2 Answers
Dear Client, as per your query, the NHAI’s stand that it will not pay any commercial compensation for the petrol pump site, as there is no formal Section 143 declaration, is open to challenge. It has been held that actual use and potential value are given greater importance than mere technical categories. The judicial precedents, including Supreme Court decisions, indicate that the existence of commercial activity and long-term operational permits are sufficient grounds for awarding higher compensation without necessarily requiring formal conversion. In this regard, the course of action would be to make a formal objection to the Competent Authority for Land Acquisition (CALA) and, if necessary, initiate arbitration under Section 3G(5) of the National Highways Act. I hope this answer is helpful. In case of further queries, please do not hesitate to contact us.
Thank You.
Dear client
If your petrol station is in operation for over twenty years and you (also) have 800 (square) metres of land acquired under a road project, you will receive a compensation amount; this amount would be determined by the fact of use of the land rather than the record, as noted in the legal franchise documents or other revenue documents.
Under Section 143 of Uttar Pradesh's Zamindari Abolition and Land Reforms Act, 1950, you are required to convert agricultural land for non-agricultural/commercial use. If your property did not receive a Section 143 conversion letter, it most likely will still be identified as “Agricultural” in your records, therefore, NHAI has denied commercial compensation.
However, if you possess valid licenses from petroleum authorities, a no-objection certificate (N.O.C.) from the District Administration, a commercial electrical connection, a goods and services tax (GST) registration, and evidence showing that your petrol station has been legally operating over many years, you may have a valid basis to support the position that (your property should be considered as having) a commercial character.
The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2030 establishes the criteria for determining compensation amounts. Objections to the determination made by the Competent Authority may be filed for determination, and/or if an objection is filed, a reference may seek that the determination made by the District Judge was not appropriate;
It is recommended that you (1) Immediately obtain the services of a local attorney with expertise in land acquisition, (2) Confirm if a “Post-Facto” Declaration pursuant to Section 143 is available.
If you have any Query please feel free to contact us