UPA Govt, introduces land acquisition Bill : Key modifications done

Rahul Gandhi
Jairam Ramesh
The Congress led  UPA (United Progressive Alliance) government introduced the  land acquisition Bill in the Lok Sabha.

The National Land Acquisition and Rehabilitation & Resettlement Bill, 2011, aims to address rehabilitation and resettlement (R&R) by providing safeguards for both landowners and livelihood losers while clearly defining the “public purpose“ for which land can be acquired by the government. It also adds a clause prescribing a specific timeline for compensation.

With the Bill modified to include suggestions from various groups since it was unveiled for pre-legislative consultation in July 2011, the central government hopes to pass it in the forthcoming winter session of Parliament.

Giving a political colour to the sensitive piece of legislation, Union minister for rural development Mr. Jairam Ramesh on Wednesday described the Bill as a “political response to a political problem“, giving the credit for it to Congress general secretary Rahul Gandhi.

Mr. Ramesh also said, “The entire process, from the beginning of the drafting of the Bill to its introduction, took about 55 days. The entire credit should go to Rahul Gandhi, who not only gave the broad principles of the Bill but also spoke to the Prime Minister and various other people to impress upon them the urgency of the Bill,“
Rahul Gandhi, seen as a future prime ministerial candidate of the Congress, has been leading campaigns in the Uttar Pradesh state for a comprehensive land acquisition law following farmer protests, hoping to revive the party's political fortunes in the Uttar Pradesh state.


Highlights of the Bill

* A significant addition to the final Bill is the timeline for providing compensation as well as R&R entitlements to land owners and livelihood losers.

* Compensation will have to be given within 3 months from the date of the award; monetary R&R entitlements have to be provided within 6 months.

* Infrastructure R&R benefits will have to be given within 18 months of the award.

* In the case of irrigation or hydel projects, R&R should be completed 6 months prior to submergence.

* No involuntary displacement can take place without the completion of R&R.

* Provides for transferring land to the state government if the area is not used for the purpose it was acquired for within 10 years. The original draft provided for returning such land to its original user within 5 years.

* The state to either return the land to its original owner or use it for any public purpose as defined by the Act.

* Significantly, compensation in rural areas has been lowered from 6 times the original market value to 4 times, while that in urban areas remains the same at double the market value.

* Bill will not supersede 16 of the specialized items of legislation on land acquisition, including those for special economic zones and railways. The Union government, however, will have the power to apply provisions of this law through a notification.

* The bill makes it clear that land acquired for a particular purpose cannot be used for any other purpose or project. Such transfers have been happening causing resentment among those who lost the land.

* The bill did not have overriding powers over 15 other laws, including one covering SEZs, which allowed land acquisition for specific purposes.

*  A minimum subsistence allowance of Rs 3,000 a month will be given to each land-losing family for 12 months, plus Rs 5,00,000 as one-time payment or Rs 2,000 as monthly annuity for 20 years.

* For those who lose their livelihood as a result of land acquisition, such as landless labour, a similar compensation is also provided for. This aims at adequate compensation to both landowners and those who work on land they do not own.There were special provisions for the scheduled castes and scheduled tribes.
* States will also continue to have their own land acquisition laws, but the new Bill will provide a minimum compensation and R&R package.

Welcome to Bill
While industry lobby groups are happy with the Bill, they have reservations on certain provisions.
Mr. Rajiv Kumar, Secretary General, FICCI (Federation of Indian Chambers of Commerce and Industry) said, “We welcome this Bill as it will make the process clear and transparent and we will know the procedure to be followed. We feel that in some parts, the Bill could have been simpler, like in rehabilitation, etc.; the clauses are very complex.""


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