TN private entities can exchange patta land fo govt land for projects  

CHENNAI: Industries and educational institutions can now exchange their patta land for government poramboke land for expanding their existing projects, say new land exchange guidelines issued by the State government to replace Revenue Standing Orders (26A). The guidelines were issued in accordance with the recommendations of a five-member committee constituted last year. 

The exchange of land for consolidation of holdings of industries or educational institutions or for accessing patta land will be subject to the condition that the extent of land to be exchanged doesn’t cross 30% of the total land (block of land in relation to which the proposal for exchange has been made) possessed by the applicant with clear title. Exchange of land can be carried out for both agricultural and non-agricultural purposes.

A revenue department official told TNIE that the idea is to conserve government’s land pool which has shrunk over the years. “If we alienate a piece of government land, whatever value the land has, we will lose it permanently.Under this exchange scheme, industries, educational institutions or private parties will get government land and in exchange the State will get the same extent of land in another accessible place,” the top official said. 

Another official said exchange of land was permissible even earlier on a case-to-case basis but the guidelines were not clear.When private entities go for expansion, there are bound to be small pieces of government land near their project sites that cannot be acquired by them and this may make project implementation impossible.

The new arrangement is a win-win situation for both government and private sector. The land exchange does not cover waterbodies and if it involves land in sensitive zones such as buffer zones, hill area conservation authority, elephant or tiger corridors and eco-sensitive zones, the proposal will be routed through forest department.

The government order also states that if the poramboke land which is partially or fully locked inside a block of patta lands of the private party and is sought to be exchanged then the patta land must be given within the same block of land. The patta land should have access to the road of the highest category abutting the land block. 

If it is not possible to provide patta land within the same block, the alternative land must be given preferably within 1 km of the overall boundary of the private land being consolidated with frontage to the same or higher category of the road.

The value of patta land will be fixed as per guideline value. If the guideline value of government land is lower than the patta land, then irrespective of valuation, the patta land offered for exchange has to be equal to the government land.

Similarly, if the guideline value of government land is higher than patta land, then patta land offered must be equal in size to government land and the price difference must be given in money or else the extent of patta land taken as exchange must be to the extent that the value of patta and poromboke land parcels are equal.

Former Confederation of Indian Industry (CII) chairman M Ponnuswami says it was a long pending issue.“Usually to acquire or alienate this piece of land, it takes years. The new arrangement could help speed up the project,” he said.

For agriculture and non-agri purposes
The extent of land to be exchanged will be limited to 30% of the total land possessed by the applicant with clear title. Can be for both agricultural and non-agricultural purposes.