LAND ACQUISITION (AMENDMENT) BILL

Order for Second Reading read.

The Minister for Law (Prof. S. Jayakumar): Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

Sir, this Bill seeks to amend the Act to update the compensation for land acquired under the Act. Compensation for land gazetted for acquisition on or after 27th September 1995 will be assessed at the market value as at 1st January 1995 or the date of the gazette notification, whichever is lower.

Sir, under the Land Acquisition Act, compensation for land acquired on or after 18th January 1993 was assessed at 1st January 1992 value, or the market value on the date of the gazette notification of acquisition, whichever was lower. Prior to the last amendment in 1993, compensation for land acquired before 30th November 1987 was assessed at 30th November 1973 value and land acquired on or after 30th November 1987 was assessed at 1st January 1986 value, or the market value at the date of the gazette notification, whichever was lower.

This amendment, like the 1993 amendment, is to improve the compensation award for lands which are acquired in the future. It recognises that land values have appreciated considerably since the last amendment in 1993.

Sir, the amendment is consistent with the Government's policy to review periodically the compensation for land acquired for public purposes, as has been done before. In keeping with its policy of paying fair compensation, Government has also announced recently that owner-occupiers of acquired residential properties who have no other residential property will be eligible for increased ex-gratia payment. For cases affected by this amendment, the total compensation, that is, statutory compensation plus ex-gratia payment has been raised from $600,000 to $1.8 million or the market value of the property, whichever is lower.

Sir, I beg to move.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole House.

The House immediately resolved itself into a Committee on the Bill. - [Prof. S. Jayakumar].

Bill considered in Committee; reported without amendment; read a Third time and passed.