The Confederation of Indian Industry (CII) has laid out a sweeping overhaul of India's industrial land system, calling for a 'GST-like' National Industrial Land Council (NILC) to set uniform rules, timelines, and digital processes across states, according to its Land Mission report on land acquisition and allotment, released on Saturday.
 like' National Industrial Land Council to improve land acquisition and allotment

Confederation of Indian Industry Proposes Comprehensive Framework for Industrial Land Governance in India

The Confederation of Indian Industry (CII) has proposed a comprehensive framework to reform industrial land governance in India, including the creation of a "GST-like" National Industrial Land Council (NILC), according to its Land Mission report on land acquisition and allotment.

Key Components of the Proposed Framework

  • Centralised Decision-Making and Standard-Setting: NILC, housed in a Central Ministry such as DPIIT, will set national procedures, SLA/timeline mandates, uniform stamp duty guidance, and model leases, acting as a dispute arbitrator.
  • State Implementation: Each state's SLA will be the "single body" for implementation, running the state's single window and estate operations.
  • Fast-Track Tribunal/National Land Dispute Panel: A high-value disputes tribunal with a target to dispose of cases in six months.

Pain Points in the Current System

  • Land Search: Inaccurate or outdated land banks, lack of real-time GIS data, limited information on utilities, zoning, and encumbrances.
  • Applications: Multiple departmental touchpoints, fragmented digital portals, absence of standard timelines.
  • Allotments: Delayed possession even after allotment, zoning mismatches discovered late, lack of pricing transparency.
  • Change in Land Use Approvals: 6-18 months, while land acquisition under current laws can stretch 18-36 months due to "multi-stage statutory processes" and compensation disputes.

Recommendations to Fix Existing Pain Points

  • Land Search:
    • Unified GIS-based national industrial land bank, standardised data fields with weekly updates, pre-certified 'industrial-ready' parcels.
  • Applications:
    • Composite digital application through a single-window platform, assign case-owner-based resolution system, deemed approvals for non-sensitive clearances.
  • Allotments:
    • Time-bound handover within 15 days under defined SLAs; real-time land bank updates and geotagging; pre-disclosed FAR, buffer norms, and pricing formula.
  • CLU:
    • Exemptions within industrial corridors, uniform Development Control Regulations, and API-based digital approvals; pre-cleared industrial clusters with 'as-of-right' industrial use.
  • Acquisition:
    • Standardised SIA templates with a six-month outer limit, fast-track district cells, land pooling models, and a public GIS-linked dispute registry.

Benefits of the Proposed Framework

The proposed model will create a central, empowered body like NILC to end institutional fragmentation and create a central IT backbone for land governance, making industrial land transparent, predictable, and time-bound.