Govt should encourage land leasing and pooling for effective land use

Compensation must be reasonable and linked to the market value accounting for market conditions. 75 percent of the displaced population is gainfully employed in the project for which land has been acquired.

Written by Newsroom Staff June 18, 2019 18:06

The concept of land leasing and land pooling should be encouraged by the Centre, according to a report. This concept is currently being practiced in few states such as UP and Haryana. This concept ensures the availability of land for industrial and infrastructure projects.

The land acquisition, rehabilitation and resettlement Act. 2013, is governing land acquisition in India currently.  An amendment bill passed by Lok Sabha in 2015 is however blocked in Rajya Sabha and is still in the process with the Parliamentary Committee, according to SBI Ecowrap report.

“While we await the recommendations, we strongly believe that the bill should clarity some aspects including public purpose,” it said.

The consent threshold limit should be less than 60 percent for both Public Private Partnership (PPP) and private projects. The time taken for acquisition must be set at not more than 12 months from existing limit of 42 months.
“We also believe that the Centre must strongly encourage the concept of Land Leasing and Land Pooling as is being currently practiced in Uttar Pradesh and Haryana,” the report said

Compensation must be reasonable and linked to the market value accounting for market conditions. 75 percent of the displaced population is gainfully employed in the project for which land has been acquired.

In such arrangements, the landowner lends the land to the government for a steadily-increasing rent, or through an annuity-based system or through land development by a government agency, it said.
Under pooling, the group of land owners gives their land to a government agency for developing the land with infrastructure and amenities and later they gets a part of it back in return.

The idea behind this is that with all the development, the smaller land parcels returned to the owners will be worth at least as much as the original parcel and the government saves on acquisition costs