Continuing its opposition over some provisions of the newly approved Land Acquisition Act of the Centre, the state government is likely to come up with an amendment in the Act. However, the acceptance of the amendments by the state is not obligatory on the Centre and can be rejected. President Pranab Mukherjee gave his assent to the Act — Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation ad Resettlement Act 2013 — which was passed in the Parliament recently, but the state government’s major concern is the compensation rates that were increased multiple times in the Act. It is believed that this would affect the cost of the projects, making them unviable. As per the Act, the land-owner in rural areas will be entitled to a compensation that would be four times the market cost of the land acquired. Meanwhile, in the rural areas it would be two times. The market cost of the land would be determined on the basis of the transaction in three years preceding the acquisition. “The state is considering coming up with an amendment basically on the issue of compensation. The amendment needs to be passed by the both the Houses of the state Legislature. However, it will not be an obligation on the Central government,” said a senior officer on condition of anonymity. Industries minister Narayan Rane also admitted that the new land acquisition Act of the Centre would hit all the upcoming projects of the state due to the compensation clause. “If the compensation rates are too high, the project automatically becomes non-viable and it will find no takers. However, the state is yet to take a decision on the same,” Mr Rane said. The Central government would invite suggestions and objections on the rules for the implementation of the Act within the next one month, and then the notification would be issued next year by January or April. CM Prithviraj Chavan had recently expressed his concern regarding the Act. “The new Land Acquisition Bill worries us, as the cost will go up. We need to see how this Bill impacts domestic projects in the state,” Mr Chavan had said.
