Social Impact Assessment of Projects involving Land Acquisition in India: Implications of RFCTLARR Act, 2013

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (RFCTLARR) Act, 2013 has brought about a paradigm shift in land acquisition process in India. Acquisition of land in a developing economy like India is essential for infrastructure development, urbanization and industrialization which have a multiplier effect on economic development. Development projects though important in the long run, create significant changes in the daily lives of local population. Land acquisition for such projects displaces many and causes loss of livelihoods in the short run, which also creates resistance. The imperfect nature of land market also creates additional bottlenecks for efficient land transfer. The RFCTLARR Act 2013 proposes for Social Impact Assessment (SIA) study to map and estimate costs and benefits to the people affected through the acquisition. While discussing the specific issues in land acquisition and identifying challenges in carrying out SIA study in Bihar, the present paper proposes conducting SIA in a comprehensive and participatory way to assess the impact, make people aware and minimize resistance. The article argues for integration of Rehabilitation and Resettlement plan with National Skill Development Mission to capacitate the affected people for new sets of livelihood options.