Watchdog to run realty check in works

NEW DELHI: Even as the row over land acquisition for industrial projects rages, a new authority is being set up to vet land requirements of SEZ projects. The move is aimed at preventing SEZ projects from turning into real estate ventures.

The rural development ministry has proposed that the authority should scrutinise the demand for land by promoters before forwarding a case for further approvals.

The authority would also undertake independent assessment of SEZ projects and wield powers to scale down land requirements. The proposal is expected to be included in the new rehabilitation and resettlement (R&R) policy being finalised by the ministry. The policy is expected to come up for Cabinet approval later this month, an official source said.

The proposed authority would examine the business model of companies interested in setting up SEZs. “For example, if a developer or a company comes up with a proposal to set up a 2,000-acre SEZ, the claim would be scrutinised to ascertain whether the requirements are actual. The total area allowed to a SEZ would be entirely based on technical requirements, which would be done by independent assessors applying stringent criteria,” rural development ministry official said.

The creation of an independent authority is also expected prevent raging land controversies like the one in Nandigram in West Bengal. It is proposed that only the minimum amount of land necessary for core functions and a small proportion for allied functions should be given for SEZ projects.

The new policy may also propose a bar on multi-crop lands from being used for SEZs. “Where use of farm land for SEZs cannot be avoided, single-crop lands in rain-fed areas may be considered. Multi-crop lands should be avoided to the maximum extent possible. Even in completely unavoidable circumstances, these lands may be used only for strategic requirements,” the official said.

Degraded forest lands could also be considered for SEZ projects. “We have proposed compensatory development of wastelands for the sake of food security,” he added.