Karnataka Modifies TDR Scheme to Boost Public Projects

Bengaluru: The Karnataka government has introduced significant modifications to its Transferable Development Rights (TDR)scheme, aiming to facilitate land acquisition for public infrastructure projects. These changes, outlined in a September 9 order by the Urban Development Department (UDD), are designed to resolve long-standing issues with road widening projects, especially within the Bruhat Bengaluru Mahanagara Palike (BBMP) limits, where landowners were previously reluctant to give up their property due to unsatisfactory compensation.

Key Changes in Valuation
One of the most notable changes is in the valuation of agricultural land. Under the revised guidelines, agricultural land within BBMP limits can now be valued at the same rate as converted residential land, provided the owner is willing to pay the required development charges. This valuation aligns the compensation for agricultural land more closely with the market rate for residential properties, addressing a key concern for landowners.

Similarly, land that has been converted for non-agricultural, industrial, or commercial use will also be compensated based on its guidance value. This shift is intended to make the TDR scheme more attractive to landowners, encouraging them to part with their property for public projects like road widening.

Resolving Delays in Road Widening Projects
Over the years, several road-widening projects in Bengaluru, particularly in areas like Mahadevapura, have been stalled due to disagreements over compensation. A senior BBMP official pointed out that around 1,000 files related to land acquisition for public projects had remained pending due to landowners’ refusal to accept TDR compensation that was lower than market rates.

The official explained, “Just because the owner has not converted his land for non-agricultural purposes does not bring down its value. A lot of projects were held up as they were not willing to receive lesser compensation as compared to his or her neighbor. Hence, we could not widen many roads in the last 10 years.”

In Mahadevapura alone, the BBMP had planned to widen approximately 30 roads, as laid out in the comprehensive development plan (CDP). However, the significant gap between the TDR compensation and the actual market value of the land caused delays, as landowners were unwilling to part with their property.

Simplifying the Process for Landowners
Apart from improved compensation, the revised policy also simplifies the process of land conversion for property owners. Under the new guidelines, the BBMP will now share the responsibility of converting the land that has been notified for acquisition. The property owner no longer needs to navigate complex administrative procedures to convert agricultural land to non-agricultural use, as long as they pay the necessary development charges to the civic body.

This streamlining is expected to significantly reduce bureaucratic hurdles and speed up the acquisition process, helping public projects progress more efficiently.

Conclusion
Karnataka’s revamped TDR scheme represents a step forward in tackling land acquisition challenges that have plagued public infrastructure projects in Bengaluru for years. By offering better compensation and simplifying the land conversion process, the state hopes to accelerate the completion of vital projects such as road widening, which have been delayed due to disputes over land valuation. The new scheme is likely to encourage more landowners to participate, helping the city keep pace with its growing infrastructure needs.