Land conversion fee may be based on paddy land fair value; residential land value may no longer apply

THIRUVANANTHAPURAM: The fee for change in land type may be fixed based on the fair value of the paddy land under a proposed amendment to the law. At present, the fee and slab for change in land type are determined based on the fair value of the residential land adjoining the land being converted. This has led to widespread complaints that landowners have had to pay large amounts.

The Revenue Department has begun examining comprehensive amendments to the Kerala Conservation of Paddy Land and Wetland Act, 2008. The changes are likely to reduce the fee for change in land type. They are also expected to address complaints from officials about delays in determining the fee based on the fair value of residential land.

Eliminating delays in the change in land type process is one of the main objectives of the proposed amendment.

Applications for change in land type currently face delays of up to two years. Amendments to the Act and Rules will be introduced to enable applications to be disposed of within a maximum period of six months.

Changes to the definitions of “paddy land” and “wetland” are also being considered. At present, there is a situation where officials can interpret any land as paddy land or wetland. The definitions under the Wetlands (Conservation and Management) Rules, 2017, implemented by the Central Government, will also be considered while making the changes.

Another provision being considered is that applicants seeking change in land type for the purpose of constructing a house will not have to submit a separate application to make changes to the records.

Fund for water conservation

An amendment providing for the creation of a fund for water conservation activities is also being considered. It may require a specified fee paid during land conversion to be credited to the fund.

At present, when more than 50 cents of land is converted, 10 per cent of the land has to be set apart for water conservation activities. However, there is currently no provision in the Act or Rules to ensure that the land set apart is used for such activities.

The objective of the proposed fund is to make water conservation activities more effective while avoiding the need to set apart land for this purpose.

Conversion fee

• No fee: Up to 25 cents
• 10 per cent of fair value: From 25 cents up to one acre
• 20 per cent of fair value: Above one acre

Land classification

Paddy land: Land on which paddy is cultivated at least once a year, or land that is suitable for paddy cultivation but lying fallow. Associated structures such as bunds, drainage channels, ponds and streams are also included.

Wetland: Land situated between terrestrial areas and water bodies, where the water level is normally at or near the surface, or which is shallowly covered by water.