ADIL SINGH

GM(Tech)

Land Acquisition

under

NH Act 1956

Contractual Obligations

 Handingoverof90%encumbrancefreesiteonappointeddate

 Balance10%within3monthsfromappointeddate

 Environmentclearancepriortoappointeddate



The Process of LA Under NH Act

Identifying LA Requirement

by Feasibility Study

Notification for

Appointment of CALA(3a)

Proposal for 3A Notification

by CALA with Details of

Land intended for

Acquisition

3A Notification

Invitation of Objection by

CALA giving 21 days time.

Disposing the Objections

Received.

Proposal for 3D Notification

by CALA with Details of

land to be Acquired

3D Notification

Determination of

Compensation by CALA and

Publication of 3G Award

Examination of 3G Award by

RO and release of fund

by NHIDCL HQ

Payment of

Compensation to Land

Owners by CALA and 60

days Notice for eviction

Arbitration Process in

case Compensation

amount fixed by CALA is

not Acceptable

Physical Possession of

Land to NHIDCL

The National Highways Act 1956

 U/s 3(a) – Appointment of Competent Authority.

- By The Central Government.

- By Notification in the official Gazette,

- Appointment by the Post for a set of villages

(for Example – S.D.O. Sagar Dist. Sagar)

The National Highways Act 1956

 U/s 3(A) – Declaration of Intention to Acquire Land

Essentials:

- The Central Govt. is satisfied.

- Land is required for National Highway and/or for

related activities (Public Purpose)

- Declaration by the Central Govt. in the form of

Notification in the official Gazette which includes

basic information as Name of the Village, Tehsil &

Dist., Approximate area, the public purpose etc.

- Publication in two Local Newspaper.

The National Highways Act 1956

 U/s 3(B) – Impact of Publication of Notification of U/s

3(A)

After the notification, any person who is authorized by

the Central Govt. can make any inspection, survey,

measurement, valuation or enquiry, take levels, dig or

bore into sub-soil, set out boundaries & placing line,

marking and do such other things as may be laid down

by rules made in this behalf by the Govt.

The National Highways Act 1956

 U/s 3(C) – Hearing of Objections

- Person interested in land may produce objection before the

competent authority within 21 days after the publication of

notification U/s 3(A)

- Competent Authority will decide the objection in

writing after hearing the person and making such further

enquiry if required.

- Order passed by the competent authority shall be

final

The National Highways Act 1956

 U/s 3(D) – Declaration of Land Acquisition-

- Where no objection has been made to the competent

authority or after deciding the objection U/s 3(C),

competent authority will submit a report to the Central Govt.

for publication of a Gazette notification.

- After receiving the report Central Govt. will publish a

Gazette Notification which includes information regarding

the land to be acquired such as location of the land, Khasara

No. wise land details etc.

- Publication of Notification in two local Newspaper

The National Highways Act 1956

Cont….

 U/s 3(D) – Declaration of Land Acquisition-

- After the Notification land shall vest absolutely in Central Govt.

- It a notification has been published U/s 3A(1) but no declaration

has been published within one year U/s 3D then the said notification of U/s

3D will not have any effect.

- A declaration made by Central Govt. U/s 3D shall not be called in

question in any court.

Impact - After the notification of 3D the land is vested in the Central Govt. so as

result activities for carrying out construction can be started on the land.

U/s 3(F)

Section 3(a)

 Whether nomination of competent authority

by the State Government provided.



 Whether the name of villages, for which

acquisition to be done, is provided.

 Whether the name and designation of

competent authority are correct.

Section 3(A)



 Whether notification under Section 3(a) is enclosed.

 Whether the villages in draft notifications are same

as notified under Section 3(a)

 Whether the draft notification is signed by the

competent authority.

 One additional copy of draft notification as per

standard format without signatures of the

competent authority in Hindi and English.



Section 3D

 Whether notification under Section 3(a) and 3(A)

provided.

 The area notified under draft 3(D) notification is

not exceeding 3(A)

 No survey number other than notified under

Section 3(A) included in the draft notification.

 The detailed report of the competent authority

after considering the objections raised by the land

owners after Section 3(A).



 In case additional 3(A) is to be notified, reasons to

be recorded for change in alignment

 Approval of the competent authority for accepting

change in alignment.



