Land Acquisition, Rehabilitation and Resettlement Act, 2013 – Implementation and effectiveness

The Standing Committee on Rural Development and Panchayati Raj examined the implementation and effectiveness of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (LARR Act). This matters to citizens because the Act governs how land is acquired for public projects and how affected communities are compensated and rehabilitated.

The report concerns the Ministry responsible for the LARR Act (implied as the Ministry of Rural Development or relevant central ministry overseeing land acquisition) and the public affected by land acquisition, specifically tribal communities, scheduled area residents, and families losing land and livelihoods.

• The Committee observed that Gram Sabha consent is often obtained as a mere formality and recommended making it mandatory for all land acquisitions, not just in scheduled areas, with veto power over proposals not aligning with community interests.
• The Committee recommended making Social Impact Assessment (SIA) recommendations binding, noting that the Act mandates SIA studies before acquisition.
• Regarding rehabilitation, the Committee flagged inferior quality of land-for-land options, resettlement colonies lacking basic services, and unmet employment commitments. It recommended prohibiting possession of land until rehabilitation sites with functional services are ready.
• The Committee noted that the National Monitoring Committee (NMC) has not reduced grievances for projects like Ken-Betwa and Polavaram, and recommended empowering the NMC to intervene, establish monitoring guidelines, and set up a centralized grievance redressal portal.
• The Committee identified land misclassification (greenfield as brownfield, rural as urban) to reduce compensation and recommended the Ministry establish a Central Monitoring Mechanism to prohibit arbitrary conversions and enforce penalties against manipulating officials.
• In scheduled areas, the Committee noted deficiencies including land undervaluation, delayed Gram Sabha consultations, and mechanical issuance of compliance certificates. It recommended monitoring procedural compliance, transparent disclosure of market value, and prohibiting possession until full rehabilitation delivery.
• For tribal areas, the Committee cited outdated circle rates, exclusion of community resources, and delays in payments. It recommended calculating 'livelihood value' beyond land value, updating circle rates using independent valuers, and providing indexed interest for payment delays.
• The Committee emphasized aligning the LARR Act with the Panchayats (Extension to Scheduled Areas) Act, 1996 (PESA), recommending mandatory Gram Sabha consent and training officials in tribal culture.
• The Committee observed that forest land is often acquired in violation of the Forest Rights Act (FRA), 2006, with affected families receiving inadequate compensation (around Rs 15 lakh). It recommended integrating FRA provisions with LARR and incorporating Community Forest Resource titles in compensation.

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