Government Proposes Amendments to Expedite Land Acquisition for Highway Development Projects
The Indian government is moving to overhaul the land acquisition process for highway development with a series of proposed amendments to the National Highways Act. These changes, if approved, aim to expedite land acquisition for highway projects and associated infrastructure, including wayside amenities and toll offices. A key focus of the reforms is to eliminate delays and increase transparency, while also addressing concerns over fair compensation for landowners.
Under the new proposal, land acquired for highway development will be returned to its original owners if it remains unused for five years. This provision is expected to prevent unnecessary land holding by the government and ensure that land is only retained for development purposes. The proposal also addresses the growing issue of disputes over compensation by stipulating that neither landowners nor highway authorities can object to the compensation amount more than three months after the government announces its award. This time limit is set to ensure that compensation settlements are reached in a timely manner, reducing the potential for prolonged arbitration. Aiming to make the land acquisition process faster and more efficient, the proposal includes a provision that any interchange between highways and other modes of transport—such as railways and airports—would automatically be declared as part of the national highway system. This move is designed to accommodate both present and future transportation needs, ensuring that crucial infrastructure projects can proceed without unnecessary regulatory delays.
In an effort to enhance transparency, the government also plans to launch a dedicated portal where notices for land acquisition will be posted. This online platform will enable greater public access to information about land being acquired for highway development, including those related to public utilities and toll infrastructure. The digital initiative is expected to make the entire process more streamlined and accessible, offering a clear overview of the status of land acquisition at any given time. One of the most significant aspects of the proposal is the provision that no transactions involving the land can be carried out once the government has issued its first notification for acquisition. This measure is aimed at preventing landowners from artificially inflating the value of their land by making new constructions or conducting transactions after receiving the notification. Instances of landowners building homes or running businesses on land slated for acquisition in order to demand higher compensation have been a significant issue in the past. The new amendments seek to prevent such practices, thus safeguarding the integrity of the compensation process.
The proposed amendments also include guidelines for arbitrators to follow when determining compensation. Arbitrators will be required to take into account the market value of the land at the time the government issues the first notification, thereby providing a more accurate and fair compensation framework. This is seen as a critical step in ensuring that landowners are not disadvantaged by arbitrary or inflated compensation awards. These amendments come after consultations with several ministries, including those of civil aviation, railways, defence, and legal affairs, as well as other concerned departments. Their feedback has helped shape the proposal to meet the growing demands for faster and more efficient land acquisition for national highway projects. The changes proposed by the Ministry of Road Transport and Highways are expected to address some of the key challenges that have plagued the land acquisition process in India for years. By setting clear timelines for compensation determination, eliminating potential for disputes, and improving transparency, the government hopes to accelerate the pace of highway development. This, in turn, will contribute to the broader objective of enhancing India’s infrastructure, improving connectivity, and supporting economic growth across the country.
While the reforms are designed to streamline the land acquisition process, they have also sparked debate. Critics argue that the proposed amendments could leave landowners with limited recourse to challenge unfair compensation awards. The government, however, maintains that the changes are necessary to balance the need for efficient development with the rights of landowners. As the proposal awaits cabinet approval, the debate surrounding land acquisition reforms is likely to intensify, with stakeholders from various sectors closely monitoring the situation. Ultimately, these amendments could have far-reaching implications for India’s highway development strategy, offering a more efficient and transparent system while attempting to address the concerns of landowners.