The National Highways Act 1956

 U/s 3(E) – Power to take possession-

- Completion of calculation of compensation – 3G

- Deposit of money in Joint account – 3H

- Notice to owner

- Possession within 60 days of notice

The National Highways Act 1956

 U/s 3(G) – Determination of compensation-

- For acquired land compensation will be determined and decided by

an order of the competent authority

- If any right in the nature of an easement or right of enjoyment is

affected in any manner because of acquisition of land 10 per

extra compensation will be given to affected person.

- Before determining the compensation a public notice should be

published in two local newspaper for inviting claims.

- Competent authority after a suitable enquiry of claims must

determine the compensation.

- Arbitration if dispute on the amount of compensation

- Civil Court if there is dispute on the recipient of compensation

The National Highways Act 1956

Cont….

 U/s 3(G) – Determination of compensation-

- Guidelines for determining the compensation existing upto

31.12.2014.

1. The market value of the land on the date of

publication of 3A notification.

2. Compensation for damages.

3. Compensation for consequences of acquisition like

reduction in income.

The National Highways Act 1956

 U/s 3(H) – Deposit and payment of amount -

- The amount determined by the competent authority

will be deposited by the Central Govt. in a joint account of

competent authority and NHIDCL representative.

- After receiving the amount competent authority will

distribute the compensation to persons entitled.

Procedures/steps for acquisition of land

Sl No Procedure/Activity

Concerned

Office/Unit

(a) SubmissionofLandAcquisitionPlan(LAQP)byDPRconsultant. BranchOffice

(b) IssueofNotificationunderSection3(a)ofNHAct1956appointing

CompetentAuthorityforLandAcquisition(CALA).

Ministry



BranchOffice

/CALA

(d) Issue of Notification under Section 3(A) of NH Act 1956. This involves

followingsteps;Submissionofdraft3(A)NotificationbyCALAtoNHIDCL

BranchOffice

(e) Vetting of draft 3(A) Notification by concerned Tech Division/Land

AcquisitionDivision

Ministry

(f) SubmissionofNotificationforsignaturebyMinister

(g) PublicationofNotificationinGovtGazette

(h) ) i) Publication of 3(A) Notification in local newspapers declaring Govt’s

intentiontoacquireland,andinvitingobjectionstoacquisitionoftheland

from interested persons, and, (subsequent to statutory period for filing

objections),(ii)conductofpublichearingsfordisposalofobjections.

CALA/Branch

Office



Procedures/steps for acquisition of land

Procedure/Activity

Concerned

Office/Unit

(i) Submissionofdraft3(D)NotificationbyCALAtoNHIDCL

CALA/BranchOffice

/TechDiv

(j) Vettingofdraft3(D)NotificationbyconcernedTechDivision Ministry

(k) Submissionof3(D)NotificationforsignaturebyMinister

(l) Publicationof3(D)NotificationinGovtGazette

(m) Publication of notice under Section 3G3 and 3G4 in local

newspapers inviting claims from interested persons

regardingcompensationforlandacquired.

No time limit has

been prescribed

by NH Act for

completion of

these tasks by

CALA

CALA/BranchOffice

(n) Hearing and disposal by CALA of petitions pertaining to

quantumofcompensation

(o) DeclarationofAwardbyCALAunderSection3(G)ofNHAct.

(p) AnalysisofAwardatHQ. TechDivision

(q) DepositionofcompensationwithCALA

Finance&TechDivision,

andBranchOffice

(r) Disbursement of compensation to individual landowners

throughRTGS/NEFTbyCALA.Thisstageinvolveshearing

and disposal by CALA of petitions pertaining to title over

acquiredland

No time limit has

been prescribed

by NH Act for

completion of

these tasks by

CALA.

CALA/BranchOffice

Steps in LA: Phase 1 : Transit Walk

 Team – NHIDCL (BranchOffice), Revenue (Naib

Tehsildar’s team)

 Intention

- Identification of religious monuments

- See if

• Abadi is coming in the way

• Mega structures like substations are in the way

• Mining or Forest area is affected

Listing down of all such points

And making changes

in alignment if

needed and possible

Phase 2 : Preparation of 3D

 Preparation for 3D

- Demarcation on the ground-Central and side pillars

- Survey by revenue staff to mark the proposed road on the

revenue map

- Making and numbering of structures (e.g. houses and trees)

done along side – to avoid confusion

- Valuation team also to be along side – PWD, Forest,

Registered Valuer, Rehabilitation NGO

Phase 3 : Types of land

 Land belonging to State Govt.: Revenue dept. and other

departments

 Private Land

 Central Government land – Railways, defence etc.

