NEW DELHI: Addressing concerns of landowners that their properties were valued at circle rates—significantly lower than prevailing market prices—while calculating compensation for the right of way (RoW) required for laying transmission lines, the Union ministry of power has approved the engagement of land valuers to arrive at an agreeable amount.According to officials, the power ministry has amended its March 2025 guidelines, which had proposed the formation of a Market Rate Committee (MRC) in states lacking a mechanism to determine land values for interstate transmission projects. Under the revised norms, the MRC will engage three land valuers—one each nominated by the affected landowners, the transmission service provider and the district magistrate—who must submit their reports within 21 days.Of the three, two reports will be selected through a lottery system for evaluation and for determining the reference market rate. Officials said that if the difference between the two selected valuations is less than 20% of the lower value, their average will be taken as the benchmark. If the difference exceeds 20%, the reference rate may be fixed at 10% above the lower valuation.If either the landowners or the transmission service provider rejects the proposed amount, the third valuation will be considered, and the reference rate will be set as the average of the two lowest estimates.“The MRC will determine the final compensation based on the reference market rate arrived at after the valuation. The cost of the professional fee paid to the valuers will be included in the RoW compensation,” an official said.
