Plan to revise agricultural land circle rate in Delhi: L-G returns file

Circle rates are government-determined rates, based on which property is valued.

September 8, 2023: Delhi lieutenant-governor VK Saxena has returned a proposal under which the Union Territory government proposes to hike circle rate for agricultural land in Delhi, media reported. The L-G has sent the file with some queries; the Delhi government will soon resend the file with clarifications, Chief Minister Arvind Kejriwal told media on September 5.

In July, the Delhi CM approved the proposal to increase the circle rate of agricultural land after 15 years of gap. So far, a standard circle rate of Rs 53 lakh per acre is set for the sale of agricultural land in the national capital.

In August, revenue minister Atishi said that the circle rate of agricultural land in Delhi had remained stagnant at Rs 53 lakh per acre since 2008. “This lack of revision deprived farmers of fair compensation for their lands. Moreover, these agricultural lands are frequently acquired in Delhi for crucial infrastructure projects such as roads, bridges, universities, or hospitals. Yet, when farmers sold their lands for these projects, they received compensation based on the outdated circle rate, resulting in inadequate compensation,” she said.

“Consequently, both farmers and the government have suffered losses. In cases where farmers do not receive equitable rates for their lands through government projects, the situation often escalates into legal disputes, leading to protracted court battles that can span years. This, in turn, causes delays in the implementation of various government infrastructure projects,” she added.

If the proposal by the UT government is approved, circle rates would be different per acre across neighbourhoods. Under the proposal, circle rates of agricultural land will jump to Rs 5 crore per acre in South and New Delhi districts. It will hit Rs 3 crore in North, West, Southwest and Northwest Delhi.  Similalry, circle rates will be Rs 2.5 crore per acre for Central and Southeast districts and Rs 2.25 crore for Shahdara, Northeast and East.

Land is a state subject in India. District administrations are responsible for fixing a standard rate for land and other properties across the cities, below which a transaction cannot be registered. As cities are vast and the value of one area may be quite different from the value of another, the circle rates vary from locality to locality.

One acre is equal to 43,560 square foot, 4,047 square metre and 4,840 square yard.

 

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