Himachal: Land lease period cut, notification issued

Pratibha Chauhan

Shimla, August 2

The state government has notified new lease rules that reduce the grant of government land for any development project to 40 years. The lease will, however, be extendable after the lapse of initial period.

New rules have been notified by making an amendment to Rule 7 of the Himachal Pradesh Lease Rules. As per the amendment, the lease period for the government land will now be reduced to 40 years, although that can be further extended by 5, 10, 15 or more years.

The amendment has been made by exercising powers under Section 13 of the HP Village Common Lands Vesting and Utilization Act, 1974, and Section 26 of the HP Ceiling on Land Holdings Act, 1972. However, no amendment has been proposed for making changes in the lease amount.

“The notification was issued on July 31 after considering and rejecting the objections and suggestions received in that regard,” said Onkar Chand Sharma, Principal Secretary (Revenue).

Although no specific reason has been given for this move, it is being felt that the government land is shrinking by giving out huge chunks on lease. The issue of leasing out government land had also been challenged in the court by an individual who had questioned the lease period of 99 years, while terming it a perpetual ownership.

He had also questioned the nominal lease rate in sharp contrast to the huge income being generated from activities being undertaken on such land. Questions were also raised on the legal heirs of the beneficiary inheriting the lease rights of the original lessee.