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ULCRA repeal through ordinance to free 200,000 hectares for construction

The Union Cabinet on Tuesday decided to bring forth an ordinance to repeal the Urban Land (Ceiling and Regulation) Act 1976 to facilitate development and disposal of excess vacant land for various purposes, particularly housing. The move is expected to free 200,000 hectares of land across the country for construction purposes.

Consequently, this will mean obtaining permission for withdrawal of the bill pending in the Lok Sabha and for introducing a modified bill for ratification of the ordinance by Parliament. The Cabinet therefore decided to seek permission for this purpose.

An official spokesman said several benefits would accrue with the amendment of the Act. The state governments will have the liberty to enact their own legislation according to the requirements.

The spokesperson said there would be speedy growth in sectors such as housing industry, transport and other infrastructure due to the free availability of land.

This will also attract investment for housing and other related sectors such as cement and steel. The increased housing activity will consequently boost employment in the country.

The move will help in land assembly and development and disposal of excess vacant land.

On Monday in Hyderabad, Union minister of state for urban affairs and employment, Bandaru Dattatreya, announced the Centre's plan to fulfil the BJP-led government's objective of providing two million houses per year today.

He said the parliamentary standing committee which reviewed the Act, had unanimously approved the repeal with two amendments.

The amendments were to Section 10 (3) and 10 (5) which related to lands that were deemed to vest in the state government and lands taken possession of by the state government.

The ordinance would be passed after obtaining clearance from the law department and the Cabinet, he added.

Since land was a state subject, the repeal would come into effect only if the respective state assemblies passed their own legislation in this regard, the minister clarified.

Dattatreya said eight per cent of the estimated surplus land of 210,000 acres, which had already been taken over by the various state governments, would not be affected by the repeal of the Act.

The housing target for this year was 700,000 in urban areas as against 1.3 million in rural areas, he added.

He criticised the opposition for preventing a discussion on the issue in the Lok Sabha, though it was in the approved list of business for discussion.

He further said that agriculture land ceiling was different and agricultural land reforms must be implemented. There can be no compromise on this.

UNI

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