Dholera Special Investment Region is India’s first planned smart industrial city under the Delhi-Mumbai Industrial Corridor . Covering more than 920 sq. km., it is one of the largest greenfield projects in Asia. With such a massive scale, the question of land acquisition rules in Dholera becomes very important for investors, developers, and local farmers.
This article explains how land is managed in Dholera, what rules are followed, and why the government prefers Town Planning Schemes (TP Schemes) and land pooling over traditional compulsory land acquisition.
Old Land Acquisition Rules and Their Challenges
Earlier, most cities in India followed the Land Acquisition Act of 1894. This law gave the government power to acquire large areas of land for urban development.
But the Final Development Plan of Dholera points out several problems with compulsory land acquisition:
- Low compensation compared to real market value.
- No transparency in deciding compensation.
- No share in future land value gains for farmers.
- Poor rehabilitation, many land losers became daily-wage workers.
- Social disruption as people lost ancestral lands.
- Delays between acquisition and actual use of land.
Because of these issues, there is strong resistance from farmers whenever compulsory acquisition is proposed in Gujarat, including Dholera.
Dholera’s Land Management Mechanism
Instead of relying on forced acquisition, the Gujarat government and DSIR Development Authority have adopted a more people-friendly model.
1. Town Planning Schemes (TP Schemes).
- Farmers’ lands are pooled together into a large area.
- Roads, utilities, and infrastructure are planned.
- After planning, each farmer gets back a smaller but developed plot (called reconstituted plot).
- The farmer benefits because the land value increases many times after development.
This model is already successful in Ahmedabad and now forms the backbone of land acquisition policy in Dholera SIR.
2. Limited Compulsory Acquisition
In some cases, land may still be acquired for critical infrastructure projects such as expressways, power plants, or public utilities. But the plan clearly says this will be limited and only where TP Schemes cannot work.
Why Land Pooling is Better for Dholera
The shift from compulsory acquisition to land pooling and Town Planning Schemes offers many benefits:
- Farmers become partners in development.
- They retain ownership of land after reconstitution.
- Compensation is not just in money, but in the form of developed land with higher value.
- Reduces social conflict and farmer protests.
- Speeds up project implementation without long legal battles.
This is why investors today find Dholera a safer and more transparent place for buying industrial, residential, or commercial plots.
Investor Takeaways
If you are planning to invest in industrial plots in Dholera or residential land in Dholera Smart City, you should know:
- Most development will be done through Town Planning Schemes.
- Farmers will get developed land back, ensuring social acceptance.
- Limited compulsory acquisition may happen, but only for essential infrastructure.
- This makes Dholera’s land acquisition model more sustainable, transparent, and investor-friendly compared to older Indian cities.
Conclusion
The Land Acquisition Rules in Dholera represent a big shift in urban development policy. Instead of forcefully acquiring land, the government has chosen participatory land pooling through TP Schemes.
This ensures that farmers, investors, and the government all benefit together.
For anyone looking at long-term investment, this land management strategy makes Dholera one of the most secure and future-ready real estate destinations in India.
