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New Land Acquisition Bill will ease land purchase for industry: Jairam Ramesh

30 Sep 2013 Evaluate

Allaying fears of the Indian industry that the new Land Acquisition Act would make projects economically unviable, Union Minister for Rural Development Jairam Ramesh said that the new act applies only to the land acquired by Central and State authorities for any public purpose, and there would be no bar on purchase of private land. The industry must look beyond land acquisition by Government and explore land purchase opportunities, he added.

By adding further, Jairam Ramesh said that according to the new act all land sales including Land Acquisition, Rehabilitation and Resettlement will come into the public domain, which will increase transparency and will also make it easier for the corporates to purchase lands. The Rural Development minister further added that the ministry has been working towards improving land records management and promoting transparency in land sales across India. National Land Record Modernisation Programme worth Rs 1,000 crore is being implemented with focus on computerisation of land records, digitisation of maps and surveys.

To ensure that landowners benefit from the almost lopsided increase in the value of land after the development of a large infrastructure or industrial project, the new Land Acquisition Act proposes compensation by four times the market value in rural areas and twice the market value in urban areas. It also includes provision to deal with cases where compensation has not been paid in five years, and non-development of the acquired land for five years (to prevent a real estate arbitrage play). Further, new Land Acquisition Act, will also make it mandatory to obtain the consent of 80 per cent landowners for acquiring land for private sector projects and 70 per cent consent for public-private projects.

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