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Wednesday, August 3, 2011

the canal affected persons cannot be put at par with the submergence affected persons, thus, it is not possible for the court to put the canal affected persons at par with the submergence affected persons.


                                                                   Reportable


             IN THE SUPREME COURT OF INDIA


              CIVIL APPELLATE JURISDICTION


                    Civil Appeal No.6229  of 2011

             (Arising out of SLP(C) No.34065 of 2009)




State of Madhya Pradesh & Anr.                                        


..Appellants





                                     Versus


Medha Patkar & Ors.                                                   ..Respondents





                              J U D G M E N T





Dr. B. S. CHAUHAN, J.




1.     Leave granted.




2.     This appeal has been preferred by the State of Madhya Pradesh


and instrumentality of the State against the judgment   and order dated


11.11.2009 in Writ Petition (C) No.6056 of 2009 of the High Court of


Madhya   Pradesh   at   Jabalpur,   whereby   the   High   Court   has   restrained


the State of Madhya Pradesh or any other statutory authority of further


acquisition   of   land   or   for   any   excavation   or   any   construction   of   the


canal   network   for   the   command   areas   of   the   Indira   Sagar   and


Omkareshwar   projects   till   the   Command   Area   Development   plans


(hereinafter called CAD Plans) submitted to the Government of India,


Ministry   of   Environment   and   Forest   (hereinafter   called   MoEF)   are


scrutinized by the committee of experts and clearance is granted by the


said   Ministry.     The   appellant-State   Government   has   further   been


directed  to provide rehabilitation and resettlement benefits   under the


Rehabilitation and Resettlement Policy (hereinafter called R&R Policy)


for Narmada Valley Projects to the canal affected persons/families of


Indira   Sagar   and   Omkareshwar   projects   and   the     Narmada   Control


Authority   (hereinafter   called   NCA)   has   been   directed   to   ensure


implementation of the aforesaid directions.




3.      The facts and circumstances giving rise to this appeal are:


A.      That after completing the procedure prescribed for establishment


of dams and irrigation projects, the project reports for Indira Sagar and


Omkareshwar projects were prepared and submitted for clearance.  The


environmental clearance for Indira Sagar project was granted by MoEF


on   24.6.1987   by   an   administrative   order.   The   Planning   Commission




                                                                                     2


also   approved   investment   to   be   made   in   Indira   Sagar   project   on


6.9.1989.




B.     The   R   &   R   Policy   of   1989   was   introduced   by   the   State   of


Madhya Pradesh for the oustees of submerged area in Narmada Valley


projects.  Land acquisition proceedings were initiated  in year 1991 for


canal construction under Indira Sagar project.  A comprehensive CAD


plans   for   Omkareshwar   project   were   sent   to   MoEF   for   clearance.


Environment   Impact   Assessment   and  Environment   Management   Plan


reports were also submitted for Omkareshwar project to MoEF which


also   contained   the   R   &   R   plan   for   the   affected   persons   of   the


Omkareshwar project.  It provided that the persons whose land was to


be acquired for establishment of canals were not to be included in R &


R plans.




C.     The   Ministry   of   Welfare,   Government   of   India   accorded


clearance   to   the   R   &   R   plan   of   Omkareshwar   project   on   8.10.1993.


Similarly,   by   an   administrative   order   environmental   clearance   for


Omkareshwar project was granted by MoEF on 13.10.1993.




D.     The   MoEF   issued   statutory   notification   under   Section   3(2)   of


Environment (Protection) Act, 1986 (hereinafter called the Act 1986)




                                                                                 3


read   with   Rule   5(3)   of   the   Environment   (Protection)   Rules   1986


requiring   environmental   clearance   for   development   of   project   on


27.1.1994.     The   canal   construction   in   Indira   Sagar   project   started   on


30.5.1999.     The   NVDD   vide   order   dated   14.8.2000   amended   the


definition   of   "Displaced   person"   adding   in   clause   1(a)   the   following


words:


            ".....or   is   required   for   the   project-related   canal

            construction   and   construction   of   the   Government

            Project Colony."




