Extra burden on HMR, GHMC

• New law came into effect from Jan 1
• Compensation to be doubled
• Upcoming projects might face uncertainty
• 70% property owners should agree for PPP project and 80% for private

A new Land Acquisition Act has come into effect from the New Year. According to the Act, to acquire land, twice the market price has to be paid as compensation. The Act would be an additional burden on civic bodies and organisations that are into developmental works. A few even opine that clauses in the Act might prove to be a hassle for upcoming projects. More importantly, the already controversial Metro Rail’s

JBS –Falaknuma line would be pushed deep into uncertainty due to the new Act

The central government has introduced ‘Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act’, replacing the much debated Land Acquisition Act, 1894. According to the provisions of the Act, to acquire any land, one has to pay twice its market price. If the project is a Public Private Partnership (PPP) project, 70 per cent of the owners handing over the land would have to agree. If the project is private, 80 per cent of them should agree.

The Act would affect projects, both undergoing and upcoming, by the civic bodies. Reportedly, Hyderabad Metro Rail (HMR) and Greater Hyderabad Municipal Corporation (GHMC) are already spending Rs 200 cr and Rs 100 crore respectively, as compensation for land acquisition. Now they will have to shell out twice the amount.

JBS Falaknuma metro line

The controversial JBS – Falaknuma Metro Rail line has been much debated as property owners do not want to hand over their land. For the line to go ahead, about 450 properties have to be acquired. However, most of the residents and business establishments at Badichowdi, Sultan Bazar and Koti, are reluctant to hand over their properties. Even though Metro Rail authorities have promised rehabilitation, yet the residents are reluctant, fearing loss to their business. So as per the new Act, unless 70 per cent of the owners agree to handover their land, HMR will not be in a position to construct Corridor-II of the Metro Rail line.

In all the HMR corridors, there are still about 1,371 more properties to be acquired. Of these 268 properties are under various government agencies while the remaining 1,084 are private properties.

It would be a double whammy for the GHMC, as the Corporation is the agency responsible for acquiring land on behalf of the HMR. Already the civic body is battling various stay orders from the court with regard to land acquisition in Nagole, Greenlands, Ameerpet, Madhura Nagar, Yousufguda and Jubilee Hills Check Post.

Land acquisition for Metro Rail- Corridor II has been temporarily halted. Land acquisition from Falaknuma to Charminar has to be done and sources within the GHMC say that they are expecting tough opposition. There is also opposition from residents in Moosapet, Erragadda and ESI Hospital areas for the acquisition of land for LB Nagar- Miyapur line.

A spokesperson with Metro Rail, however, expressed confidence in sorting out problems and sticking to the deadline.

GHMC projects

As the part of CTS-2041, the GHMC has to undertake construction of many ROBs, RUBs and flyovers. The authorities have conducted a survey in many areas. They have to acquire land to go ahead with these projects. It would now be interesting to see how the GHMC goes about with the acquisition with the new Act in place.

Few projects for which land acquisition has to be done

• Tolichowki for construction of ROB (50 properties)

• Musheerabad to Boat Club via Kavadiguda (98 properties)

• Botanical Gardens to Old Bombay Highway via Majid Banda (164 properties)

• Moghul Ka Nala to Puranapul (WAKF lands)

• Rahmat Nagar Road (44 properties)

• Tolichowki to Gachibowli (186 properties)

• Banjara Hills Road No 13 and 12 link (93 properties)

• KPHB to Hitec City service road (under survey)

Key features of the Act

• For a PPP, 70 per cent of the property owners have to agree for land acquisition

• If it is a private project, 80 per cent have to agree

• Rehabilitation and re-settlement has to be ensured

• To pay twice the government market price in cities

• In villages, the compensation is valued at four times the market price

• Property owners cannot be evicted until complete compensation is paid

It would be a double whammy for the GHMC, as the Corporation is the agency responsible for acquiring land on behalf of the HMR. Already the civic body is battling various stay orders from the court with regard to land acquisition in Nagole, Greenlands, Ameerpet, Madhura Nagar, Yousufguda and Jubilee Hills Check Post