Fund-starved Karnataka government has set its eyes on encroached parcels of land to replenish its cash reserves. Till date, the government has cleared encroachments and reclaimed land to the extent of 2.7 lakh acres. Eviction process is on for another 1.3 lakh acres of land.
The Govt of Karnataka eyes on encroached land to make it into cash reserves. As of date the Karnataka govt. has cleared encroachments and reclaimed 2.7 lakh acre land. The eviction process is on for 1.3 lakh acre of land.
Since there has been legislative pressure to provide more momentum to the process, the government is working on a policy to mop up non-tax revenue through asset monetisation. The government is working on a policies to make up a non tax revenue to Monetary assets.
“Discussions are on to formulate guidelines for the implementation of the new asset monetisation plan. A policy is expected to be announced shortly,” said Naveen Raj Singh, regional commissioner (Bengaluru division) and director of Karnataka Public Lands Corporation Limited (KPLC).
Discussion and guideline formulation is on the new monetary assets.
In Bengaluru Urban district alone, 16,149 acres of land is readily available for monetisation. AT Ramaswamy, senior JD(S) legislator who headed a joint legislature committee on land encroachment in 2006, said in the legislative assembly last week that an acre of land in Bengaluru sells for roughly Rs 30 crore.
The Bengaluru urban district has got 16,149 acres of land that can be converted to asset monetisation.
Senior Joint director A T Ramaswamy informed the legislative assembly and also headed the joint legislature committee on land encroachment in 2006 . He also added that an acre of land in Bengaluru sells roughly to Rs.30 crore.
At a going rate of Rs 30 crore per acre, land in Bengaluru alone is worth Rs 4.8 lakh crore, almost twice the budget outlay of Rs 2.4 lakh crore, announced for fiscal 2021-22. “If it is seriously pursued, asset monetisation may fetch revenue double the size of the state budget. The government need not borrow so extensively if it is focused on selling reclaimed land,” Ramaswamy said.
The current going rate of Rs.30 cr.per acre land in Bengaluru is worth of Rs.4.8 lakh crore. It is almost twice the budget outlay of Rs.2.4 lakh crore which will be announced in the fiscal year 2021-22. It is properly achieved ,asset monetisation can fetch the revenue double size. Henceforth the government of Karnataka need not borrow extensively said by Ramaswamy.
Land encroachment, especially in Bengaluru Urban district, has been the subject of serious debate in the ongoing budget session and the government has come under severe attack for its failure to evict squatters. Revenue minister R Ashoka even admitted in the Assembly that “his hands are tied from cracking down on land grabbers in the state”.
In Bengaluru urban district land encroachment is a serious question.The government has come under severe attack for its failure . His hands are tied from cracking down on land grabbers in the state spoken In the assembly by Revenue minister R Ashoka .
The government bid to sell the available parcels of land has been painfully slow. It could sell just 7 acres of land in and around Bengaluru through auctioning in phase-1 in 2020. About 104 acres are set to go under the hammer soon. “The response so far has been tepid due to multiple reasons. The Covid-induced slowdown has impacted a lot. We hope the demand will pick up in the new financial year,” said Manjunath, deputy commissioner of Bengaluru Urban district.
In 2020 Karnataka Government will sell just 7 acres of land in and around Bengaluru through auctioning. About 104 acres will go in the new financial year said Manjunath deputy Commissioner of Bengaluru urban.
As a first step, the district administration would fence the land parcels, he said. It would be enlisted for auctioning, after fulfilling the land quota for housing agencies like Rajiv Gandhi Housing Corporation, and the BBMP to construct solid waste management plants.
To start the bidding government will fence the land parcels. After completing the land quota for housing agencies like Rajiv Gandhi Housing corporation Then BBMP to construct the solid waste management plants after that it Solid be enlisted for auctioning
Industrial and real estate representatives said the asset monetisation plan will be successful only when the land cost is reduced by slashing the guidance value. “From the industry’s perspective, the price of the auctioned land should be comparable with that of KIADB land, which is cheaper,” said TR Parasuraman, president of Bengaluru Chambers of Industries and Commerce.
He said industries prefer an undivided parcel of land of about 20 acres to 50 acres, but the reclaimed land is normally auctioned in “bits and pieces”, creating poor demand.
Addressing the overall issue TR Parasuraman, president of Bengaluru Chambers of Industries and Commerce said Industries prefer an undivided parcel of Land of about 20 to 50 acres .But here it is in bits and pieces of land which creates a poor demand.
