Perspective on Land Acquisition, Rehabilitation and Resettlement Bill
Arun Singh / New Delhi Nov 14, 2011, 18:43 IST
Issues of land acquisition which has currently been considered as one of the major factors hindering the pace of development of infrastructure and industrialiation has been finally addressed by the Government through the new Land Acquisition and Rehabilitation and Resettlement Bill, 2011. Land acquisition issues have had severe implications in many parts of the country with big projects coming to a halt against protests by the local residents. The various provisions included in the new Bill takes into consideration some of the important issues which were long required and are thus quite commendable. One of the most notable factors about the Bill is that it considers land acquisition along with rehabilitation and resettlement (R&R) of the displaced families. Earlier the land acquisition and rehabilitation issues were dealt by different ministries as a result of which in certain cases after completion of land acquisition, proper and timely rehabilitation & resettlement were not doled out to the displaced people at desired pace.
However, there arise some questions regarding certain provisions which raise doubt over its successful implementation. For constructing large infrastructure projects or industries, thousands of acres of land would be required, the ownership of which might belong to hundreds of families. In India property rights are not properly defined. Especially, when it is the case of agricultural land, the asset market is very fragmented and not well documented. Thus improper documentation could turn out to be a major hindrance for land acquisition and settlement of legal issues. Thus more focus on the issue of land title is required for successful implementation of the new land acquisition Bill, without which the process of land acquisition might continue to face several hurdles.
However, in urban areas for implementing security of land title the Ministry of Urban Development has set up Project Platinum (Partnership for Land Title Implementation in Urban Management). A draft framework law called Land Titling Bill 2010 has already been prepared in this regard. Nonetheless, while the Bill aims to resolve land acquisition issues to promote balanced growth for urbanisation and industrialisation, the implications for food security should also be considered as vast stretches of agricultural land might be transferred for non-agricultural purposes.
The provision that after acquisition land cannot be transferred to any other purpose except for a public purpose does ensure that land once acquired is not misused. The Bill also states that the land would be returned to the original owner if not used within five years for the purpose for which it is acquired. Given the financial vulnerability of the farmers, in such cases, the displaced farmers in most circumstances might not be in a position to buy back the land.
The comprehensive resettlement & rehabilitation package listed in the Bill might turn out to be more rewarding for the families displaced in the urban areas rather than the rural areas. Typically for a farmer, cash entitlements might not always enable him in securing a viable alternate means of livelihood. The R&R package does not contain the provision of deployment of another plot of land for the land acquired (except in cases of irrigation projects).
Nonetheless, the fact that the Government has finally decided to overhaul the archaic Land Acquisition Bill of 1894, gives us hope that the Bill would be able to establish a more transparent and organised process for land acquisition and resettlement of displaced families thereby ensuring that going forward the bitter hostilities witnessed in several states would not be a recurrent affair.
(Arun Singh, Sr Economist, Dun & Bradstreet India)
Some of the major provisions of the LARR Bill
One important provision is the clear definition of the purpose for which land is being acquired. The draft Bill permits land acquisition under three broad categories – 1) when the government acquires land for its own use 2) when the government acquires land with the ultimate purpose to transfer it for the use of private companies for stated public purpose (including PPP projects) and 3) immediate and declared use by private firms for public purpose.
The Bill also stipulates that the consent of at least 80% of the project affected families is mandatory before the government acquires land for use by private companies.
The Bill lays out safeguards to avoid indiscriminate usage of land after acquisition by incorporating the provision that the purpose of land use cannot be changed after acquisition.
The Bill also clearly defines the compensation of the land to be paid, sharing of the appreciated value of the land with the land owners and an extensive resettlement and rehabilitation package to be paid which includes mandatory employment. Besides, defining the compensation and the rehabilitation package, the Bill stipulates fixed timelines for paying the same. Not only that by including the provision that land will not be transferred until R&R is completed, the Bill ensures that the rehabilitation of the displaced families are being taken care of after land is being acquired.
The Land acquisition bill 2011 has been referred to the Standing Committee, headed by BJP MP, Smt. Soumitra Mahajan. Her tone and tenor suggests that Standing Committee will delay the report on the pretext of detailed analysis of this Bill. BJP for whatever reasons does not want the Land acquisition act, 1894 to be replaced, as in 2009 also they ensured that the then Land acquisition bill is not passed in Rajya Sabha. The result is that the farmers continue to suffer very badly due to this outdated law. BJP's image will be dented very badly if they act as a hurdle this time also. Who cares !
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