Centre to permit states to make changes to land act: Jaitley

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SME Times News Bureau | 02 Sep, 2015
The NDA government will permit states to make amendments to the Land Acquisition and Rehabilitation and Resettlement Act 2013, Finance Minister Arun Jaitley said on Tuesday.

In an article "The land ordinance -the obvious answers" posted on the Bharatiya Janata Party's website, Jaitely said in his opinion the 2013 Act "is a badly drafted legislation" with a "lot of ambiguities and obvious errors" which needed to be corrected.

He said the National Democratic Alliance (NDA) government had made changes to the 2013 Act on the suggestion of state governments but Congress changed its position and opposed the ordinance first issued in December last year for "political reasons".

He said the ordinance brought by the NDA government lapsed on Monday and questions were being raised about the nature and future of land acquisition in India.

Referring to the prime minster's interaction with chief ministers in Niti Aayog meet on the land bill, Jaitley said it had been agreed that states were fully empowered to amend the 2013 land law and seek presidential assent before the amendment could be effected.

"One State has already brought the amendments and some others are likely to follow," Jaitley said.

Jaitley said the state governments could decide on exemptions from consent and social impact assessment in any of the five areas including projects for national security, rural infrastructure, affordable housing, industrial corridors and infrastructure projects where land ownership is with government.

The Modi government in its new land bill had provided for these exemptions but the BJP subsequently changed its position in the joint parliamentary committee which is examining the bill.

Congress chief ministers had boycotted the Niti Aayog meeting on land bill, with the Congress party making it clear that it was opposed to changes in the 2013 Act which was passed during the rule of United Progressive Alliance government.

Jaitley said that objective of 2015 ordinance was to give certain flexibility to the states.

"That flexibility is made available to the states even now under the decision taken in chief minister's meeting," he said.

Jaitley said the present position was that "the 2013 Act occupies the field".

"The (new) bill remains for consideration of the standing committee and if some consensus suggestions are made, the same would be implemented. If any state wishes to make some amendments in the central law, the same would be permitted by the central government," he wrote.

He said provisions of Article 254(2) clearly provide that a state government can bring a legislation on a concurrent list subject which conflicts with the central legislation, provided, the presidential assent is given to such legislation.

"The states can provide for alternative mechanism which balances the interests of farmers and also provides for land required for acquisition," he said.

The minister said that effect of certain provisions in 2013 Act was contrary to language used and "a series of legitimate difficulties would arise once the Act is seriously implemented".

"The provisions of Act would also prevent development of rural areas through rural infrastructure and further prevent job opportunities created in those areas by industralisation. This was the principal object of the central government when the ordinance to amend the Act was issued on Aug 31, 2014," Jaitley said.

He said provisions relating to 'social impact assessment' require a large timetable which could go up to several years and language in the Act uses word "within time period" which needs to be shortened or exempted in some cases.

He also said that 2013 Act required the entire acquired land to be utilised within five years. "Townships cannot be completed within five years."