Bangalore Metro

BANGALORE METRO RAIL CORPORATION LIMITED REHABILITATION PACKAGE

I Introduction 1. Bangalore is a fast growing city. In 1971 its population was about 1.6 million; this is now about 6.5 million and is likely to reach 10 million by the year 2021.The vehicle population in the city has been growing phenomenally, causing air and noise pollution, health problems besides heavily congesting the roads and reducing the pace of movement. The city has over 2.5 million vehicles; 75% of them are two wheelers and 5% are three wheelers. On an average about 900 new vehicles are being registered in the city every day. 2. The inadequacy of public transport system has caused mushrooming growth of two wheelers and three wheelers in the city. The road accidents in the city are highest (per lakh population) in comparison to any other city in the country. On an average, three persons get killed and 18 injured, daily, in such accidents. The city needs a reliable Mass Rapid Transit System. 3. The Government of Karnataka has conveyed approval for undertaking Metro Rail Project on 24.03.2005. The Government of India in its order dated 11th May 2006 has accorded approval for the Bangalore Metro Rail Project as a joint venture project of Government of India and Government of Karnataka and designated the Bangalore Metro Rail Corporation Limited as the implementing agency. In I-Phase, the metro will cover 33 Kms in two corridors, i.e. East-west corridor of 18.1 km from Byappanahalli to Mysore Road and North-south corridor of 14.9 kms. From Yeshwantpur to RV Road. In the East-west corridor, initially 7 Kms from Byappanahalli to Cricket Stadium is proposed to be taken up in stage I. The entire project is proposed to be completed by 2011. The project requires acquisition of public and private properties. The project would affect about 1500 families. The details of acquisition of properties are as below:

II. Details of properties REQUIREMENT OF THE PROPERTIES FOR THE BANGALORE METRO RAIL PROJECT PROPERTIES TO BE ACQUIRED (NUMBERS)
Details Private Commercial Private Residential Others like temples, Churches etc. Developed 374 172 7 Number of properties Vacant 11 4 0

Total 385 176 7 568 54

Total number of private commercial, residential & other properties Total number of Government, Defence and public sector properties Total number of Government, Defence, public sector, private and community properties

629

PROPERTY ACQUISITION (SQ. MTRS)
Developed Affected Area 44585.47 15708.09 1349.71 Vacant Total Area Of Com, Res etc. in Sq.Mtrs. Affected Area 82502 21912 1350 Total Area Of Com, Res etc. in Acres. Affected Area 20.6 5.5 0.3

Details Private Commercial Private Residential Others like temples,Churches etc. Total area of Private Commercial , Residential & other properties. Government land Defence/Lands/HAL/BHEL/BSNL/NPCIL/ Railways/Central Silk Board

Affected Area 37916 6203 0

61643

44120

105763

26.13

130463 551925

32.2 136.35

NGEF

137280

33.91

Total area of Private and Government properties.

925430.4

228.614

The properties would be acquired in part or in full. An acceptable rehabilitation package should address the hardships and inconveniences due to loss of residential premises/ land and the loss of economic activity. While it is difficult to mitigate the disruption in social life, the negative impacts of displacing persons from their residences and economic activities is attempted to be mitigated through an economic package. In framing this package, the BMRCL drew lessons from similar packages implemented in the other projects in the State and elsewhere, e.g.: KSHIP, NHAI, Delhi- MRTS project, etc. The World Bank and The Asian Development Bank gives special emphasis in rehabilitating families who are involuntary displaced in projects. This package proposes allowances in monetary terms and, a TDR1 facility. The Government have also been moved (a) to declare the land use in the Metro corridor as commercial (b) to increase the FAR in the corridor (c) to change land use from residential to commercial This would be acted upon only on the basis of notifications to be issued by Government / concerned authorities later. This package is extended to those affected due to acquisition of private property only. This package does not apply to Government property / Public property etc. III Principles The basic principles that guide BMRCL in this package are that the families/ persons affected shall be enabled to: a. Replace the assets lost; b. Receive, for a short while, i.e.: until the affected persons had time to resettle, an economic assistance; c. Compensate to the extent costs that they would incur in shifting residences, and commercial establishments through provision of shifting allowance, transitional allowances, inconvenience allowances, etc. Annexure A describes the details of entitlements and type of assistance to be extended to the affected persons.