 Need for NOC from the different departments apart from

acquisition notice publication

More Tips……..

 Tree cutting permission – Involve Forest Deptt.

 Trg for CA(LA) in NH Act, 1956

 Fixed Tenures of Project Officers & CA

 LA cell at Distt. Level & CA level

 Retd. Revenue Officers (Patwaries, Rls etc.) be part of

LA cell from NHIDCL funds

 Uniformity in property valuation

Assessment of reasons for Delay in

Projects Under Monitoring

Poor Performance of

Contractor

Forest Clearance

Law & Order

Multiple Reasons

ChangeinScopeofWork

ROBClearance

UtilityShifting

LegalCases

LA: Issues

 Policy Issues

ØNo time limit for award of compensation

ØNo provision for de-notification of excess land

ØNo provision of time limit for filing the cases for arbitration.

However, 03 years prescribed under Limitation Act

ØMethodology of Market value not provided

Issues…..

 Institutional/Implementation Issues

ØQuality of manpower DPR consultants at field level with

ØShortage of manpower with CALA

ØDelays due to changes in alignments

 Alignments of highways frequently altered.

 Preparation of faulty draft notification by DPR consultants

mismatching with the alignment

ØTime lost in arbitration

Issues…….

Ø Inherent delays in procedural/legal formalities

ØCompetent Authority assign low priority to land acquisition

for NHIDCL

ØPayments which are not due under NH Act are included in

the estimates

ØErroneous/un-updated revenue records leading to issue of

incomplete/faulty notifications

Measures to be Adopted/Proposed

 Setting up of Special Land Acquisition Units (SLAUs)

 Strengthening the Manpower/physical resources with

field units/State authorities

 De-centralization of powers:

 Sanction of Compensation award upto 25 Crores by RO

 Setting up of Regional Offices

Measures Adopted/Proposed Contd….

Ø Regular Meetings High Powered Committee under Chief Secretary

Preferably - once in two months

Ø Formal public consultations by DPR Consultant at the time of project

preparation - To minimize mid course change in scope

Ø Monthly meetings with the District Authorities and Nodal Officers of

the State Government

Ø State Support Agreement with the State Govt. to provide support to

concessionaire/contractors.

Change in situation post promulgation on 31.12.2014 of the Right to Fair

Compensation and Transparency in Land Acquisition, Rehabilitation and

Resettlement (Amendment) Ordinance, 2014

 Section 105(3) of the RFCTLARR Act, 2013, stands amended. As per S 105(3), provisions of

RFCTLARR Act, 2013 relating to determination of compensation in accordance with the First

Schedule, R&R in accordance with Second Schedule and infrastructure amenities in accordance

with the Third Schedule shall apply to NH Act, 1956, w.e.f 01.01.2015.

 First Schedule:

 Determination of compensation

 Market value to be determined as highest of the following:

 Market value under Stamp Act for registration of sale deed

 Average sale price for similar land situated in vicinity

 Consented rate in case of private / PPP projects

 Market value to be multiplied by a factor of 1 to 2 in case of Rural areas depending on distance from urban area. In case

of urban areas, the factor is 1. To this, value of assets is to be added to arrive at the compensation. (First Schedule)

 Solatium is 100% of the amount of compensation, determined as above (does not include R&R amount),

 12 % per annum interest payable on market value from the date of publication of notice of SIA u/s 2(4) till the date of

award or the date of taking possession, whichever is earlier [section 30(3)]

 Second Schedule entitlements:

 Provision of housing units in case of displacement

 House in rural areas as per the Indira Awas Yojana

 In urban areas, a constructed house, not less than 50 sq.mts. in plinth area.

 The above benefits to be extended to any affected family which is

without homestead land (cut-off date 3 years)

 Alternative - one-time financial assistance for house construction, which

shall not be less than one lakh fifty thousand rupees:

 Alternative - In rural areas - equivalent cost of the house may be offered

in lieu of the constructed house:

 Explanation.--The houses in urban areas may, if necessary, be provided

in multi-storied building complexes.

