Hooda takes back SEZ land from Reliance

Haryana government to pay Rs 343.51 crore as compensation

The Haryana Cabinet on Friday approved the proposal for the reversal of 1,384 acres of land from Reliance Haryana SEZ Limited (RHSL) to the Haryana State Industrial & Infrastructure Development Corporation (HSIIDC), Chief Minister Bhupinder Singh Hooda said.

The land was meant for setting up of the biggest public-private partnership model special economic zone (SEZ) in the country over an area of 25,000 acres in Gurgaon and Jhajjar districts.

Hooda said the Haryana government will pay Reliance Industries Rs 343.51 crore for the land being taken back.

The SEZ project became economically unviable due to mid-term corrections in the SEZ policy by the Central government, especially capping the SEZ land at 12,500 acres, withdrawal of tax holiday, slowdown in global economy and high land prices making acquisition difficult.

HSIIDC had transferred an area of about 1,384 acres of land at Village Garhi Harsaru to the special purpose vehicle floated by HSIIDC & Reliance for implementing the project for a consideration of about Rs 400 crore.

The project configuration was subsequently changed to SEZ in Gurgaon district over 12,500 acres and a Model Economic Township over 12,500 acres in Jhajjar district.

Reliance purchased about 7,100 acre land in Jhajjar district and another about 1,200 acre in Gurgaon district which, however, was not contiguous.