Friday, 18 May 2012

Covering private builders under Land Bill to hit infra sector



New Delhi: National Real Estate Development Council on Thursday opposed the Land Acquisition Bill saying it should not be applicable to private builders as it will impact development of infrastructure across the country.

"Redefining public purpose, as suggest by Parliamentary Committee, will impact infrastructure, industrial and township development severely," National Real Estate Development Council (NAREDCO) Chairman Navin Raheja said in a statement.

Setting tough conditions for land acquisition in Land Acquisition, Rehabilitation and Resettlement Bill, a Parliamentary panel on Thursday said the government should not acquire land for private businesses and underlined on a clearer definition of "public purpose" in this regard.

"Provisions of LA and R&R Bill should not apply to private acquisitions done by developers after direct negotiation with land owners/farmers. Privately negotiated prices, in almost all cases, are much higher than acquisition compensation suggested in the bill," Raheja said.

The proposal of 20 percent of developed land going back to owner in the Bill will make township development difficult, he added.

"Putting all land under agricultural cultivation in the same bracket as multi cropped land will make land acquisition for township more difficult," Raheja said, adding the ceiling of 5 percent on multi cropped land acquisition in a district is to follow if acquisitions for all purposes taken into consideration together.

Besides, Raheja said: "Land for residential uses of weaker sections was included in 'Public Purpose' according to LA and R&R bill. Its exclusion will severely impact the housing supply of this category."

Expressing similar views, Confederation of Real Estate Developer's Associations of India NCR President Pankaj Bajaj said: "On Thursday, all significant projects in the country are stuck due to land assembly issues. Industry needs government help. Whether it is China or any other competing economy, the government goes out of the way to facilitate industry."

Earlier in the day, the Panel said that "public purpose" in the Bill should be limited to linear infrastructure and irrigation, including multipurpose dams and social sector infrastructure such as schools, hospitals and drinking water or sanitation projects constructed at state expense.

"All cases of land acquisition must entail obligations for adequate compensation, rehabilitation and resettlement to all land losers and other affected persons," said the Parliamentary Standing Committee on Rural Development, chaired by BJP leader Sumitra Mahajan, in its report on the Bill.

The report was tabled in Parliament on Thursday. 




Source:zeenews.india.com

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