The Petroleum and Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962

What this law does

The Petroleum and Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962, Act No. 50 of 1962, provides a legal process for acquiring a right of user in land for laying pipelines for the transport of petroleum and minerals. It is not framed as acquisition of the land itself. The law says the right of user in the land can vest in the Central Government, or in some cases in a State Government or a corporation, free from all encumbrances.

Who it affects

The Petroleum and Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962 affects:

• land owners and occupiers whose land is identified for a pipeline route
• the Central Government
• State Governments
• corporations proposing to lay pipelines
• the competent authority appointed by notification

A buyer or owner should pay attention if land is covered by a notification or declaration under this law, because the land may remain with the owner but become subject to a pipeline right of user and related restrictions.

How acquisition starts

The Central Government may publish a notification in the Official Gazette if it considers it necessary in the public interest to acquire the right of user in land for laying pipelines. The notification must give a brief description of the land, and the competent authority must publish its substance in the prescribed manner.

After that, authorised persons may enter the land to survey, take levels, dig or bore into the sub-soil, mark the intended line, clear limited obstructions where needed, and do other acts necessary to see whether pipelines can be laid. They must cause as little damage or injury as possible.

Objections and declaration

Any person interested in the land may object within twenty one days from the date of the notification. The objection must be in writing, state the grounds, and the objector must be given an opportunity of being heard, either in person or by a legal practitioner. The competent authority may allow or disallow the objections, and its order is final.

If no objection is made in time, or objections are disallowed, the matter goes forward for a Central Government decision. If satisfied that the land is required, the Central Government may declare that the right of user should be acquired.

Important limits and protections

Key points in the text provided include:

• no pipeline can be laid under land used for residential purposes immediately before the section 3 notification
• no pipeline can be laid under land with a permanent structure already in existence immediately before that date
• no pipeline can be laid under land appurtenant to a dwelling house
• no pipeline can be laid at a depth less than one metre from the surface
• authorised entry for maintenance or inspection generally requires reasonable notice to the occupier, except in an emergency
• the owner or occupier remains entitled to use the land for the purpose for which it was used immediately before, subject to the law's restrictions
• the Act includes compensation, payment, penalties, appeal and rule making provisions

Why this matters in practice

For property due diligence, the main issue is whether a parcel is under a notification or declaration under the Petroleum and Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962. That can affect how the land may be used and whether pipeline authorities may enter for laying, inspection, repair, alteration or removal.