Towards a

Pragmatic Land
Acquisition Policy
Submitted By: Group 3
Arun Menon M(19/193) | Priyanshu Verma (19/215)
Richard Doley (19/221) | Shruti Pandey (19/229) | Teresa P Raffi (19/236)

Glossary
Land Acquisition : The process by which government acquires private property.
Public purpose
Strategic purpose
Industry & Infrastructure
Land acquired for R&R purpose
Planned development- residential purpose for poor, educational and health schemes
Lands for private companies for public purpose
Needs that arise from natural calamity
Scheduled Areas: The term `Scheduled Areas has been defined in the Indian Constitution as
"such areas as the President may by order declare to be Scheduled Areas
Urgency clause: Section 17 in The Land Acquisition Act, 1894(Special powers in cases of
urgency)
Eminent Domain: The right of government to acquire private property for public use.
Social Impact Assessment : Social Impact Assessment(SIA) is a methodology to review social
effects of infrastructure projects and other developmental interventions. Its goal is to improve

Richard

Synopsis
On March 10, 2015, the controversial amendments to the land acquisition law were finally passed by the

Lok Sabha after facing severe criticism both from the opposition parties as well as from the governments
own allies. Once the amendment bill - Right to Fair Compensation and Transparency in Land Acquisition,
Rehabilitation and Resettlement (Amendment) Bill, 2015 (2015 Law) - became an act , it will became
easier for the government to acquire private land for public purposes and companies.
India has had an archaic land acquisition law the Land Acquisition Act, 1894 (1894 Act) which was

replaced in 2013 by The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation
and Resettlement Act, 2013 (2013 Act). The 2013 Act was criticized as being anti-industry it was too
rigorous which made land acquisition process difficult and long winding, thereby reducing the availability
of land for industry.

Teresa

Historically, Indias Policy

1894

Allows the government to forcibly acquire land from private landholders for projects of public
purpose. The price for the land is determined by the government.

Adopts the Land Acquisition Act, 1894 (pdf) after replacing the words the whole of British
India with all the provinces of India. The British-era act is used in the same form for several
decades.

2009

The Congress party-led United Progressive Alliance (UPA) government decides to amend the land
acquisition act and introduces a bill in the parliament. The bill calls for a mandatory social
impact assessment. It also proposes that the government, while acquiring the land, has to pay
for loss or damages caused to the land and has to provide compensation as per prevailing market
prices. A Land Acquisition Compensation Disputes Settlement Authority is to be set up at the
state and central levels.

The Lok Sabha passes the 2007 amendment bill as the Land Acquisition (Amendment) Bill, 2009 in
February. The government introduces the bill in the Rajya Sabha but is unable to ensure its
passage. The bill lapses with the dissolution of the 14th Lok Sabha.

2011

After winning the general elections in 2009 once again, the UPA government introduces the Land
Acquisition Rehabilitation and Resettlement Bill, 2011

2013

The bill is passed.

1948
2007

Teresa

Land Acquisition Act 1894

The Land Acquisition Act of 1894 lays down such a principle compensation should be equal to the local

market price for land

Although it provided for a procedure that involved issuance of public notice and holding of inquiry, practically

speaking, these were mere formalities as private interest of landowners always had to yield to the declared
public purpose
Once the acquiring authority had formed the intention to acquire a particular piece of land, it could carry

out the acquisition process regardless of how the landowner was affected.
Although the 1894 Act provided for a hearing, it was not a negotiation. Acquisition was not dependent on

land owners consent at all.

In cases of urgency, the land acquisition authority enjoyed special powers. The provision enabled bypassing

of the normal procedure in cases of urgency, not all of which were defined.
Payment for the land acquired used to be made as per the prevailing circle rates which were notorious for

being outdated. As a result, the compensation given to landowners used to be substantially less than the
actual market value of the land.
No provisions in the law regarding the resettlement and rehabilitation of those displaced by the acquisition.
Teresa

Impediments Faced By Industries

Tough
resettleme
nt and
rehabilitati
on laws

Definitio
n of
public
purpose
is very
vague

Negative
Industry
Sentiments

Delayed
projects

A lot of acquisition
ended up in
litigation, usually
after being
challenged on the
ground that the
compensation
awarded was
inadequate

Political
Instability
Richard

Resistance Without The Law

Shruti

Concerns of Farmers
Farmers are not willing to sell

the land at all, ever in the

future? Are agitations one way of
increasing the right price?
Farmers

too would be within

their rights to negotiate and get
the best possible price or
compensation

Apparent

unwillingness
of
farmers to part with their land40% of them in any case do not
want to engage in farming

Shruti

Features of LARRA 2013

Priyanshu

Differences : 2013 LAARA and 1894

ACT

Priyanshu

LARR 2013- Pros and Cons

Priyanshu

Amendments Proposed by Modi Govt.