 Choice of Annuity or Employment

 Affected families to be provided following options:

 (a) where jobs are created through the project, job to at least one

member per affected family in the project or such other project as

may be required, after providing suitable training and skill

development; or

 (b) one time payment of five lakhs rupees per affected family; or

 (c) annuity policies that shall pay not less than two thousand

rupees per month per family for twenty years, with appropriate

indexation to the Consumer Price Index for Agricultural

Labourers.

 Choice of Annuity or Employment

 Affected families to be provided following options:

 (a) where jobs are created through the project, job to at least one

member per affected family in the project or such other project as may

be required, after providing suitable training and skill development; or

 (b) one time payment of five lakhs rupees per affected family; or

 (c) annuity policies that shall pay not less than two thousand rupees per

month per family for twenty years, with appropriate indexation to the

Consumer Price Index for Agricultural Labourers.

 Subsistence grant for displaced families for a period of one

year

 Each displaced family shall be given a monthly subsistence allowance

equivalent to three thousand rupees per month for a period of one

year from the date of award.

 In addition to this amount, the Scheduled Castes and the Scheduled

Tribes displaced from Scheduled Areas shall receive an amount

equivalent to fifty thousand rupees.

 In cases of displacement from the Scheduled Areas, as far as possible,

the affected families shall be relocated in a similar ecological zone, so

as to preserve the economic opportunities, language, culture and

community life of the tribal communities.

 Transportation cost for displaced families

 Each displaced family shall get a one-time financial assistance of fifty

thousand

 rupees as transportation cost for shifting of the family, building

materials, belongings and cattle.

 Cattle shed/petty shops cost

 Each affected family having cattle or having a petty shop shall get one-

time financial assistance of such amount as the appropriate Government

may, by notification, specify subject to a minimum of twenty-five

thousand rupees for construction of cattle shed or petty shop as the

case may be.

 One-time grant to artisan, small traders and certain others

 Each affected family of an artisan, small trader or self-employed person

or an affected family which owned non-agricultural land or

commercial, industrial or institutional structure in the affected area,

and which has been involuntarily displaced from the affected area due

to land acquisition, shall get one-time financial assistance of such

amount as the appropriate Government may, by notification, specify

subject to a minimum of twenty-five thousand rupees.

 One-time Resettlement Allowance

 Each affected family shall be given a one-time "Resettlement

Allowance" of fifty thousand rupees

 Stamp duty and registration fee

 The stamp duty and other fees payable for registration of the land or

house allotted to the affected families shall be borne by the Requiring

Body.

 The land for house allotted to the affected families shall be free from

all encumbrances.

 The land or house allotted may be in the joint names of wife and

husband of the affected family.

 No Income Tax to be levied on award or agreement made under the

Act [section 96]

(except private negotiation cases covered u/s 46)

 Third Schedule :

 Infrastructure amenities in resettlement area:

25 amenities have been prescribed.

Comparison of RFCTLARR Act, 2013 with NH Act, 1956-Process leading to

award

RFCTLARR Act, 2013 NH Act, 1956

Section4-PreNotificationActivities

SIAStudyforLAprojects(exceptinUrgency

Clause/IrrigationProjectswithmandatoryEIA,certain

projects(incl.infrastructureproject)maybeexcludedbya

notification.)

proposedacquisitionservesthepublicpurpose

Estimationofaffectedfamilies

Extentofland,publicandprivateproperties,settlements

arelikelytobeaffected

absolutelybareminimumrequirement.

otheralternativesiteswereconsidered

•ConsultationwithLocalBodies

•Consent–ScheduledAreas,PublicPrivatePartnership

Projects(70%),PrivateProjects(80%).AsperOrdinance,

2014,Govt.mayexemptcertainprojects(including

infrastructureprojects&PPPinfrastructureprojects)by

notification.

•PublicHearing

•AppraisalofRecommendationsofExpertCommittee



Where the appropriate government, in spite of such

recommendations (EC) proceeds with the acquisition, it

shall ensure that its reasons for doing so are recorded in

writing.

SIA may not be applicable as per existing

provisions. However, for determination of

entitlements in accordance with Second and

Third Schedules SIA/Census may have to be

done. Rules in this regard may have to be

framed under NH Act, 1956 or the Act itself

may have to be amended.

Technically, even if one family is affected or

displaced R&R have to be awarded as per

provisions of RFCTLARR Act, 2013.

