Land acquisition: An attempt to make the process expeditious and straightforward

[ecis2016.org] We examine the provisions of the land acquisition amendment bill, 2022, and the impact it is likely to have on projects and land owners whose land will be acquired for the projects

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act of 2013 (‘Act’) was incorporated to provide the following:

You are reading: Land acquisition: An attempt to make the process expeditious and straightforward

• Just and fair compensation to landowners and affected families.
• Reduce hardships of owners and people dependent on the land.
• Address issues of rehabilitation and resettlement of displaced persons.
• Provide a more transparent and less complex process of acquisition.
• Facilitate acquisition for industrialisation and modernisation.

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Need for amendment

An analysis of a flash report published by the Ministry of Statistics and Planning in September 2018, revealed the top five states where the cost overturn was witnessed due to delay in completion of the projects. Maharashtra topped the chart with costs overrun of Rs 1.99 trillion, due to delays in the completion of 129 projects. Hence, came an amendment, vide the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (Amendment) Bill, 2022.

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The amendment Bill was passed by the Lok Sabha on March 10, 2022 and is now pending in the Rajya Sabha. The amendment Bill has been issued for all the major infrastructure development projects undertaken by the central and Maharashtra government in Mumbai, among others, to avoid any further delay due to time consuming process, procedural lapses, natural calamities and to expedite the completion of projects.

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Land acquisition amendment bill 2022

Section 40 of the Act provides special powers given to the collector as and when directed by the government, to acquire land in case of urgency, which will be restricted to the minimum area required for the defence of India, national security, any emergencies arising out of natural calamities or any other emergencies with approval of Parliament.

The amendment Bill introduces two new sections, Section 40A and Section 40B, for the development of all infrastructure projects undertaken by the Maharashtra government in Mumbai.

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Provisions under Section 40A 

1. The collector will acquire such land, even though no such award has been made.
2. The collector will take possession of such land as mentioned above, on the expiration of 30 days from publication of notice under Section 21 of the said Act and may on the recommendation of the Single Window No Objection Certificate Approval Committee. Thereupon the land will vest, free from all encumbrances, in name of the government.
3. The government cannot take possession of such land without sending a prior notice to the occupier, of their intention to do so, for a minimum 30 days or longer but not later than 45 days.
4. The collector will tender compensation payment of such land before taking the possession and in case of delay in payment, then, additional 2% of compensation per month needs to be provided to the person entitled.

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Provisions of Section 40B

1. The government should publish a notification in the official gazette for appointment of the Single Window No Objection Certificate Approval Committee in the Metropolitan City of Mumbai. The members who will constitute the committee are set out in Section 40B(2) of the amendment Bill.
2. The recommendations by the committee to be submitted within 30 days, after the request and submission of the relevant documents by the government. However, for an extended time, the committee should make a report to the parties concerned involved for such extension, the considerations which need to be taken by the Committee while recommending No Objection Certificate under sub-Section 5 of Section 40B(6) of the Amendment Bill.

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Impact of the amendment

The amendment aims to boost the infrastructure development and land acquisition process, which, currently under the Act involves various stages and a lengthy process. The amendment will help the in the following ways:

• It will help the government shorten the land acquisition period, while securing the rights of the displaced citizens and landowners from whom the land will be acquired by the government.
• The amendment also establishes a new committee which disentangles the various authorities and departments currently involved in the process. Constituting a single committee with equal representation, which may grant or rescind approvals received from the government, could eliminating bias, hold interest of the local communities and the environment and ensure a transparent process is followed.
• It could foster smooth commencement and completion of the essential and emergency projects in the state, ensuring a balance is provided in acquiring land and providing fair compensation to the landowners and affected parties.

To achieve the targets set by the government, it is imperative to bring in such amendments to help streamline the land acquisition process and time-bound completion of the projects, leading to reduced capital costs due to timely acquisitions. The policy and the process of acquisition, including the committee’s recommendation, ensure transparency and reduces potential land related litigations. 

(Yigal Gabriel is a partner and Monika Singh is a senior associate, at Khaitan & Co)

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