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The Government have been moved to make amendments to the Town and Country Planning Act for this purpose. The TDR facility would be available only as per such amendments.

IV. Losses a. The most direct and immediate impacts are: • • • Loss of asset- land, residential accommodation, business establishment; Loss of livelihood- loss of business income/ loss of rental income; Loss of common property resources- schools, hospitals, religious structures etc and; b. Social links. V. Entitlement The overall entitlement package is as follows: Type of Loss Loss of residential Rehabilitation package 1. Compensation as per KIADB Act or Consent award – Market value to be used for obtaining consent 2. Shifting allowance 3. Inconvenience allowance 4. Right to salvage material 5. TDR 6. Transitional Allowance 7. Rental income loss compensation Loss of commercial property 1. Compensation as per KIADB Act or Consent award – Market value to be used for obtaining consent 2. Business loss 3. Business premises reestablishment allowance 4. Shifting Allowance 5. Right to salvage material 6. TDR 7. Rental income loss Tenants commercial 1. Shifting Allowance 2. Business loss allowance

property

3.

Business

premises

reestablishment

allowance Tenants residential 1. Shifting Allowance 2. Inconvenience Allowance Common Resources Property The Project will meet the cost of restoring the affected portion of public property- schools , hospitals, parks, religious structures etc. VI. Definitions and Rationale a. Project affected person: Any individual who resides or has economic interest within the area being acquired and who may be directly affected by the project due to losing of commercial or residential structures in whole or part and as a result of the project. b. Owners: Are those who have legal title to land, structure and other assets. c. Award/ Compensation: Refers to the amount paid under Land Acquisition Act for private property, structures and any other assets acquired for the project. In this context, Award/ compensation refers to payments made by the Land acquisition officer acting under the KIADB Act, 1966 (the Land acquisition is being done under the KIADB Act). d. Consent Award: Is the amount that the Project Affected Person negotiates with the Land acquisition officer for the loss incurred, on a willing buyerseller basis. Once the amount is agreed upon the project affected person cannot move court for enhancement of the amount. This amount is a mutually agreed price without any pre-conditions. Consent award has been provided as an option to the affected person, if he opts not to go for compensation determined unilaterally under the KIADB Act

e. Tenants2: Are those persons having bonafide tenancy agreements, written or unwritten, with a private property owner with clear property titles, to occupy a structure or land for residences and business. Those who do not have any written documents need to furnish documentary proof such as telephone bills, electricity bills, ration cards, any postal evidence, passport or other legal documents to prove occupation of the premises. e. Transfer of Development Rights (TDR): A proposal in this regard has been made to Government. g. Business loss: This is to offset the loss of livelihood/ business. Compensation for business loss of 10 months is provided (at the lowest slab), as below. Those businesses which do not have any documentation on VAT will also be considered, but for a lesser compensation. i.e, 50% of the first category. 1. Payment of ST /VAT upto and including Rs.50,000 Rs.5000. 2. Payment of ST /VAT between Rs 5001 to Rs. 75,000 Rs. 15,000. 3. 4. Payment of ST /VAT above Rs.15001 If without ST/VAT documentation Rs.1,00,000 Rs.25,000

h. Commercial/ Residential Rental income lost: This is the loss of rental income for the owner. It is assumed that the rental income is Rs.10 per square foot for residential property and Rs. 20 per square foot for commercial property, for six months. The land loser is compensated on the basis as under:

Tenants have been identified as project affected persons, as a good number of residential and commercial structures in the project corridor are tenanted premises.

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Area lost 1. 2. 3. Upto1000 sq.ft. 1001sqft – 1500 sq.ft. Above 1501 sq.ft.

