Click to play videoNew Delhi:The Government may stall big-ticket investments from the corporates. Furor over SEZs (special economic zones) has forced the Government to review its land acquisition policy and restrict farmer distress.
TV18 learns the Government is likely to amend section four of the Act, which allows state governments to acquire land for private projects.
Sources say that the recent Congress Conclave in Nainital, the centre is likely to prohibit state governments from acquiring land for private sector projects.
The government has already initiated the process by issuing an advisory to state governments on land acqusition. Commerce minister Kamal Nath issued a statement to the state governments saying the prime agricultural land should not be acquired by the SEZs. He said only the barren land or wasteland could be used.
The statement said the states could acquire agricultural land only when it was absolutely necessary and that too should not exceed more than ten per cent of the total land requirement of the SEZs.
If the new norms come into effect companies will have no other option but to directly negotiate with the farmers.
Commerce Ministry officials say for the approved 222 SEZs the total land requirement runs up to 75,000 hectares. And this does not take into account large scale projects like the Tatas small car plant in West Bengal and Anil Ambani's Dadri power plant in UP.
Consultations on proposed amendments between Commerce, Rural development and Agriculture Ministries are likely to happen sometime next week.
(For updates you can share with your friends, follow IBNLive on Facebook, Twitter, Google+ and Pinterest)
More on IBNLive Right Now
TOP NEWS
MOST SHARED
PHOTOGALLERY
