NEW DELHI: A group of ministers set up to finalise a relief and rehabilitation policy today decided to give state governments a discretion to acquire 30 per cent of the land required for an industrial project or special economic zone provided the developer has acquired the balance.
State governments can now acquire 30 per cent of the land on behalf of the project developer if the company has already taken 70 per cent of the land in possession, Commerce Minister Kamal Nath said after a meeting of the Group of Ministers.
The decision is not specific to SEZs but would apply to all industrial projects, Science and Technology Minister Kapil Sibal said.
The GoM, headed by Agriculture Minister Sharad Pawar, was constituted to frame a relief and rehabilitation policy for the benefit of the people displaced by land acquisition for SEZs and industrial projects.
The Centre had earlier asked states not to acquire land on behalf of the companies setting up SEZs and industries after protests by farmers and social activists in various parts of the country, including Nandigram and Singur in West Bengal as well as in Haryana and Maharashtra.