Title - PM eases land transfer to speed up PPP projects

Prime Minister Manmohan Singh on Thursday lifted the ban on transfer of government-owned land, relaxed the land transfer policy, and did away with the need for Cabinet approval for certain categories of projects, including public-private partnership, with immediate effect.

The policy on land transfer has been relaxed “so that infrastructure projects aren’t held up because of procedural delays,” says a statement issued by the Prime Minister’s Office. Relaxing the ban for certain categories of projects, the PMO hopes, will “speed up the award of PPP projects from this month onwards, significantly.”

The ban on transfer of land was imposed last year, except transfer of land from one department to another with Cabinet approval.

Stressing that it led to “long delays” in awarding concessions for infrastructure projects that are executed especially in PPP mode, the Prime Minister has done away with the need for this process, provided these projects are within specific valuations. This decision will benefit road, railways, ports, civil aviation and metro projects.

Transfer of land from one department to another wing will be executed under normal government rules, and to a concessionaire within a limited value, provided the project is cleared by the Public-Private Partnership Approval Committee and by the Finance Minister and ministries concerned.

Similarly, the Rail Land Development Authority (RLDA) has been allowed the use of rail land in accordance with the provisions of the Railways Amendment Act, 2005 and the rules framed thereunder, and guidelines of the Railway Ministry.