                      The   Planning   Commission   granted   approval   in   respect   of


Omkareshwar   project   on   15.5.2001.     The   R   &   R   policy   stood


materially   changed   vide   amendment   dated   1.9.2003   as   from   the


definition   of   "displaced   person"   the   words   "which   is   required   for


project   related   construction   of   canals   or   the   Government   project


colony" stood deleted.


                    The Amendment to the Rehabilitation Policy was made


by the Narmada Control Board (NCB) on the recommendation of the


NVDA on 2.7.2003 as per Business Rules of Narmada Control Board


Part   II   Special   Procedure   for   Emergency   Sanction   and   not   under   the


Government of Madhya Pradeh Business Rules.





                                                                                     4


E.      The dam construction of Indira Sagar project stood completed in


year   2005   and   the   High   Court,   in   a   pending   litigation,   permitted   the


State of Madhya Pradesh to raise water level of Indira Sagar Dam upto


260 meter against the full reservoir level of 262.13 meters vide order


dated 8.9.2006.  The High Court further clarified that NCA had no role


to play regarding the Indira Sagar project i.e. intra-State project as its


role was confined to inter-State Project, i.e. Sardar Sarovar Project.




F.      The Omkareshwar dam  stood completed in year 2007.  In order


to   set   up   canals,   land   acquisition   proceedings   were   initiated   in   year


2009   and   in   some   cases   after   conclusion   of   the   proceedings,


compensation   under   the   provisions   of   Land   Acquisition   Act,   1894


(hereinafter   called   the   Act   1894)   has   been   paid.   However,   in   some


cases acquisition proceedings are still in progress.




G.      The   respondents   preferred   Writ   Petition   (C)   No.6056   of   2009


before   the   High   Court   of   Madhya   Pradesh   at   Jabalpur   on   18.6.2009


challenging the acquisition of land for excavation of canals; execution,


excavation   and   construction   of   canal   on   various   grounds,  inter-alia;


the CAD Plans had not been submitted by the State and not approved


by the MoEF; there had been no compliance of Panchayats (Extension





                                                                                     5


of   Scheduled   Areas)   Act,   1996   (hereinafter   called   PESA   Act)   which


required   consultation   with   office   bearers   of   Panchayats   before


initiation   of   land   acquisition   proceedings;   the   canal   affected   persons


were  also   entitled   for   the   full   benefit   of  R   &   R   Policy   including   the


allotment   of   land   in   lieu   of   the   land   acquired   as   per   R   &   R   policy,


which had not been provided for.    




H.      The   State   of   M.P.,   appellant   herein   contested   the   case


contending that land acquisition proceedings could not be challenged at


a belated stage i.e. after dispossession of the tenure holders; authorities


had   submitted   the   CAD   Plans   and   acted   on   the   same   after   being


approved by the MoEF. Canal affected person could not be treated at


par with an oustee of the submerged area of the dam, rather he would


be   given   benefit   as   per   the   policy   prescribed   for   such   a   class   of


persons.




4.      The High Court after considering the rival submissions held as


under:


(I)     The CAD Plans of Indira Sagar and Omkareshwar projects were


required  to be prepared and submitted to the authority entrusted with


the   responsibility   of   monitoring,   planning   and   implementation   of





                                                                                          6


environmental   safeguards   and   this   was   to   be   done   before   the


commencement of the canals so that such authority could ensure that


the   environmental   safeguards   and   mitigative   measures   had   been


properly   planned   and   could   be   implemented  pari   passu  with   the


construction of the canal project.  


(II)     If   land   is   acquired   and   excavated   before   preparation   and


submission of CAD Plans to such monitoring authority, environmental


safeguards could not  be implemented pari passu with the construction


of   canal   project.   Rather,   if   the   main   canals   and   branch   canals   are


constructed   without   keeping   in   mind   the   environmental   requirements


then   there   may   be   immense   problem   of   water   logging   and   salinity


disturbing   the   environmental   plans   and   the   authority   entrusted   to


ensure   the   environmental   safeguards   may   not   be   able   to   reverse   the


acquisition of land.


