Bengaluru's Civic Projects To Get Boost: Karnataka Government Revamps Land Compensation Scheme

In a bid to streamline land acquisition for crucial infrastructure projects, the Karnataka Government has introduced significant amendments to the Transferable Development Rights (TDR) scheme within the Bruhat Bengaluru Mahanagara Palike (BBMP) limits.

These changes aim to resolve long-standing challenges faced by the civic body in acquiring land from reluctant owners, a key obstacle that has stalled various developmental projects across Bengaluru.

By offering clearer and more attractive compensation terms, the revised guidelines are expected to make the land acquisition process smoother and more equitable for property owners.

The revised guidelines primarily aim to standardise compensation, taking into account the variations in land types — including agricultural land, land converted for non-agricultural purposes, and developed land. Previously, these variations led to resistance from landowners who were unwilling to surrender their property, hampering many key infrastructure projects.

The TDR scheme, reintroduced in 2022 after a temporary halt, allows landowners who lose land to civic projects to receive Development Rights Certificates (DRCs), which grant them extra built-up areas. These DRCs can either be used by the landowner or transferred to another party.

Under the new provisions, if agricultural land is acquired, BBMP will now collect charges for its conversion to non-agricultural use, along with other development and statutory charges. The corresponding DRC issued will be based on the guidance value for developed residential land.

This revision was initially proposed by the BBMP in February and was discussed in a meeting chaired by Chief Minister Siddaramaiah and Deputy Chief Minister D K Shivakumar in July, before receiving final approval from the Cabinet. The new scheme also applies to land converted for residential, commercial, and industrial purposes, ensuring uniformity in land valuation.

One of the key provisions of the amendment is the inclusion of sites with ‘A’ khata — a recognised legal document issued to property owners. These sites, where land transfer occurred without prior approval of the layout map from the planning authority, will now be eligible for compensation under the TDR scheme, reports Deccan Herald.

In recent years, the TDR scheme has been mired in controversy. Investigations revealed a scam in its implementation, leading to its discontinuation in 2020. However, it was revived two years later due to the significant challenges faced by municipal authorities in continuing infrastructure projects without a functioning land acquisition mechanism.

Despite its reintroduction, the BBMP acknowledged ongoing difficulties in persuading landowners to part with their land. The civic body stated that the delays caused by landowner reluctance meant that "most of the roads have not been completed".

With the new amendments, the government hopes to overcome these issues by providing a more uniform and attractive compensation model to landowners.