Govt to let SEZ promoters keep 30% of their “illegally allotted” land
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24/07/2014
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Herald (Panjim)
State has enough land says CM; specifies that 70% land of SEZ promoters, another 35 lakh square meters plus one crore square meters of private land available; promoters have invested money so we should give some relief, says Parrikar.
PANJIM: Chief Minister Parrikar today announced what for long was known. 30 % of the land which was “illegally” allotted to developers for industrial plots in the then proposed Special Economic zone, will be still reserved for promoters, in a bid to get them to withdraw their litigation in the Supreme Court and surrender 70% of the land. The chief minister has therefore decided to cut his losses and get back close to three quarters of the locked land, rather than allow litigation in the Supreme Court to drag on, with little hope of de-freezing the land.
However this may fly in the face of a clear High Court order which over ruled any negotiation by the government with promoters since the SEZ notification itself is null and void. The only window of opportunity that the promoters and the government have is that the ruling has been challenged in the Supreme Court, though no order over turning the High Court order has been passed.
Chief Minister Manohar Parrikar announced on the floor of the assembly that the government was in talks with the promoters in a bid to unlock the 35 lakh square metres of land currently in litigation.
“Government is currently in talks with the SEZ promoters for mutual understanding. If they agree, 30 percent of land would be reserved for promoters, provided they carry out projects as per government demand and requirement. These promoters have invested money and they are waiting, so we will provide some relief,” Parrikar said while replying to the discussion on budget, wherein the government was criticized by the opposition claiming that government does not have land to promote Rs 25,000 crore investment.
“Who said we don’t have land. Government will use 70 percent of the SEZ land for industrial purpose. Also the state has another 35 to 40 lakh square metres government land available which would be used,” he said. There is another over one crore square mtrs of private land, whose owners have shown interest to make it available for industrial development and tourism promotion, the chief minister said.
The chief minister also said that he would explore the possibility of getting power from the Kaiga nuclear plant at Karwar, considering the fact that the state is facing power shortage due to delay in the commencement of coal block at Chhattisgarh.
“Anything that is in the interest of the state I will do. I will explore the possibility of getting power from the Kaiga nuclear power plant,” Parrikar told the state legislative assembly while replying to the demand raised by Leader of Opposition Pratapsingh Rane.
Rane had suggested that rather than waiting for the coal block to commence, the government can look at alternatives like purchasing power from the Kaiga power plant.
Parrikar said that he is personally monitoring the developments on coal project at Chhattisgarh, which will generate 450 MW of power for the state. He said that once the Chhattisgarh ministry signs the mining leases, the power purchase agreement (PPA) would be signed within a fortnight with the power manufacturing company.
The chief minister admitted that the power situation in the state is bad as it was facing shortages and that in the month of May the power shortage was over 320 MW, and the government had to make emergency arrangements from other sources and purchase power at very high price.
Government had paid power bills of Rs 87 crore in May, Rs 95 crore in June and Rs 103 crore in July, he said. But he promised that within the next six months the power situation in the state would be improved.
Meanwhile , the government has identified over 4.85 lakh square mtrs of land at Bambolim for setting up an All India Institute of Medical Science (AIIMS) and Indian Institute of Technology (IIT), Parrikar informed the assembly.
The Union Budget has proposed setting up of IIT and AIIMS in Goa.
If the allotments were declared illegal and notifications void, can the SEZ promoters keep 30% of land
Nov 26 2010
High Court order on the legality of plot allotments to SEZs - Justice F. M Reis
“Such huge lands which are public properties were allotted for the asking to companies in a manner not known to law. The allotment of lands is illegal being arbitrary and unreasonable”
- Extract from HC judgement of November 26, 2010
HC said: Notifications of SEZs cannot be acted upon since land allotments were cancelled
"The stand of the central government is that the Goa government should negotiate with the developers. It also said that the notifications have been issued on the basis of allotment of lands by GIDC. As the allotments are held to be illegal, notifications cannot be acted upon now"
- Extract from HC judgment of November 26, 2010.