G.O.(Ms) No.27, Executive Instructions on Determination of Final Compensation, 2018
The Highways and Minor Ports (HF1) Department of the Government of Tamil Nadu issued G.O.(Ms) No.27, dated 5 March 2018, giving executive instructions for determining final compensation payable to landowners whose land was acquired under the Tamil Nadu Highways Act, 2001 and whose interim compensation had already been fixed. It applies multiplier factors to market value based on whether a project is in an urban area or, for rural projects, its distance from an urban area.
What the government order does
G.O.(Ms) No.27, dated 5 March 2018, issued by the Highways and Minor Ports (HF1) Department of the Government of Tamil Nadu, provides a method for calculating final compensation in specified highway land acquisition cases. The instructions were issued pending amendments to the Tamil Nadu Highways Act, 2001 and its rules.
The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 came into force on 1 January 2014 and repealed the Land Acquisition Act, 1894. The Government had previously decided that its compensation, rehabilitation and resettlement provisions would apply where notice under the Tamil Nadu Highways Act, 2001 was published on or after 1 January 2014.
Who may be affected
G.O.(Ms) No.27 affects landowners in highway acquisition cases where interim compensation was previously fixed and allowed under G.O.(Ms) No.59, Highways and Minor Ports (HF1) Department, dated 29 May 2014. Government authorities determining the final award must apply the stated multiplier and follow the market value guidance issued by the Additional Chief Secretary and Commissioner of Land Administration.
Multiplier factors
For projects situated in rural areas, market value is multiplied according to distance from an urban area:
- Within 30 kilometres, factor 1.25.
- Beyond 30 kilometres and within 50 kilometres, factor 1.50.
- Beyond 50 kilometres, factor 2.00.
- For urban areas, the factor is 1.00.
Meaning of urban area
G.O.(Ms) No.27 treats the following as urban areas:
- Areas, including Village Panchayats, within the territorial limits of the Chennai Metropolitan Development Authority.
- Madurai, Tiruchirappalli, Salem, Coimbatore and Tirunelveli Municipal Corporations, together with areas, including Village Panchayats, within 8 kilometres of their limits.
- All other Municipal Corporations, Municipalities, Town Panchayats, Cantonments and Townships.
- Any other area notified as an urban area by the State Government from time to time.
Market value guidance
G.O.(Ms) No.27 requires authorities to use the relevant circular and letter issued by the Additional Chief Secretary and Commissioner of Land Administration as guidance when determining market value under the First Schedule of the 2013 Central Act.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Does G.O.(Ms) No.27 apply to every highway land acquisition?
The executive instructions specifically cover cases where interim compensation had already been fixed and allowed under G.O.(Ms) No.59, dated 29 May 2014. The source also records that the 2013 Central Act provisions were applied where notice under the Tamil Nadu Highways Act, 2001 was published on or after 1 January 2014.
What multiplier applies if my rural land is more than 50 kilometres from an urban area?
The market value multiplier is 2.00 for a rural project beyond 50 kilometres from an urban area.
What multiplier applies to land in an urban area?
The factor for an urban area is 1.00.
Is a Village Panchayat automatically treated as rural for this calculation?
No. A Village Panchayat within the Chennai Metropolitan Development Authority limits, or within 8 kilometres of the listed Municipal Corporations, is included in the stated definition of urban area.
