act.

Jindals obtained universal acceptance of their compensation package.

They also have earned the reputation of a large-scale green-field project. Projects like cattle rearing and water-shed management proposed.

Distribution of drinking water to the villagers is being worked out with

priority.

Local youth are being trained and then employed to build a 38km long

boundary wall.

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POSCO model, in Paradeep

Posco's proposed 12 million tonnes steel plant - the largest foreign investment

in India. About 120 km from -Paradip,

At least 2,900 acres of the forest land.

Only 21 out of the 2200 odd families have applied for compensation.

The lack of response is attributed to the lack of coordination dueannouncement of lesser compensation,for the betel vine farmers by the district

administration.

The rising demand for betel leaves have led to the poor response to the

compensation package

Also the disbursement of compensation was stopped by the district as Posco

paid a compensation of Rs 10000 per decimal of land as against Rs 6000 per

decimal stated in the Rehabilitation and Resettlement Policy of the Orissa

government.

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What are the alternative models of land acquisition ?

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1. Plot Reconstitution (PR) Technique

The concept of land assembly was first implemented inMaharashtra with the enforcement of the Bombay TownPlanning Act, 1915.

Achieved by providing each holding unit with a public roadaccess and regularizing the shape of each plot.

Compensation is paid to land owners for the land takenaway for roads and public facilities.

At the same time, betterment charges known as incrementalcontribution are collected from each owner.

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2. Land pooling/Readjustment (LP/R) Technique

This is a simpler version of PR technique used in many Asiancountries in which neither compensation nor incremental

charges are paid.

The authority in charge of urban development selects land inthe fringe area which is suitable for development.

The public agency engages land owners in a compulsorypartnership for preparing a comprehensive plan.

It sells some of the redeveloped plots to recover theexpenditure and passes on the rest of the plots to landowners in proportion to the original size of the landholdings.

The land owners, thus, become partners in the urban

development process.

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3. Negotiated Land Purchase

Negotiated land purchase as pursued by private colonizers.T

his was made possible for the first time in India under theHaryanaMunicipal and Regulation of Urban Areas Act, 1975.

The Act permits developers to negotiate direct purchasefrom farmers for large scale land assembly for urbandevelopment.

Aforesaid Act, In which owner has to apply to the State TownPlanning Department in a prescribed from for issuance oflicence.

Like Haryana, in Punjab too, colonization of private land inurban areas is regulated under Punjab Apartment andProperty Regulation Act, 1995.

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Conclusion

People are not only against the land acquisition but to the veryidea of giving up land and their forms of life.

A need to give a quieter and deeper look at actual policy of land

acquisition specially on

- the willingness of people to depart from their land- the matters related to compensation

To identify alternative way of relationship between

agriculture and industry

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THANKS26