(III)    There was an intelligible differentia in making the classification


between the oustees of  submerged areas of dam and canals but have no


rationale  nexus  with  the object  to achieve  so  far  as  the  rehabilitation


was concerned. Thus, the persons affected by canal work were entitled


to the same benefit as that of submergence affected persons.





                                                                                   7


 (IV)    In view of the   provisions of Sections 3 and 4(i) of PESA Act,


 the State Legislature was not competent to make any law under Part IX


 of the Constitution of India inconsistent with the basic features of the


 Gram   Sabha   or   Panchayats   at   the   appropriate   level     requiring


 consultation   for   land   acquisition   in   the   scheduled   area   for   the


 development projects.   Therefore, it was not permissible for the court


 to   issue   direction   to   the   authorities   to   consult   Gram   Sabha   before


 acquisition of land.


 (V)     Challenge to the acquisition of land could not be entertained at a


 belated stage as the possession of the land had been taken long back.


 (VI)    The   clearance   from   MoEF   requires   the   agents   to   monitor   the


 environmental protection measures.  


               In view of the above, the High Court issued directions   as


explained in para 2  hereinabove.  Hence, this appeal.




5.             Shri   T.R.   Andhyarujina,   learned   senior   counsel   appearing


for the appellants has submitted that CAD Plans have been submitted by


the   authorities   from   time   to   time   to   the   ministries   of   the   Central


Government   and   have   got   the   clearances   and   the   work   had   been


executed giving strict adherence to those clearances. Even at present, the


revised CAD Plans have been submitted and are being considered by the




                                                                                   8


Expert   Committee   of   the   MoEF,   wherein   the   respondent-Ms.   Medha


Patkar   has   also   been   heard.   As   voluminous   documents   have   been


submitted by her and this Court had been issuing directions from time to


time, the MoEF has yet to take the final decision. The State authorities


are bound to proceed in accordance with the final decision taken by the


MoEF   and   in   case   the   CAD   Plans   are   not   found   to   be   appropriate   or


complete   and   the   MoEF   issues   certain   directions   or   asks   for   some


variations   etc.   the   State   Government   would   proceed   accordingly.


Therefore, according to Mr. Andhyarujina, the issue of submission and


clearance of CAD Plans should not be decided at this stage by the court.


It   is   further   submitted   by   Mr.   Andhyarujina   that   in   case   a   party   is


aggrieved by the order to be passed by MoEF, it would  be open to it to


challenge the said order before the appropriate forum.




                So far as the issue of rehabilitation is concerned, it has been


canvassed   on   behalf   of   the   State   that   question   of   putting   the   canal


affected   persons   at   par   with   submergence   affected   persons   does   not


arise. This Court in  Narmada Bachao Andolan v. Union of India &


Ors.,      (2000)   10   SCC   664,   (hereinafter   called   "Narmada   Bachao


Andolan  I") has  categorically  held  that  both  classes  are  different   and


cannot be put on equal footings. The canal affected people may rather be




                                                                                      9


benefited because of the canals while the submergence affected persons


may   suffer   permanently   or   temporarily.   Therefore,   to   that   effect,   the


High Court was not justified in issuing direction to treat both the classes


at par.          




6.               On the other hand, Ms. Medha Patkar, respondent-in-person


and   Mr.   Sanjay   Parikh,   learned   counsel   for   the   respondents   have


submitted   that   there   is   no   difference   in   the   sufferings   of   the   persons,


whether   they   are   submergence   affected   persons   or   canal   affected


persons.   No   rationale   nexus   can   be   found   to   treat   them   differently.


Therefore, the High Court's finding to that extent does not require any


interference. The CAD Plans submitted by the State authorities are not


complete   and   are   being   examined   by   the   Expert   Committee   of   the


MoEF. Therefore, the High Court has rightly directed the authority not


to proceed with excavation or establishment of canals etc.  The facts of


the   case   do   not   warrant   any   interference   by   this   Court.   Appeal   lacks


merit and is liable to be dismissed.




