Cabinet okays big changes in Land Acquisition Act

The Union Cabinet recommended promulgation of an Ordinance to amend the Land Acquisition Act, enacted by the erstwhile United Progressive Alliance (UPA) government, on Monday in order to make it easier to acquire land for development activities but left the clauses providing higher compensation to farmers untouched.

Briefing journalists after the Cabinet meeting, Union finance minister Arun Jaitley said that the government has struck a balance between economic development and providing fair compensation to farmers.

"Rigorous procedures stipulated for acquisition of land have been relaxed for five development activities but the higher compensation provided for farmers in the earlier Land Acquisition Act have been retained," he said.

The Congress attacked the government for okaying the Ordinance and accused the National Democratic Alliance of bypassing Parliament.

The Ordinance removes the consent clause for acquiring land for five areas of industrial corridors, public-private partnership (PPP) projects, rural infrastructure, affordable housing and defence.

Land acquisition for industrial corridors and infrastructure projects under the PPP mode where ownership land continues to vest with the government are also included in the this list.

"Rigorous clauses in the Act that required the approval of 70-80 per cent of land owners before land can be acquired and the longdrawn social impact assessment study will not be applicable in the case of these five activities", Jaitley further said.