Gas Pipeline Project of Gail in Tamil Nadu

A clarification was sent to Tamil Nadu Farmers Livelihood Protection Group that only Right of Use in land is being acquired for laying of pipeline and after completion of the process of laying of pipeline, the land will be returned to the land owner for agricultural activities

The Minister of State (I/C) for Petroleum & Natural Gas Dharmendra Pradhan informed the Rajya Sabha in a written reply that a representation was received from the Tamil Nadu Farmers Livelihood Protection Group in the year 2012 opposing the acquisition of land for laying of gas pipeline by GAIL (India) Limited in the State of Tamil Nadu. A clarification was sent to them that only Right of Use in land is being acquired for laying of pipeline and after completion of the process of laying of pipeline, the land will be returned to the land owner for agricultural activities. Further, it was also clarified that the laying of cross country pipeline along the highway is not technically feasible for the reason of security, maintenance of pipeline and disruption of Highways. Later, GAIL (India) Limited was instructed by the Government of Tamil Nadu vide communication dated 2.4.2013, for laying pipeline alongside the National Highways without affecting the agricultural lands of the farmers of Tamil Nadu. GAIL had challenged the above order of Government of Tamil Nadu (GOTN) in the Hon’ble Madras High Court which quashed the order of GOTN vide its judgment dated 25.11.2013. The above order of the Madras High Court was challenged by the Government of Tamil Nadu in the Hon’ble Supreme Court and the same was dismissed vide judgment dated 2.2.2016. The Hon’ble Supreme Court ordered the State Government of Tamil Nadu to fix market value of land as on 1.1.2016 for the Right of Use (RoU) compensation purpose.

The ownership of the land remains with the land owner and RoU of land is acquired for laying of gas pipeline and after laying the pipeline, the land is restored back in original condition to the land owner. Compensation is paid to the land owner as per Petroleum & Minerals Pipelines Act and the Hon’ble Supreme Court have ordered that the RoU compensation against land will be 10% of market value as on 1.1.2016 + 30% Solatium. Farmers can continue agricultural activities after the restoration of land and only construction of permanent structure, plantation of deep rooted trees are not allowed in the acquired RoU and as such there will be no adverse effect to the interest of the farmers.