7.               We have considered the rival submissions made by learned


counsel  for the parties and perused the record.








                                                                                        10


8.             Though, a large number of issues have been agitated before


the   High   Court   and   dealt   with,   some   of   them   have   not   been   agitated


before us. The issue of consultation with the Gram Sabha or Panchayats


before   acquisition   of   land   and   validity   of   the   acquisition   proceedings


had been dealt with by the High Court against the writ petitioners and


the   same     has   not   been   challenged   before   us.   Thus,   only   two   issues


survive,     i.e.   submission   of   CAD   Plans   before   the   MoEF   and


requirements   of   its   clearance;   and   entitlement   of   the   canal   affected


persons.  




9.             So far as the first issue is concerned, this Court vide order


dated 25.2.2010 after taking note  of the directions  issued by the  High


Court   and   in   view   of   the   fact   that   the   CAD   Plans   etc.   were   being


considered by   the Expert Committee of the MoEF and for many years


excavation  and  construction   of canal   work  and  acquisition   of  land  for


that purpose had been done to a   great extent and the High Court order


brought the same to a standstill, passed the following order:


                  "In   the   above   circumstances,   excavation   or

          construction   of   the   canal   work   and   acquisition   of

          land may go on for the time being, however, it would

          be   subject   to   approval   of   the   MoEF   of   the   revised

          plans   submitted   on   16th  October,   2009.   The   State

          would be at liberty  to file  further  details regarding

          the Command Area Development Plans to the MoEF




                                                                                     11


         and   if   such   details   regarding   the   Command   Area

         Development   Plans   are   filed,   the   same   may   be

         referred to the Expert Committee for consideration.

         The   Expert   Committee   to   take   a   decision   within   a

         period   of   six   weeks   and   as   soon   as   the   Report   is

         available   to   MoEF,   the   MoEF   to   take   decision

         within a further period of four weeks thereafter."




10.    Mr. Mohan Jain, learned Additional Solicitor General appearing


for the MoEF has supported the case of the State contending that the


State authorities had always been submitting the CAD Plans from time


to time and the same had also been cleared by the statutory authorities.


References have been made  to the decision dated 10.2.2011 taken by


Dr.   Pandey's   Committee   on   CAD   Plans   and   all   other   subsequent


decisions taken on 29th/30th April, 2011 on the CAD Plans submitted by


the   State   Government.   Mr.   Jain   assured   the   Court   that   the   decisions


would   be   taken   by   the   MoEF   strictly   in   accordance   with   law


considering the report of the Expert Committee. Time is being taken in


view of the order dated 11.5.2011 passed by this Court directing MoEF


to   proceed   with   the   draft   minutes     prepared     by   the   Environment


Appraisal   Committee   after   providing   the   opportunity   of   personal


hearing to the writ petitioner- Ms. Medha Patkar. Though the hearing


stood   concluded,   a   large   number   of   documents   submitted   by   Ms.





                                                                                   12


Patkar yet require to be considered. The final decision shall be taken


within 4 weeks.




11.    While considering the reliefs, which could be given to the canal


affected persons, this court on 5.5.2010 passed the following  order :


             "The State of Madhya Pradesh shall consider the

        "hardship   cases";   those   cases   wherein   land   of   a

        Khatedar  is  in  excess  of 60% or  above  is  acquired

        for  canal, those  affected  parties   may be  given  land

        as far as possible in the near vicinity or in the canal

        command area of the project and if it is not possible,

        the   land   may   be   given   from   the   Land   Bank.   The

        Khatedars who have already received compensation,

        should   return   the   Government   50%   of   the

        compensation amount already taken by them as land

        value and the remaining amount may be refunded to

        the   Government   in   20   interest   free   annual

        installments. If the Khatedars are not willing to take

        land   from   the   land   bank,   they   may   be   given   the

        compensation   as   per   the   present   market   value   plus

        30% solatium thereof.  Those who are not coming in

        the   category   of   hardship   cases,   compensation   is   to

        be   paid   under   the   Land   Acquisition   Act   with   30%

        solatium.

