No big changes in land Act: Gadkari

Nitin Gadkari said the government's main focus will be to provide time-bound rehabilitation to farmers

Rural development minister Nitin Gadkari on Friday ruled out any substantial change in the compensation, relief, rehabilitation and consensus clauses in the land acquisition Act.

“As far as the interests of farmers are concerned, especially compensation, rehabilitation and resettlement, our party and the government have already decided we will not compromise on any condition related to beneficiaries, particularly farmers. The Bharatiya Janata Party (BJP) government is committed to protecting the interests of farmers,” Gadkari said, adding time-bound rehabilitation to farmers was a priority.

BJP-ruled states had accused the earlier United Progressive Alliance government of having introduced the Act in haste and with an eye on the Lok Sabha elections. Gadkari said, “State governments have raised several objections to the Act and we have assured them, keeping in mind the federal spirit of the Indian Constitution, we will prepare a report on their suggestions and present it to the prime minister.”

His comments followed a day-long meeting on the Act with state revenue ministers and other officials.

Those in the know said representatives from most BJP-ruled states complained implementing the law was difficult.

Earlier, at a meeting of state finance ministers with Union Finance Minister Arun Jaitley, the land law was said to be a major stumbling block to rapid economic growth.

Gadkari said a report on the Act would be prepared in the next 10 days and a decision on the changes to be made would be taken before the Budget session of Parliament.

The land acquisition law had faced severe criticism from industry, as it offered a high compensation package and required the consent of 80 per cent gram sabhas. While the Act prescribed twice the market value as compensation in urban areas and four times in rural areas, industry leaders said this would raise project costs. They added the mandatory consent clause would delay acquisitions.

Officials say now, the new government might tweak some rules in the Act to make it more industry-friendly.

At Gadkari's meeting with state revenue ministers, officials from Madhya Pradesh said the Act was delaying implementation of small projects, too, while those from Goa and Chhattisgarh questioned the timing of the law. Congress-ruled Assam sought changes in the clause related to the consent of 80 per cent gram sabhas.

At the meeting, Gadkari urged state governments to expedite computerisation of land records to ensure poor farmers were aware of the details of their land.