Criticality of land in recent days

The whole infrastructure sector is grappling with a big issue known as land acquisition. Many projects from Power to Steel are not able to add capacities because of this issue. Recent one is the Greater Noida case. Bottom line is that land is the most critical factor for any project, if it involves forest land then additional clearances required for the project.  Anyway, we will just stick to the issue of non forest land acquisition.

Though the issue is present since long back but it has come to main front post Singur and Nandigram issue.  Any land acquisition involves fair land compensation which involves both the amount & disbursement process i.e. upfront or annuity basis and balanced resettlement and rehabilitation. These two form the core of any successful land acquisition process.

A few other factors should also be taken into consideration during land acquisition process, which are very important as they are equally capable in derailing the whole process.

First, any project requires a certain area and it acquires that much only i.e. compensation is paid to the owner of that much land only whereas the owners of the neighboring area do not get any compensation. Now if the compensation is good, which is generally the case in these days, then these people get a good amount of money overnight. Now consider any village where the compensation beneficiaries is only 5 % and remaining do not get anything, then these 95 % people will feel themselves as left behind and will not think positive about the project.  It is very important for the company just not to consider the land owners but also the neighbors so that in future disruptions do not take place. So a plan at the beginning only should be made with the help of village top people and state officials to showcase the benefits of the plant / project and opening up of certain facilities like medical facilities, water facilities which will contribute a lot in creating a positive impact on the neighborhood.

Second very important factor is the learning from Singur / Nandigram. Whenever State Government is planning for any development project, it should take the major opposition party into confidence. Rather than taking the whole credit for development, it should take the opposition in its side and proceed with the land acquisition.  If this is done then any issue during the process will not get any political color and can be resolved in a much easier way.

If the above factors can be taken into consideration, then land acquisition process can be a smooth process without any major issue.