Lok Sabha Question No. 2586 (UNSTARRED), answered on 2018-12-27
Subject: Administrative Charges for Land Acquisition
Ministry: ROAD TRANSPORT AND HIGHWAYS
Asked by: ASADUDDIN OWAISI

## GOVERNMENT OF INDIA

## MINISTRY OF ROAD TRANSPORT AND HIGHWAYS

## LOK SABHA UNSTARRED QUESTION NO. 2586 ANSWERED ON 27 TH  DECEMBER, 2018

## ADMINISTRATIVE CHARGES FOR LAND ACQUISITION

## 2586.   SHRI ASADUDDIN OWAISI:

## Will the Minister of ROAD TRANSPORT AND HIGHWAYS सड़क परिवहन औि िाजमार्ग मंत्री

be pleased to state:

(a) whether at present the States are charging between 6 to 20.5% of the compensation amount for land acquisition as administrative charges from NHAI and Highway Ministry;

(b) if so, the details thereof;

(c) whether States are making profits by levying such high charges;

(d) whether an inter-Ministerial panel has recommended not to levy more than 2.5 to 1% of compensation and other charges by States;

(e) whether States have agreed to this proposal of the Government; and

(f) if so, the such annual charges being paid by NHAI to States and further steps taken/ being taken in this regard?

## ANSWER

## THE MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT AND HIGHWAYS

## (SHRI MANSUKH L. MANDAVIYA)

(a) to (b) At present 13 states levy administrative charges for acquisition of land for the National  Highways.  These  charges  vary  from  about  10%  to  20.5%  of  the  compensation amount. The details of administrative charges being levied by the States are annexed.

- (c) Ministry of Road Transport and Highways does not have any such details.

(d) The issue of administrative charges for acquisition of land for the National Highways was deliberated in-depth in the Ministry and the States were asked to rationalise the same and choose from the following three options:

- (i) Raise  a  bill  for  the  actual  expenditure  incurred  by  the  State  Government  on  land acquisition for the National Highways; or
- (ii) Consider prescribing a fixed amount per hectare acquisition cost (as in the case of Haryana, it is Rs. 1.00 lakh per acre or Rs. 2.5 lakh per hectare); or
- (iii) Cap  the  administrative  charges  at  a  uniform  rate  of  2.5%  of  the  compensation amount, while allowing for adjustment of the additional expenditure incurred by the Project Implementing Agencies of this Ministry, on engagement of the Special Land Acquisition Support Units to assist the CALA.

(e) and (f) Most of the States have agreed to rationalise the administrative charges. As per the decision taken by the Ministry, wherever a State has not rationalized the administrative charges, the Ministry and/or its executive agencies have been paying this amount with a cap of 2.5% of the compensation amount. No annual charges are being paid by NHAI to States but only administrative charges as mentioned above are paid on case to case basis, for acquisition of land for National Highway projects.

ANNEXURE REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (b)  OF  LOK  SABHA UNSTARRED  QUESTION  NO.  2586  ANSWERED  ON  27.12.2018  ASKED  BY  SHRI ASADUDDIN  OWAISI  REGARDING  ADMINISTRATIVE  CHARGES  FOR  LAND ACQUISITION

|   Sr. No. | State             | Administrative Charges (AC)                                                                                                                                                                                                                                                                                    |
|-----------|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|         1 | Andhra Pradesh    | Nil                                                                                                                                                                                                                                                                                                            |
|         2 | Arunachal Pradesh | Nil                                                                                                                                                                                                                                                                                                            |
|         3 | Assam             | 10% of the Compensation Amount                                                                                                                                                                                                                                                                                 |
|         4 | Bihar             | 2.5% of the Compensation Amount                                                                                                                                                                                                                                                                                |
|         5 | Chhattisgarh      | 2.5% of the Compensation Amount                                                                                                                                                                                                                                                                                |
|         6 | Goa               | NIL                                                                                                                                                                                                                                                                                                            |
|         7 | Gujarat           | NIL                                                                                                                                                                                                                                                                                                            |
|         8 | Haryana           | Rs. 1.00 lakh per acre as per clause 19(ii) of Government of Haryana Government Notification dated 09.11.2010                                                                                                                                                                                                  |
|         9 | Himachal Pradesh  | 2.5% of the total award value                                                                                                                                                                                                                                                                                  |
|        10 | Jammu & Kashmir   | Nil                                                                                                                                                                                                                                                                                                            |
|        11 | Jharkhand         | 2.5% of the Compensation Amount                                                                                                                                                                                                                                                                                |
|        12 | Karnataka         | Nil                                                                                                                                                                                                                                                                                                            |
|        13 | Kerala            | 2.5% of the Compensation Amount                                                                                                                                                                                                                                                                                |
|        14 | Madhya Pradesh    | 2.5% of the Compensation Amount                                                                                                                                                                                                                                                                                |
|        15 | Maharashtra       | 2.5% of the Compensation Amount                                                                                                                                                                                                                                                                                |
|        16 | Manipur           | Nil                                                                                                                                                                                                                                                                                                            |
|        17 | Meghalaya         | Nil                                                                                                                                                                                                                                                                                                            |
|        18 | Mizoram           | Nil                                                                                                                                                                                                                                                                                                            |
|        19 | Nagaland          | Nil                                                                                                                                                                                                                                                                                                            |
|        20 | Odisha            | 20% of the estimated compensation amount                                                                                                                                                                                                                                                                       |
|        21 | Punjab            | Nil                                                                                                                                                                                                                                                                                                            |
|        22 | Rajasthan         | Nil                                                                                                                                                                                                                                                                                                            |
|        23 | Sikkim            | Nil                                                                                                                                                                                                                                                                                                            |
|        24 | Tamil Nadu        | Nil                                                                                                                                                                                                                                                                                                            |
|        25 | Telangana         | Nil                                                                                                                                                                                                                                                                                                            |
|        26 | Tripura           | Nil                                                                                                                                                                                                                                                                                                            |
|        27 | Uttarakhand       | 2.5% of the Compensation Amount. However, if the actual expenditure incurred by the State Government on land acquisition for the National Highways is more, then Administrative charges shall be the actual expenditure incurred by the State Government or 5% of the compensation amount, whichever is lower. |

| Details of Administrative Costs/ Charges levied by states on acquisition of land for the National Highways.   | Details of Administrative Costs/ Charges levied by states on acquisition of land for the National Highways.   | Details of Administrative Costs/ Charges levied by states on acquisition of land for the National Highways.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|---------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Sr. No.                                                                                                       | State                                                                                                         | Administrative Charges (AC)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 28.                                                                                                           | Uttar Pradesh                                                                                                 | (a) For expenditure incurred towards establishment of acquisition units. (Includes pay, allowances, leave, pay, pension, gratuity and all other relevant expenses) - administrative cost @2.50% of compensation cost. (b) For expenditure incurred towards preparation of records, preliminary spot inspections and other works in the preliminary stages of acquisition, expenses on the process where consent of affected family has to be obtained or not to be obtained, as the case may be. - Administrative cost shall be the real expenditure on land acquisition establishment unit. |
| 29.                                                                                                           | West Bengal                                                                                                   | 2.5% of the Compensation Amount                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |

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