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| Jairam Ramesh |
MUMBAI: The Union Minister for Rural Development Jairam Ramesh
today allayed the fears expressed by the Indian industry that the new Land
Acquisition Act would make projects 'economically unviable'.
Addressing a press
conference here the minister said that, "The new act applies only to
the land acquired by 'Central and State authorities' for any public purpose,
while there is no bar whatsoever, on purchase of private land. He said
“industry must look beyond land acquisition by Government and explore land purchase
opportunities. In fact, in 20 years from now, there should only be land
purchases and no land acquisition”.
Reiterating his stand that land acquisition should become an act of last
resort, Ramesh said that his Ministry has been working towards improving land
records management in the country and promoting transparency in land sales. He
informed that Rs 1000 crore National Land Record Modernization Programme is
being implemented with focus on computerization of land records, digitization
of maps and resurvey. He also said that Maharashtra has progressed well but is yet to
catch up with Haryana, Gujarat, Karnataka and Tripura.
On sale and registration of land, the minister said that a bill seeking amendment to the Registration Act of 1908 has
been introduced in Parliament, which when passed, wold put all land sales and
registration records in public domain. “When transparency increases, it will
become easier for corporate to purchase land” he observed.
Speaking about the SEZs, the Rural Development Minister said all land
acquisition for future SEZs would be in accordance with the new Act. He however
admitted that the Act presently has no provision to deal with denotified SEZs.
Ramesh termed that the new act, which replaces 119 year old act as ‘historic’.
Turmed the 1894 Act on land acquisition as 'undemocratic' which provided discretionary powers to District Collectors, the minister said, the new Act is humane as it
provides rehabilitation and resettlement.” He said to represent this spirit, the new act has been re-christened as the
“Right to Fair Compensation and Transparency in Land Acquisition,
Rehabilitation and Resettlement Act.”
"I believe that the old law was 'anti-democratic' as governments used to buy
land from people at lower price and sell it to business houses at a premium
rate. The collector decided the urgency, the amount of compensation and
resettlement provisions if any. Hence the old act created public anger
nationwide and was the reason behind mass movements on land issues in Uttar
Pradesh, Madhya Pradesh, and Gujarat along with Odisha,” said the Minister.
He elaborated that under the new act the powers of the Collectors, who often
acted under the instructions of state governments have been 'considerably
curtailed'. The purpose of land acquisition has been clearly spelt out and major
emphasis has been laid on rehabilitation and resettlement. He said that consent
of Gram Sabha in Schedule V areas – mostly tribal dominated areas, and consultation
with Gram Sabha in other areas, has been made mandatory.
The Minister further
added, that if the Government failed to utilize the land so acquired for public
purpose within five years, it will be required to return the land to its
owners.
The Minister also said that the new Act promises fair compensation for the
farmers and those who lose their lands. “Land is still considered the biggest
social security in India. Since they will be dispossessed of their assets, they
are entitled for a fair and just compensation” he said.
The new act stipulates
that compensation will be paid at twice the rate of three year average of
highest selling price in urban areas and up to four times the average highest
sale price in rural areas. In addition, there is also a provision of leasing
the land instead of selling it, thereby opting to receive a regular income over
a longer period of time.
The Minister said the new law has been made under the concurrent list of the
Constitution and States could only improve upon the quantum of compensation as
well as other provisions in favour of the land owners and farmers.
He said it
would be notified either on January 1, 2014 or April 1, 2014 and appealed to
all state governments to implement it in right spirit.