Arun

Criticism
The original Land Acquisition Act, 2013 had a consent clause for acquiring land. But after the central

government changed, it exempted these five categories from the rule of acquiring land in the Bill
By mandating an SIA of the project and its review by the affected people, LARR 2013 had provided effective

safeguards against many malpractices. Any dilution of SIA will reopen the door for abuse of the law and
reduce rehabilitation and resettlement to a mere charade
As per the existing law, land will be given back to the farmer if it remains unused for five years. The

proposed amendment says the land will be returned only if the specified project on the land fails to
complete the deadline
Bureaucrats will be punished if found guilty of violating any clause of the existing Land Act. However, the

new clause makes government sanction necessary to prosecute civil servants

Now even fertile lands can also be acquired easily. Previously the acquisition of fertile lands were tedious

enough to make government think of some more feasible alternative

Only land-owners will be compensated now. The people depending on that land won't be accounted for
The opponents of the Land acquisition bill claim the bill to be "anti-farmer" and "pro corporate". They claim

that the amendments are aimed at "benefiting the large corporate houses"

Arun

Changes Made
Inamajor climbdown following sustained opposition pressure, the government on

Monday agreed to drop most of its contentious amendments to the Land Acquisition
Act of 2013, bringing back the crucial clauses related to consent of affected
families and social impact assessment (SIA)
It dropped a controversial amendment that would have enabled the acquisition of

land for private hospitals and educational institutions

It gave State governments the flexibility to have their own acquisition laws
The provision will also let states decide whether they want the consent clause and

SIA in their laws before acquiring land from farmers.

Arun

Conclusion
Eminent domain is one of the most controversial and politically sensitive instruments of state power

anywhere in the world. Depending on how it is used, it can clear the way for rapid economic transitions,
technological progress and inclusive growth, or it can trample on property rights, the economic interests
of poor and vulnerable groups, and fundamental principles of justice.
The Land Acquisition, Rehabilitation and Resettlement Act, 2013, is clearly a long overdue attempt to

address the inadequacies of the colonial Land Acquisition Act of 1894, which has been merrily exploited
by commercial interests, corrupt politicians and an indifferent state to promote widespread land grab at
the expense of the poor.
Despite its good intentions, the Act, misses out on an opportunity to promote growth and prosperity while

protecting the vulnerable.

When a law is enacted after considerable debate and consultation, it will be wise to study the experience

of its implementation for some time before it is amended, in order to address perceived difficulties. Any
such amendment within the first year of its entry into force, especially one pushed through as an
ordinance, will be inevitably perceived as hasty, even if on the positive side it is meant to eliminate
delays in land acquisition.
In substance, the ordinance makes a significant change by omitting in respect of a wide range of projects

the requirements of a social impact assessment study, the informed consent of a large section of the
families affected by the acquisition of land. Thankfully, the ordinance does not dilute these provisions,
but additionally extends them to a list of Acts that were previously exempted.
Arun & Richard

References
4 [Political Economy of Landand Development in India-Dhanmanjiri Sathe]
5 [Land Acquisition Act, 1894]
5 [Inefficiency and Abuse of CompulsoryLand AcquisitionAn Enquiry into the Way Forward-Ram Singh]
6 [Political Economy of Landand Development in India-Dhanmanjiri Sathe]
7 [Dhanmanjiri Sathe , Vicissitudes in the Acquisition of Land: A Case Study]
7&8 [Kenneth Bo Nielsen, Land, Law and Resistance]
8 [Santosh Verma, Subverting the Land Acquisition Act, 2013]
9&10 [A Land Acquisition Bill With Many FaultlinesEPW, Vol - XLVIII No. 26-27, June 29, 2013 |Prasenjit

Bose]
11 [Bill for land gives true valueMihir Shah, The Hindu]
12 [The Land Acquisition Bill: A Critique and a Proposal Maitreesh Ghatak, Parikshit Ghosh]
13 [Subverting a Progressive Law: Ram SinghandDeepa A. Panwar]

Thank You!