The cost of land acquisition for highway projects in the country has gone up 70 per cent in the last three years, even as new compensation mechanism under the land acquisition law is not applicable. The new law became applicable from January 1 this year, and will have its effect on the land acquired for highways during the current financial year.
Speaking to Business Standard, a senior official in the National Highways Authority of India (NHAI) said, “This is beyond doubt that the cost of land has grown dramatically in the last three years, mainly on account of increase in circle rates, sale deeds, increase in realty prices etc. In the last three years, the cost of compensation has gone up by 73 per cent. Further, with the new land acquisition law in place from this January, the cost of land will further go up. The effect of the new law in awarding compensation will be reflected in the land acquired in 2015-16.”-from BS