Residential Rs. 60,000 Rs.75,000 Rs.90,000

Commercial Rs. 1,20,000 Rs.1,50,000 Rs.1,80,000

i. Inconvenience Allowance: This is a one time allowance paid to all project affected persons losing structure and land, for the inconvenience caused due to acquisition. The inconvenience is in terms of finding new gas connection, telephone connections, ration cards, new schools, colleges, arranging conveyance including deposits for the same. Inconvenience allowance has been provided at the rate of Rs. 30,000 as a one time payment for those losing total residential structure. If the residential property loser continues to remain in the same premises he is provided an allowance of Rs. 24,000 as he has to put up with various other inconveniences during project construction period. In case of tenant-families, the same allowance will be provided at Rs. 30,000 for each family. provided. j. Transitional allowance: This is allowance paid on the basis of the area lost. This amount is to offset interim rental/rent deposit costs to the affected persons because of shifting. The rate considered is Rs.10 per sq. ft for 6 For single person tenant Rs. 15,000 will be

months. This is provided for those losing owned residential properties where shifting is required. 1. 2. 3. Up to 1000 sq.ft. 1001 sqft – 1500 sq.ft. Above 1501 sq.ft. Rs.60,000 Rs.75,000 Rs.90,000

k. Shifting Allowance: For all affected persons who have to shift, this allowance has been provided based on the area lost. This amount is the transportation of belongings of the affected persons who have to shift. This amount differs for commercial and residential loss.

Commercial 1. 2. 3. up to 150 sq.ft. 151 sqft to 300 sq.ft. Above 301 sq.ft. Rs.10,000 Rs.15,000 Rs.20,000

Residential 1. 2. 3. upto 1000 sq.ft. 1001 sqft to 1500 sq.ft. Above 1501 sq.ft. Rs.10,000 Rs.12,500 Rs.15,000

l. Business premises reestablishment allowance: This is given to those persons losing their commercial establishments, to re-establish their business @ Rs.240/- per sqft. of area lost. This is intended to meet the cost of rent @ Rs. 20 for 12 months m. Right to salvage material totally: Owners can take whatever material possible from their existing structure. n. Cut- off date: The date of Notification under Section 28 (1) under the KIADB Act is 17th of January 2006. This will be taken as the cut-off date for owner and tenants, where land acquisition will be required. Any person moving into the project impact area after this date will not be considered. o. Any other unidentified category: Any category not identified, shall be documented and mitigated based on the principles agreed upon in this rehabilitation package. VII. Implementation

During project implementation, the resettlement program will be coordinated with the timing of the civil works in the various construction packages. The project will provide adequate notification, counseling and assistance to the affected persons so that they are able to move or give up their assets without undue hardship before civil works are to start.

VIII.

Basveshwara / Jai Bhim habitations

The two habitations would be relocated at BMRCL’s cost. IX. Land Acquisition procedure

The normal procedures for Land acquisition under the KIADB act will be followed in this project. In respect of any additional land /structure which the project affected person opts to give up to the Project Authorities, acquisition will be made by issue of fresh notification as per the provisions of KIADB Act. X. Institutional Arrangements

A Rehabilitation Implementation Unit (RIU) will be set up.

XI.

Clarifications and doubts

Clarifications and doubts in implementation of this package would be issued by BMRCL and would be final.

Annexure - A BANGALORE METRO RAIL PROJECT REHABILITATION PACKAGE Affected Category I. a. Owner losing land and residential structure totally (Only owner staying in the premises) 3. Shifting allowance: a. upto 1000 sq.ft. – Rs.10,000 b. 1001sqft – 1500 sq.ft.– Rs. Rs.12,500 c. > 1501 sq.ft. – Rs. 15,000 4. Inconvenience Allowance: One time payment of Rs.30,000. 5. Transitional Allowance a. upto 1000 sq.ft. – Rs.60,000 b. 1001 sq.ft. – 1500 sq.ft.– Rs. Rs.75,000 c. > 1501 sq.ft.– Rs. 90,000 6. Right to salvage material totally. 7. TDR I b. Owner losing land and residential structure totally (owner and tenant staying in the same building premises in separate parts)
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Compensation and Entitlements 1. Compensation as per KIADB for land and structure acquired (Award) or 2. Consent award based on market value of land and building3 and

1. Same as in I a (1-7) Rental income lost in respect of rental area lost (Rs.10 per sq.ft. pm, for 6 months, for residential): a. upto 1000 sq.ft. – Rs.60,000 b. 1001 sq.ft.– 1500 sq.ft.– Rs. Rs.75,000 c. > 1501 sq.ft.– Rs. 90,000

Market value of land and building will be determined by BMRCL

I c.

Owner losing land and residential structure partially but continues to remain in the balance portion of the same premises

1. Compensation as per KIADB for land and structure acquired (Award) .or 2. Consent award based on market value of land and building4 and 3. Inconvenience Allowance One time payment of Rs.24,000.

