Money return issue crops up at Dadri project

Farmers who want land back wish to return the compensation only in instalments.

The recent Allahabad high court judgment striking down the manner in which land was acquired for the Anil Ambani-controlled Reliance Power gas project at Dadri, near Delhi, has dealt two challenges to the state government.

One is to deal with the blow to the early redressal of the state’s major power shortage. UP already suffers from a monthly power deficit in excess of 2,700 Mw, one of the highest in the country. The Dadri project was intended to be the biggest gas-fuelled one in India, to generate 7,400 Mw.

It had already been delayed for three years due to a dispute between the Ambani brothers on gas supply; the issue is presently before the Supreme Court. And now comes the HC decision that the entire process of acquisition for the 2,100 acres in question had breached the law.

On the project site of what was supposed to house the “biggest ever gas-based power plant at a single location”, stands a half-complete cemented boundary wall, as a remnant of the preliminary work undertaken by Reliance Power for the proposed Rs 25,000-crore project in 2006.

The farmers whose land was taken over reiterate, as was done on their behalf before the HC, that they had never wanted to part with it. “Most of us are willing to pay back the compensation. But we want our land back at any cost,” said Charan Singh Shishodia, one of the over 2,700 farmers whose land was acquired. Shishodia was paid Rs 63.54 lakh as compensation for his eight 8 acres, at a rate of Rs 7.5 lakh per acre.

A total compensation of Rs 150 crore has been paid by Reliance Power to the farmers. The farmers are now demanding the state government put in place a measure which reduces their financial burden while paying back the compensation amount. “The court has given its judgment asking us to return the compensation amount if we want to. We will do this. We are ready to pay the money in instalments or in some other way which the government should work out,” Shishodia said.

Farmers agree that a few among them would not want to return the compensation. But the majority say they’d like it back. “This land gives us at least four different yields in a year. And if we are short of grain, we grow mustard and chickpea land to tide,” said Yudhishtir Shishodia, who got Rs 39.3 lakh for five acres.

In line with the court order, the state government is expected to invite objections from farmers soon. They will have to give back the compensation or give a no-objection certificate. Reliance Power’s chief executive officer, J P Chalasani, said it is clear the acquisition itself has not been set aside, only the procedure has been. And, says Reliance Power is fully committed to the Dadri project.

“Along with the Dadri project, we have been developing gas power plant sites in different states, including Maharashtra, Gujarat and Andhra Pradesh. All these states are on the east-west pipeline. Therefore, transportation of gas is not an issue,” said Chalasani.