MINISTER OF THE STATE IN THE MINISTRY OF COAL
(DR. DASARI NAItAYANA RAO)
(a) & (b): No Sir. Coal India Ltd. has a well defined Resettlement and Rehabilitation Policy (R & R Policy) where,
among other things, there is provision of employment in exceptional circumstemces only to fill up vacancies subject
to suitability of land oustees. Under the Rehabilitation Policy of concerned state governments either employment or
cash compensation in lieu of employment is given as per following criteria:
(i) Rs. 1 lakh on.iy for first acres of land on prorata basis subject to minimum of Rs. 25,000 only.
(ii) Rs.75,000 only on prorata basis for second and third acre of land,
(iii) Rs. 50,000 only on prorata basis for iand beyond three acres.
The compensation for the Land acquired under Coal Bearing Areas ( Acquisition & Development) Act, 1957 is given as
per following criteria:
(i) Market value on the date of notification under section 4 (1) of the Act;
(ii) Solatium in addition to market value of land @ 30%,
(iii) An escalation @ 12% per annum of the market value of the land for the period commencing on the date of
notification under section 4(1) till date of notification under section 9 (1) of the Act or a maximum period of
3 years, whichever is earlier.
(iv) Interest @ 9% per annum for the first year after the date of notification under section 9(1) and @ 15% per
annum thereafter on the amount of compensation including solatium till the payment is made. In case where compensation
is determined on the basis of negotiation, as per provision of section 14(1) of CBA Act, 1957, allowing 30% solatium
over and above the fair market price, no payment towards escalation or interest is paid as the price being paid is not
the market price on the date of notification under section 4(1) but the market price on the date of negotiation.
Compensation for land acquired under Land Acquisition Act, 1894 is assessed by Land Acquisition Department of the
State Govt. in accordance with the provisions of Land Acquisition Act, 1894
(c): Yes, Sir. Coal India Ltd. has reported that they are now following the policy strictly.
(d): Information is being collected..