Chandigarh, July 20: The Punjab government recently approved a new Land Pooling Policy that aims to reshape how urban development is carried out across the state. While land pooling is a technical term, the concept is fairly simple. At its core, this policy tries to ensure planned, fair, and voluntary urban growth, while offering landowners a stake in the process. Here’s a simplified breakdown of what it means and why it matters.
What is land pooling?
Land pooling is a voluntary scheme where farmers or landowners contribute their land for urban development projects and, in return, receive a portion of the developed land instead of monetary compensation.
This developed land comes with roads, electricity, sewerage, and other facilities—making it much more valuable than the original farmland. Instead of being paid outright, landowners become partners in the development process.
What does a landowner get under the new Punjab policy?
Under the policy approved by Chief Minister Bhagwant Mann’s Cabinet:
- For every acre (roughly 4,840 sq yards) a landowner contributes:
- They will receive a 1,000 sq yard residential plot
- And a 200 sq yard commercial plot
- For those who contribute nine acres or more, one-third of their original land—i.e., three acres—will be returned as developed land, which they can use for building group housing societies.
- Until the land is returned, the government will pay ₹30,000 per acre annually for up to three years as interim support.
Where will it be implemented first?
The policy will first be rolled out in 27 cities, including parts of Ludhiana and Mohali, where the state plans to develop new townships and complete pending urban projects.
A major push is happening in Mohali, where over 6,285 acres are being acquired under this scheme to build nine new sectors and complete five partially developed ones.How will it work?
- Voluntary Participation: Farmers and landowners won’t be forced. They can choose to:
- Keep their land
- Develop it themselves
- Partner with a private developer
- Or hand it over to a government agency
- Developer’s Role: Whether private or public, the developer must build all infrastructure—roads, drainage, electricity, etc.
- Return of Land: After development, land is returned to the original owners in proportion to their share, now upgraded with facilities.
Finance Minister Harpal Singh Cheema said the policy represents a shift from old models of forced land acquisition to one that respects landowners’ rights. He even claimed that farmers opting in may see up to 400% return on their land.
Special Features in Mohali’s Implementation
Different types of land contributions will yield different benefits:
- In residential areas, 1 acre = 1,000 sq yd residential + 200 sq yd commercial plot
- In industrial sectors, 1 acre = 1,600 sq yd industrial plot
- In mixed-use/commercial zones, 1 acre = 2 SCO (shop-cum-office) plots of 300 sq yd + 1 more of 200 sq yd
- Integrated parks offer a combination of residential + commercial + industrial plots
Also, landowners will receive a “Sahuliyat Certificate”, valid for two years, which gives them stamp duty exemption and other perks if they reinvest in agriculture.
Bottom Line
The Punjab Land Pooling Policy is a bold attempt to involve farmers in urban growth by giving them a stake in the land’s future value. If executed transparently and fairly, it could:
- Curb illegal colonies
- Expand infrastructure
- Bring new housing and industry
- Benefit landowners and the economy alike
But without trust-building measures, timely delivery, and fair practices, the policy risks facing the same backlash that earlier land acquisition schemes did. As things stand, its success will depend on how willingly and confidently farmers come on board.
