Archive

Posts Tagged ‘process’

Land acquisition process can take 50 months

September 6th, 2013 3 comments

The new Land Acquisition Bill has detailed a process for acquiring land.  The process could take up to 50 months.  This will increase the gestation period of projects.  The new time line and the attendant uncertainty at each step will have to be factored in by promoters of projects while computing the costs and feasibility.

The details of the process are given in the Table below.  Some of the processes can be conducted concurrently with others. The processes which need to be done sequentially are shown in bold.  These add up to 50 months (not counting extensions).

Time limits for various steps for Land Acquisition under the new Act

Process Section Time limit
Social Impact Assessment 4(1) last proviso 6 months
Appraisal of SIA by review committee 7(4) and 7(5) 2 months
Examination of land acquisition proposal and SIA by appropriate government 8 No time limit specified
SIA expert group appraisal to Preliminary notification 14 12 months but extendable by appropriate government
Preliminary notification to updating of land records 11(5) 2 months
Preliminary notification to objections 16(1) 60 days
Preliminary notification to R&R survey 17(1) Time limit to be prescribed in Rules
Preliminary notification under section 11 to Declaration under section 20 15 and 20(7) (inconsistency) 12 months (S15)12 months but extendable by appropriate government; also court stay period excluded (S20(7))
Time for compensation claims to be made 22(2) 30 days to 6 months
Declaration to Award 26 12 months but extendable by appropriate government
Correction of Award by Collector 34(1) 6 months
Award to Possession of land by collector  39(1) After ensuring compensation is paid (3 months) and monetary component of R&R paid (6 months).
Time for infrastructure entitlements under R&R 39(1) proviso 18 months after award

Source: PRS

Total Time Limit (assuming no extensions): SIA (6 months) + Expert group appraisal (2 months) + Preliminary notification (12 months) + Declaration (12 months) + Award (12 months) + Possession (6 months) = 50 months.

 

The Budget: What happens next and some stats on what happened before

March 14th, 2013 3 comments

Authored by Vishnu Padmanabhan and Priya Soman

The Budget speech may have already been scrutinised and the numbers analysed but the Budget process is far from complete.  The Constitution requires expenditure from the government’s Consolidated Fund of India to be approved by the Lok Sabha (the Rajya Sabha does not vote, but can suggest changes). After the Finance Minister presents the Union Budget, Parliament holds a general discussion followed by a detailed discussion and vote on Demands for Grants. In the general discussion, the House discusses the Budget as a whole but no motions can be moved and no voting takes place.  In the 15th Lok Sabha, the average time spent during the Budget Session on general discussion has been 13 hours 20 minutes so far.

Following the general discussion, Parliament breaks for recess while Demands for Grants – the projected expenditure by different ministries – are examined by the relevant Standing Committees of Parliament. This year Parliament is scheduled to break for a month from March 22nd to April 22nd. After the break, the Standing Committees table their reports; the grants are discussed in detail and voted on.  Last year, the total time spent on the Union Budget, on both general and detailed discussion was around 32 hours (or 18% of total time in the session), largely in line with the average time spent over the last 10 years (33 hours, 20% of total time). A unique feature of Indian democracy is the separate presentation and discussion for the Railway Budget.  Including the Railway Budget the overall time spent on budget discussion last year was around 55 hours (30% of total time in the session).

Note: All data from Budget sessions; data from 2004 and 2009 include interim budget sessions. Source: Lok Sabha Resume of Work, PRS

During the detailed discussion, MPs can call for ‘cut motions’ to reduce the amounts of demands for grants made by a Ministry. This motion can be tabled in three ways: (i) ‘the amount of the demand be reduced to Re.1/’ signifying disapproval of the policies of that ministry; (ii)  ‘the amount of the demand be reduced by a specified amount’, an economy cut signifying a disapproval of the amount spent by the ministry  and (iii) ‘the amount of the demand be reduced by Rs.100/-‘, a token cut airing a specific grievance within the policy of the government. However in practice almost all demands for grants are clubbed and voted together (a process called guillotining).

In 2012, 92% of demands for grants were guillotined. The grants for Ministries of Commerce and Industry, Health and Family Welfare, Home Affairs and Urban Development were the only grants taken up for discussion. Over the last 10 years, 85% of demands for grants have been voted for without discussion. The most frequently discussed demand for grants come from the Ministry of Home Affairs (discussed in 6 of the last 10 sessions) and the Ministry of Rural Development (5 times).  Demand for grants for Defence, the largest spending Ministry, has only been voted after discussion once in the last 10 years.

Source: Lok Sabha Resume of Work, Union Budget documents, PRS

If the government needs to spend any additional money, it can introduce Supplementary Demands for Grants during the year.  However if after the financial year government spending on a service exceeds the amount granted, then an Excess Demand for Grant has to be introduced and passed in the following year.  The Budget process concludes with the introduction and passage of the Appropriation Bill authorising the government to spend money from the Consolidated Fund of India. In addition, a Finance Bill, containing the taxation proposals of the government is considered and passed by the Lok Sabha after the Demands for Grants have been voted upon.