Cabinet clears new land purchase policy to empower landowners

In a major decision aimed at protecting landowners from distress sales and ensuring smoother land acquisition for public projects, the Haryana Cabinet has approved the Voluntary Land Purchase Policy for Development Projects, 2025.

Key features

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- Landowners can sell part or full share voluntarily

- Minimum 5 karam road access required

- No ‘shamlat deh’ or common lands permitted

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- Rights of minors, special categories protected via court authorisation

- 1% facilitation charges for aggregators (in two stages)

- Performance incentive of ₹1,000-₹3,000/acre for aggregators based on land rate offered

- Applies to state, Central government departments/entities

Chaired by Chief Minister Nayab Singh Saini, the Cabinet gave its nod to the new policy, which supersedes the earlier 2017 land purchase policy and incorporates several progressive reforms, including incentives for aggregators and online empanelment processes.

“The policy provides a voluntary and participatory platform to landowners, enabling them to avoid distress sale and to actively contribute in decision-making for location of development projects,” said a government spokesperson.

The revised policy applies to government departments, boards, corporations and government companies, including entities of the Government of India that seek land for infrastructure or development purposes in Haryana.

Key changes introduced

Under Part A of the policy, landowners can now choose to sell their share in part or full, a provision absent in the earlier framework. Additionally, to ensure smooth access, each land parcel offered must have an access road of at least 5 karam.

Land offered must have clear ownership titles and cannot be 'shamlat deh' or 'mushtarka malkaan' at any time. Rights of minors, mentally challenged persons and other legally protected categories will be safeguarded through court authorisation. The Deputy Commissioner will be responsible for verifying the reasonableness of offered rates.

Aggregator incentives introduced

Recognising the efforts of land aggregators, the policy offers facilitation charges at 1% of the total transaction cost — 0.5% on registration and 0.5% post-mutation and possession handover.

A performance-based incentive ranging from Rs 1,000 to Rs 3,000 per acre will also be paid to aggregators based on how close the offered land rate is to the collector rate: Rs 3,000/acre if land is offered at collector rate, Rs 2,000/acre if land is offered at up to 20% above collector rate and Rs 1,000/acre if land is offered at still higher rates.

“The revised policy aims to make the land acquisition process more holistic, transparent, and fair for all stakeholders,” the spokesperson added.