Contd…

RFCTLARR-2013 NH Act, 1956

PreliminaryNotification(S.11)–Within one

year of date of appraisal of SIA report by

Expert Committee (power of appr. Govt. to

extend)

Landdetails

summaryofSIA

natureofpublicpurpose

reasonsnecessitatingdisplacementofaffected

persons

detailsofAdministrator

Acquisitions starts with 3A notification .

11(5)Completeup-dationoflandrecords

withinaperiodof2monthsof11(1)

HearingofObjections(Section15(1)–

•Within60daysofPublicationoftheNotification

•Objectiontothe1.areaandsuitabilityofland

•Justificationofferedforpublicpurpose

•FindingsoftheSIAReport.

Hearing of objection within 21 days of

publishing of 3A notification.

RFCTLARR-2013 NH Act,1956

BetweenPNandDeclaration

Preliminarysurveyofland,S.12

HearingofObjections,S.15(1)

CensusofallPAFs,infrastructureandCPRs,S.16(1)

PreparationofdraftR&RScheme,S.16(2)

Publichearing&Raisingofobjections,S.16(5)

FinalizationandpublicationofapprovedR&RSchemeinthe

Gazette/madeavailableinlocallanguageinlocalbodies,S.18

Preparation of draft 3D

notification and submission to

Central Govt. by CALA.

Now, SIA report/ Census report

may also have to be prepared.

Section19(declaration)–withinoneyearofS.11.

AppropriateGovt.mayextendtheperiodofoneyear.

PublicationofDeclarationandSummaryofR&R.

Demarcateddetailsoflandswithfullparticularsofallinterest

holders,detailsoflandrequiredfor‘resettlementarea’,Summary

ofR&RScheme,Depositoffundscompulsorybeforefinal

notification

Declaration under Section 3D

within one year of 3A.

Section23(award)within ONE year of S.19 appropriate

Govt.shallhavethepowertoextendtheperiod.

Awardshallcompriseoftwocomponents,namely,LAQandR&R

Time limit not specified.

Contd…..

Determination of compensation

w.e.f. 01.01.2015

 Provisions from Section 26 to 30 of RFCTLARR Act, 2013 is to apply.

 Section 26: highest of the average sale price for three years and stamp

duty rate is to be adopted as market value.

 Section 26(2): multiplication factor

 Section 28: total compensation includes 07 provisions some of which are

common to existing Section 3G(7) of NH Act, 1956

 Section 30: solatium and interest

RFCTLARR-2013 provisions for compensation

Marketvalue

Multiplierof1-2inRuralAreas

Solatium-100%ofcompensation.

AdditionalMarketValue12%-SIA/PNtoAward/Possession

Double Compensation for Multiple Displaced( Section 39)

Contd….

Few issues from 01.01.2015

 Provision in RFCTLARR Act, 2013: Section 105(1) of RFCTLARR Act, 2013: Section 105(1)

of RFCTLARR Act, 2013, states that subject to the subsection 3 of Section 105, the provisions of

RFCTLARR Act, 2013 shall not apply to NH Act, 1956.

 Whether Section 24 guidelines are applicable in respect of acquisition initiated

before 01.01.2015

 In short, the Section 24 in respect of land acquisitions initiated prior to 01.01.2014 under LA Act,

1894, is as follows:

(i)where no award has been declared, compensation as per provisions of RFCTLARR Act, will

apply.

(ii) where award has been declared, proceedings shall continue as per provisions of LA Act, 1894

(iii) notwithstanding the above:

(a)if award has been declared five years prior to 01.01.2014, and possession has not been taken and

compensation has not been paid, the proceedings shall be deemed to have lapsed

Provided, if award has been declared and compensation in respect of majority of land holdings have

not been deposited, all beneficiaries shall be entitled to compensation as per RFCTLARR Act,

2013. 2015

Contd…

 Section 3 defines terms like affected area, family, displaced family,

affected family, persons interested, land holdings, etc.–whether these

definitions are applicable to NH Act, 1956 or rules have to be made or

the NH Act is to be amended to define these terms.

 Whether rules are to be made to incorporate the procedure for

determining the affected families, displaced families under NH Act,

1956.

 Whether SIA shall have to be done.

 As per RFCTLARR Act, 2013, possession of land is after payment of

compensation to persons entitled and resettlement of displaced

families. Existing provision under NH Act-possession after deposit of

compensation with CALA.

Thank You