       

               Any   grievance     in   respect   of   these   affected

        parties   may   be   placed   before   the   Grievance

        Redressal   Authority   for   Narmada   Water   Basin

        Project   which   has   been   set   up   by   the   State

        Government. Land Bank should, as far as possible,

        give   cultivable   land   and   also   basic   infrastructure

        such   as   school,   primary   health   centre,

        communication facilities etc. shall be provided."





                                                                              13


 12.       While entertaining I.A. No.9 of 2011, on 21.7.2011 the aforesaid


 order was modified as under:


            "50% of the cash compensation already received by

            the   Khatedars   have   to   be   refunded   to   the

            Government   as   land   value   of   land   allotted   and   the

            remaining cost of the land will be paid in 20 interest

            free annual installments."




                 While hearing the matter, this court further clarified the order


dated   5.5.2010   to   the   extent     that   30%   solatium   as   mentioned   in   the


order dated 5.5.2010 meant as provided under the Act 1894 and not over


and above the same to make it 60%.


         Therefore, the question remains as what are the other reliefs that


 can be granted to the canal affected persons and as to whether they can


 be put at par with the oustees of submergence area.




 13.The Narmada Water Dispute Tribunal Award 1979 defined `oustee'


        as well as provided for rehabilitation:




            "Oustee- An "Oustee shall mean any person who since at

            least   one   year   prior   to   the   date   of   publication   of   the

            notification   under   section   4   of   the   Act,   has   been

            ordinarily residing or cultivating land or carrying on any

            trade,   occupation   or   calling   or   working   for   gain   in   the

            area   likely   to   be          submerged         permanently   or

            temporarily."





                                                                                           14


         Provision  for Rehabilitation:  According  to  the  present

         estimates the number of oustee families would be 7,366

         spread   over   173   villages   in   Madhya   Pradesh,   467

         families spread over 27 villages in Maharashtra. Gujarat

         shall   establish   rehabilitation   villages   in   Gujarat   in   the

         irrigation command of the Sardar Sarovar Project on the

         norms   hereinafter   mentioned   for   rehabilitation   of   the

         families who are willing to migrate to Gujarat. For oustee

         families  who are unwilling to migrate to Gujarat, Gujarat

         shall  pay  to  Madhya  Pradesh  and  Maharashtra  the cost,

         charges and expenses for establishment of such villages

         in their respective territories on the norms as hereinafter

         provided."




                Thus,   it   is   evident   from   the   above   that   the   definition   of


`oustee'   does   not   take   within   its   ambit   the   "canal   affected   person".


However,   the   said   award   does   not   apply   to   the   present   projects   as   it


was meant only for Inter-State projects like Sardar Sarovar Project.




14.     So   far   as   the   Indira   Sagar   Project   is   concerned,   it   was   given


clearance   on   24.6.1987   and   did   not   have   any   specific   direction   for


rehabilitation.   Similarly,   for   Omkareshwar   Project,   clearance   was


granted   on   13.10.1993   and   part   (vii)   thereof,   provided   that   the


rehabilitation programme would be extended to landless labourers and


people   affected   due   to   canal  by   identifying   and   allocating   suitable


land "as permissible".





                                                                                        15


        The words "as permissible" have been interpreted by this Court


in  Narmada Bachao Andolan v. State of M.P., AIR 2011 SC 1989,


that   addition   of  such   terms   while   granting   clearance   did   not   create   a


right  in favour  of such  persons as   the rehabilitation  is  to  be made  in


accordance with the terms of R & R Policy. Thus, we do not see any


reason to reconsider the issue afresh.  




15.     The   general   R   &   R   Policy   of   the   State   of   Madhya   Pradesh


defines `displaced person' in para 1.1 as a person in an area likely to


come under submergence  because of  project or which is required by


the project.  The R & R Policy was amended by the State of Madhya


Pradesh   on   14.8.2000   which   included   the   persons   whose   land   was


likely   to   come   under   submergence   or   was   required  for   the   project


related canal construction.




