Do You Support Land Pooling?

Do You Support Land Pooling?

The Modi government has discarded the measure to significantly dilute the sections of the “2013 land acquisition law.” The law has been the reason behind various stalled projects across India. This failure to implement a new law to accelerate acquisitions implies that future projects are set to get delayed by as much as three to five years. The reason behind the delay again will be time-consuming process as required by the 2013 law. However, even as argument fume in New Delhi on the 2013 act, Andhra Pradesh CM Chandrababu Naidu has figured out a way round the problem. He proposes to convert all farmers as stakeholders in the new project, so that they willingly “pool” their land for advancement of city development projects. Do you think that this concept of land pooling can provide a viable solution to the problem and a good idea to implement?

Yes

- Land Pooling can prove to be an effective self-financing technique for infrastructure and urban land development, and is going to be cheaper compared to gathering all project land and convert into a single ownership.

- The model of property divisions is reformed and new public space and infrastructure, mostly for parks and roads, is acquired.

- As the original land owners keep title to a major part of their land, there is comparatively less land owner conflict in land pooling projects as seen in case of land acquisition. IN simple terms, the concept is less disruptive.

- The concept of pooling is attractive to landowners as the considerable increase in the land value can be achieved in the process. It implies the rate of the individual land holdings will witness a remarkable appreciation even if the area is smaller.

- The pooling concept guarantees the justified sharing of profits among landowners that become a part of redevelopment.

- Economic analyses reported that 43% of all stalled projects in India face land acquisition issues. Pooling will help to resolve this problem. Also, the land owners will get back nearly 30% of their pooled property as ultra-expensive city land.

- Till the time the land is not developed, the farmers will have stable cash flow in form of monthly government payments, and prospects for taking up other work.

- It is not just good politics but also depicts a way of ethical development. There will be no need to deprive famers forcibly of their land.

No

- Since a major part of the land stays private property, and landowners hardly infuse capital in development process, there is often little benefit to build or sell on newly serviced plots. As a result, the project areas develop slowly, and land owners wait for land value to appreciate.

- Land pooling warrants commitment by landowners and local agencies to its operational system, cost appraisals, detailed land value, sustained development pressure, and many more.

- There are issues in determining future loads on sewer, roads, water, and other utilities when developing infrastructure to complete the planned re-subdivision.

- In an attempt to increase property values and gain profit to compensate for losses of land, there can be use of improper land in absence of robust zoning controls.

- With increased contribution ratios it will be tough to get consensus. The different interests of leaseholders and landowners will make participation problematic as it won’t be easy to coordinate the rights of all individuals involved.

- In such projects, no detailed plans are disclosed for the readjusted area. Also, in cases where sites have been divided further into small lots, it becomes tough to assess contribution lands.

Conclusion

So far, the land acquisition law has failed to meet the farmers’ aspirations. The new land-pooling concept may provide farmers with an opportunity to become developers. Undoubtedly, there are many benefits but there are various problems that need to be considered before the land-pooling policy is implemented. There will be power and water demands and need of supporting infrastructure. Also, the challenges related to the execution stage have to be taken into account.
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    Discussion

  • RE: Do You Support Land Pooling? -Sukhvir Singh (08/11/15)
  • Yes, it can be good for the landlords who have a bulk of land but at the same time, for people living in slums (JHUGGIS) who don't have any land registered in their name and for people living at rent, it can be very disappointing because they will not be benefited in any way. They will not get any stake in the project although they may lose their home or work because the project will be established in localities or their place of work.So, there is a need to think about them also.
  • RE: Do You Support Land Pooling? -Deepa Kaushik (08/11/15)
  • Land pooling is a good idea. But the idea is not all that easy to implement as it seems. By land pooling we are thinking of making the farmers the stakeholders in the projects. For those to whom farming is the only well-known subject and only source of livelihood, we need to think a lot before snatching their way of earning the bread-butter. Providing an alternate livelihood is one aspect, which is equally difficult in a country with several thousands already fighting their unemployment concern. It would be difficult to make placement for the farmers located in the vicinity of big cities with minimal literacy percentile. Other concern being educating the farmers the pros and cons of being the stakeholders. It is not surprising that the Government or agents who are keen in getting the land for the completion of the project would try to conceal the loss in this deal. And it would be equally challenging to convey the concept of land pooling to the farmers. Very well narrated, the land procured from the farmers would be utilized for vivid use viz residential blocks, parks, roads, hospital and educational institute campus etc. In these varied types of projects, it would be difficult to make stakeholders for the plaxces like roads which would be more of the public utilization unit. There would be many other issues related to the income procured from their lands respectively, as the lands might not yield an uniform price to all the farmers. To be precise, though the concept of land pooling is good, still we need to make ourselves ready with the accompanying issues that would arise. If we can have a uniform platform ready for the farmers, then we can readily go ahead with the Land Pooling idea.