Section 28 Land Acquisition Act 2013: Parameters Considered by Collector for Award
Section 28 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 specifies the factors the Collector must consider while determining compensation for land acquired under the Act.
Meaning and purpose of Section 28
Section 28 sets out the statutory parameters for determining the amount of compensation to be awarded. The provision goes beyond the market value of the acquired land and requires the Collector to consider specified forms of loss and damage caused by the acquisition.
Section 28 - Parameters to be considered by Collector in determination of award
While determining compensation for land acquired under the Act, the Collector must take into account the market value determined under Section 26, the award amount in accordance with the First and Second Schedules, specified damage and expenses resulting from the acquisition, and any other ground that serves equity, justice and the benefit of affected families.
Seven factors considered under Section 28
1. Market value and statutory schedules
The Collector must consider the market value determined under Section 26 and the award amount in accordance with the First and Second Schedules to the Act.
2. Damage to standing crops and trees
Compensation must take into account damage sustained by a person interested because standing crops and trees on the land are taken when the Collector takes possession.
3. Damage caused by severance of land
The Collector must consider damage sustained when the acquired land is severed from the person's other land at the time possession is taken.
4. Injurious effect on other property or earnings
Damage caused because the acquisition adversely affects the person's other movable or immovable property, or earnings, must also be considered.
5. Expenses of changing residence or place of business
Where acquisition compels a person interested to change residence or place of business, reasonable expenses incidental to that change are a relevant component.
6. Bona fide diminution of profits
The Collector must consider bona fide damage resulting from diminution of profits from the land between publication of the declaration under Section 19 and the date on which possession is taken.
7. Equity, justice and benefit of affected families
The provision also permits consideration of any other ground that may be in the interest of equity and justice and beneficial to affected families.
Section 26 market value and Section 28 compensation
Section 26 provides the statutory framework for determining market value. Section 28 then identifies additional parameters that must be taken into account when determining the award. These provisions form part of the broader compensation framework under the 2013 Act.
Meaning of person interested
For the purposes of the Act, the expression "person interested" is defined in Section 3. The definition covers persons claiming an interest in compensation payable on account of acquisition and specified categories of persons having interests or rights affected by the acquisition. Whether a particular person falls within the statutory definition depends on the nature of the person's interest and the applicable facts.
Section 19 declaration
The sixth factor in Section 28 refers to the declaration under Section 19. Section 19 concerns publication of the declaration and summary of Rehabilitation and Resettlement after the statutory acquisition process reaches that stage. For Section 28, the period relevant to diminution of profits runs from publication of the Section 19 declaration until the Collector takes possession.
Relationship with Sections 27, 29 and 30
Section 27 requires calculation of the total compensation after market value has been determined. Section 29 deals with valuation of things attached to land or buildings, while Section 30 provides for solatium and the additional amount specified by that provision. Reading these sections together gives the broader statutory framework for determining compensation.
Key point
Section 28 requires the Collector to consider both the statutory land-value component and acquisition-related losses. The assessment may therefore include market value, applicable Schedule benefits, damage to crops and trees, severance loss, injury to other property or earnings, relocation expenses, loss of profits and other grounds serving equity, justice and affected families.
The Central Act should be read with applicable State rules, notifications, amendments and acquisition-specific orders where relevant.