16.     This Court in Narmada Bachao Andolan I (supra) considered a


similar issue, but made the distinction between canal affected persons


and persons affected by submergence in para 169 which reads as under:





         "Dealing with the contention of the petitioners that

         there will be 23,500 canal-affected families and they

         should   be   treated   on   a   par   with   the   oustees   in   the

         submergence   area,   the   respondents   have   broadly

         submitted   that   there   is   a   basic   difference   in   the



                                                                                     16


         impacts of the projects in the upstream submergence

         area   and   its   impacts   in   the   beneficiary   zone   of   the

         command   area.  While   people,   who   were   oustees

         from   the   submergence   zone,   required   resettlement

         and rehabilitation, on the other hand, most of the

         people   falling   under   the   command   area   were   in

         fact   beneficiaries   of   the   projects   and   their

         remaining   land   would   now   get   relocated   with   the

         construction   of   the   canal   leading   to   greater

         agricultural   output.   We   agree   with   this   view  and

         that is why, in the award of the Tribunal, the State of

         Gujarat   was   not   required   to   give   to   the   canal-

         affected  people  the  same  relief   which  was  required

         to be given to the oustees of the submergence area."

         (Emphasis added)





17.     In view of the above, the State of Madhya Pradesh amended R &


R Policy on 1.9.2003 deleting the words "which is required for project


related constructions of canal or government project colony." Thus, in


view  of   the   above,   the   State   of  M.P.   does   not   give   the   same   R   &  R


package   to   the   canal   affected   persons   as   those   affected   by


submergence.




18.     This   Court   has   taken   a   view   that   the   canal   affected   persons


cannot be put at par with the submergence affected persons, thus, it is


not possible for the court to put the canal affected persons at par with


the submergence affected persons.





                                                                                       17


        In view of the fact-situation, it was not permissible for the High


Court   to   take   a   view   contrary   to   the   view   taken   by   this   Court,


particularly,   when   the   High   Court   came   to   the   conclusion   that   there


was a reasonable differentia between the two.




19.     Be that as it may, this Court vide an interim order dated 5.5.2010


has also taken care of "hardship cases" in canal affected areas.




                Mr.   Andhyarujina,   learned   senior   counsel   appearing   for


the   State   has   graciously   agreed   that   in   order   to   give   more   benefit   to


canal affected persons, the court may award some more benefits.   The


State has suggested that in order to achieve the purpose, date of Section


4 Notification in all the cases, irrespective of the actual date of Section


4   Notification   in   relation   to   all   canal   affected   persons   be   shifted


(postponed)  to the date of this judgment and direct to re-determine the


market value according to the provisions of the   Act 1894 as early as


possible making the supplementary awards and giving the opportunity


to such oustees further for filing reference under Section 18 of the Act


1894.  




20.     The State has come forward with most appropriate and valuable


suggestion,   thus,   we   accept   the   same.     In   view   of   the   above,   Land




                                                                                        18


Acquisition   Collector   is   directed   to   reconsider   the   market   value   of


canal   affected   persons   as   if   Section   4   Notification   in   respect   of   the


same   has   been   issued   on   date,   i.e.   2.8.2011   and   make   the


supplementary   Awards   in   accordance   with   the   provisions   of   the   Act


1894.  Such concession extended by the State would be over and above


the   relief   granted   by   this   Court   vide   order   dated   5.5.2010   as


clarified/modified   subsequently,   as   explained   hereinabove   and   it   is


further   clarified   that   further   canal   work   would   be   subject   to


clearance/direction which may be given by MoEF.


21.         In view of the above, appeal stands disposed of. No order as to


costs.





                                                        .............................J.

                                                         (J.M. PANCHAL)




                                                         .............................J.

                                                         (DEEPAK VERMA)




                                                         .............................J.

New Delhi,                                               (Dr. B.S. CHAUHAN)

August 2,  2011





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