Special Correspondent

They will get 8,500 sq. ft of developed land for each acre acquired

Policy confined to land acquired for industrial areas

19 irrigation projects to be implemented

BANGALORE: In a bid to make farmers provide land for industrial purposes, the State Cabinet has made it mandatory for the Karnataka Industrial Areas Development Board (KIADB) to allot a portion of the developed land to those whose lands had been acquired.

With a large number of farmers opposing land acquisition by the Government for industrial projects even at the market rate, the Cabinet in its meeting on Monday approved a policy according to which farmers will be given 8,500 sq. ft of developed land for each acre of land acquired from them. No compensation in cash will be paid to farmers, Minister for Industries Katta Subramanya Naidu told presspersons after the meeting. Farmers would be given the freedom to sell or lease the land or use it for commercial or industrial purposes. Legislators, leaders of the Karnataka Rajya Raitha Sangha and farmers were demanding a share in the lands acquired and developed by the KIADB for industrial purposes, he said.

The new policy would be confined to land acquisition by the KIADB for setting up new industrial areas. It would not be applicable to Special Economic Zones, infrastructure projects and single unit industrial complexes, he said.

Roads, other amenities

Under the policy, 40 per cent of land acquired for industrial areas would have to be set apart for roads and providing other infrastructure. The remaining land could be used for industrial projects, the Minister explained.

However, he said the Government had no objection to the private sector offering a portion of developed land to farmers so that they could benefit from future appreciation in price of the land.

With regard to acquisition of more than 100 acres by private developers for construction of townships, Mr. Naidu said the developer would have to get the plan approval by the KIADB.

The KIADB would levy a 10 per cent service charge on the developers for obtaining environmental and other statutory clearances and paying the prescribed fees to departments concerned.

If the land acquired was less than 100 acres, the Deputy Commissioner of the district concerned would take a decision, Mr. Naidu said.

Township projects of more than 100 acres had to be approved either by the single-window agency of the Industries Department or the High-level Clearance Committee headed by the Chief Minister, he said.

The KIADB would act as the nodal agency for monitoring the implementation of the township projects to ensure that they confirmed to the norms.

The Karnataka Housing Board was following a similar model for implementing its housing projects, he said.

Irrigation projects

The Cabinet also decided to implement 19 irrigation projects under the Prime Minister’s special package in six districts.

Primary and Secondary Education Minister Basavaraj S. Horatti said the Cabinet had decided implement the irrigation projects in Belgaum, Chitradurga, Kodagu, Chikmagalur, Hassan and Shimoga districts.

The Centre announced a Rs. 2,689-crore package in 2006-07 for the six districts where a large number of farmers have committed suicide.


For effective implementation of the ban on the sale of arrack, the Karnataka Excise Act, 1965 would be amended to prevent the manufacture, transportation, possession and sale of arrack.

The amendment would be introduced in the ongoing session of the legislature, Mr. Horatti said.


A decision had been taken to dismiss from service seven employees of the Khanapur Police Training School on the charge of misappropriation of funds, the Minister told the House.

The Government would recover the money from their pension. One Assistant Executive Engineer of Krishna Bhagya Jala Nigam Ltd. had also been dismissed from service for unauthorised auction of motor vehicles worth Rs. 14 lakh, he said.