New Framework for Transfer of Central Government Land
The Centre has introduced a nationwide framework aimed at standardizing the transfer of central government land to reduce disputes and enhance asset monetisation.
Key Features of the Framework
- Valuation Guidelines:
- Separate valuation for buildings and land.
- Public use transfers priced at guideline rates; commercial at market rates.
- Prevents undervaluation and increases transparency.
- Approval Process:
- Cabinet approval required for transfers to private entities and states.
- Role of National Land Management Committee (NLMC):
- Conducts primary valuation of land and structures.
- May charge a fee for its services.
- Inter-Ministry Coordination:
- Expenditure secretary to consult on competing demands for land between ministries.
Framework Implementation and Impacts
- The framework is part of the National Monetisation Pipeline 2.0, targeting ₹16.72 lakh crore from asset sales between FY2026 and FY2030.
- Updated General Finance Rules 2017 to align with the new framework.
- Defined nominal values for sale and lease transactions, distinguishing public-purpose from commercial transfers.
- Excludes cases where allotment orders were issued before March 31, 2026.
Additional Guidelines
Separate guidelines have been issued to consolidate existing instructions, define procedures, valuation methods, and identify competent authorities for resolving land transfer disputes.
