Land Acquisition Bill: How Laws Have Evolved Since Independence

As the government tabled a copy of the land ordinance in the Lok Sabha today, let us look into how provisions of the Land Acquisition Bill 2015 have evolved in India since independence.

What the Indian Constitution says on property rights:

●  Indian citizens have the right to acquire, hold and dispose of property in India. But, the state can impose restrictions to serve public welfare or to protect the interests of scheduled tribes.

●  No one shall be deprived of the right to private property except when the law permits it. But, the state can acquire private property for public purposes, after adequately compensating landowners.

Amendment before the 44th amendment act of 1978

Landowners have no right to question the inadequacy of compensation in the court. The government need not adequately compensate the owners if property was acquired for estates, intermediate rights or for social redistribution of wealth. 

44th Amendment Act of 1978

The right to property would only be a legal right, constitutional or statutory right, and not a fundamental right. If the state acquires one’s property, he can file a writ in the high court, but not in the Supreme Court, as it was earlier possible.

Within the limits of the law, the sanctity of private property would be respected. But, citizens do not have the right to question the legitimacy of a legislation that deprives them of their property.

The removal of the right to private property from the list of fundamental rights would not affect- a) educational institutions run by minorities; and b) cultivated land if it is within the ceiling limit to receive compensation at market value.

The Land Acquisition (Amendment) Bill, 2007 

A social impact assessment study is necessary to acquire land. Tribals, forest dwellers, and people with tenancy rights are also eligible for compensation.

Loss or damage to land should be compensated, and displaced residents should be resettled.

While determining compensation, the intended use of land and value of such land in the current market is to be considered.

The Land Acquisition Compensation Disputes Settlement Authority at the state and central levels will adjudicate disputes resulting from land acquisition proceedings.

The Rehabilitation and Resettlement Bill, 2007 

Benefits and compensation including include land, house, monetary compensation, skills training and preference for jobs will be given to people displaced by land acquisition purchases or any other involuntary displacement.  

The families will be called "affected" when 400 or more families are affected en masse. To receive displacement benefits, you should be a resident for 3 years in the affected area. Ombudsman will address any grievances from the rehabilitation and resettlement process.

The Land Acquisition, Rehabilitation and Resettlement Bill, 2011 

The land acquisition process will involve a Social Impact Assessment survey. Projects built on land greater than 50 acres in urban areas and 100 acres in rural areas will be subject to social impact assessment. There should be a preliminary notification stating the intent for acquisition and a declaration of acquisition. Landowners should be compensated within the specified time period and should be rehabilitated and resettled.

Landowners should be compensated at four times the market value of the land in rural areas and twice in urban areas. If the land is acquired by private companies or public private partnerships, 80% of the displaced people should grant consent to the land acquisition for private projects and 70% for public private partnership projects.  They should also be rehabilitated and resettled. No such consent is required in case of PSUs.

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013

These provisions of The Land Acquisition, Rehabilitation and Resettlement Bill, 2011 do not apply to acquisitions under 16 existing legislations including the Special Economic Zones Act, 2005, the Atomic Energy Act, 1962, and the Railways Act, 1989. These provisions do not apply to acquisition of land for private educational institutions or hospitals either.

There will be certain restrictions on the acquisition of irrigated multi-cropped land and other agricultural land. 

Land acquired under the act, if remained unutilized for five years, should be returned to the original owners or the land bank.  

When the government temporarily acquires land for a maximum period of three years, there is no provision for rehabilitation and resettlement.

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (Amendment) Bill, 2015

The following categories of land use are exempted from the provision that 80% of the displaced people should grant consent to the land acquisition for private projects and 70% for public private partnership projects: (i) Defence, (ii) Rural infrastructure, (iii) Affordable housing, (iv) Industrial corridors, and (v) Infrastructure projects including Public Private Partnership (PPP) projects where the government owns the land. Through a notification, these projects are also exempted from social impact assessment and restrictions on the acquisition of irrigated multi-cropped land and other agricultural land. 

Unutilized land should be returned to land owners after (i) five years, or (ii) any period specified at the time of setting up the project, whichever is later.

The provisions of The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 applies to acquisition of land for private educational institutions or hospitals too. 

Land would be acquired by the government or for government undertakings and not for private industrial corridors. The government would ensure employment for at least one member of the affected family of farm laborers and not for every member of the affected family.