PM Modi's decision to not re-promulgate land ordinance, done for farmers' welfare: Jaitley

Finance Minister Arun Jaitley on Sunday said that Prime Minister Narendra Modi's decision to not re-promulgate the land ordinance had been taken so that the farmers would not have to face heavy financial losses.

"Even though the ordinance is lapsing, the 13 exempted laws, which were meant to provide direct financial benefit to the farmers, are being brought under the rules effective from today so that the farmers do not face financial losses," Jaitley said.

The Centre had earlier issued an order to include 13 Central acts like the National Highway and Railways Acts in the Land Law to extend benefits to those whose land is acquired.

"Parliament has not been prorogued as yet. Therefore it is necessary before August 31, that the compensation programme, relief and rehabilitation programme of the 2013 laws be made exempted to the 13 exempted acts. This is what the government has done and it is entirely in the interest of the farmers," he added.

Talking further on reforms on land laws, he said, "The present ordinance was introduced at the behest of the chief ministers. States including the Congress ruled states had requested flexibility in land laws. Therefore the ordinance was issued on their insistence. The then Congress ruled states like Maharashtra and Haryana were in the forefront of this request. After the ordinance was issued, some of the parties started making it a political issue. Since they started playing politics, there was a stalemate in the parliament."

"As a result two things happened. Firstly, the bill to replace the ordinance was before the standing committee. The Niti Ayog said to the Prime Minister that since he cannot bring amendments due to the stalemate in parliament, land law being a concurrent subject should be left to the state. Tamil Nadu is one state which has already been working in that direction. Thus the flexibility of the law remains with the states," The Finance Minister added.

Prime Minister Narendra Modi in his 11th address to the nation ' Mann Ki Baat' today said that the Ordinance will not be renewed.

"I have decided. The ordinance lapses tomorrow and we will not renew it. It means the situation (Land Act of 2013) before my government taking over has been restored," Modi said.