4. TDR I d. Owner losing land and residential structure partially and willing to surrender the same completely to Project Authority.
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1.Owner has the option of giving up the remaining part of the property to the Project Authority. (A separate notification will be given for the remaining area) 2. Compensation and Entitlements will be the same as in Category I a. (1-7) or I b. (1-2) as the case may be for the area lost including 1 above.

Market value of land and building will be determined by BMRCL

II a.

Owner losing land and commercial structure totally (owner operating own business in the acquired premises)

1.

Compensation as per KIADB for land and structure acquired (Award).or

2.

Consent award based on market value of land and building5 and

3.

Shifting Allowance: a. upto 150 sq.ft. – Rs.10,000 b. 151sqft to 300 sq.ft. – Rs.15,000 c. > 301 sq.ft. – Rs.20,000

4.

Business loss: In case of, a. Payment of ST /VAT upto and including Rs.5000 will be paid Rs. 50,000. b. Payment of ST /VAT between Rs 5001 to Rs. 15,000 will be paid Rs. 75,000. c. Payment of ST /VAT above Rs.15001 will be paid Rs.1,00,000. d. If without ST/VAT documentation, will be paid Rs.25,000.

5. Business premises re-establishment allowance: Rs. 240 per sq.ft. of area lost 6. Right to salvage material totally 7. TDR
5

Market value of land and building will be determined by BMRCL

II b.

Owner losing land and commercial structure partially but continues to run business in the same premises

1. Compensation as per KIADB for land and structure acquired (Award) or 2. Consent award based on market value of land and building6 and 3. Business loss: In respect of, (a) Payment of ST /VAT upto and including Rs.5000 will be paid Rs. 50,000 (b) Payment of ST /VAT between Rs 5001 to Rs. 15,000 will be paid Rs. 75,000 (c) Payment of ST /VAT above Rs.15001 will be paid Rs.1,00,000. (d) If without ST/VAT documentation will be paid Rs.25,000. 2. Right to Salvage material 3. TDR

II c.

Owner losing land and commercial structure partially and unwilling to continue in the same premises

1. Owner has the option of giving up the remaining part of the property to the Project Authority. (Separate notification will be given for the additional area) 2. Compensation and Entitlements will be the same as in Category II a.

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Market value of land and building will be determined by BMRCL

II d.

Owner losing land and commercial structure, but structure fully rented out

1. Compensation for the land and structure acquired as per KIADB for land and structure Award or 2. Consent award based on market value of land and building7 and 3. Commercial Rental income lost (Rs.20 per sq.ft. pm for 6 months, twice of residential) a. upto 1000 sq.ft. – Rs.1,20,000 b. 1001 sq.ft.– 1500 sq.ft.– Rs. Rs.1,50,000 c.> 1501 sq.ft. – Rs. 2,00,000 4. Right to Salvage material 5. TDR

II e.

Owner losing land and commercial structure partially, but structure fully rented out.

1. Compensation as per KIADB for land and structure acquired (Award) or 2 Consent award based on market value of land and building8 and 3. Right to Salvage material 4. TDR 4. Commercial Rental income lost, in respect of area lost (Rs.20 per sq.ft. pm for 6 months, twice of residential) a. upto 1000 sq.ft. – Rs.1,20,000 b. 1001 sq.ft.– 1500 sq.ft.– Rs. Rs.1,50,000 c. > 1501 sq.ft. – Rs. 2,00,000

7 8

Market value of land and building will be determined by BMRCL Market value of land and building will be determined by BMRCL

II f.

Owner losing land and commercial structure fully, commercial activity being run by owner as well as tenant.

1. Compensation as per KIADB for land and structure acquired (Award) or 2. Consent award based on market value of land and building9 and 3. Shifting Allowance: a. upto 150 sq.ft.. – Rs.10,000 b. 151 sq.ft. to 300 sqft – Rs.15,000 c. > 301 sq.ft. – Rs.20,000 4. Business loss: In respect of, a. Payment of ST /VAT upto and including Rs.5000 will be paid Rs. 50,000 b. Payment of ST /VAT between Rs 5001 to Rs. 15,000 will be paid Rs. 75,000 c. Payment of ST /VAT above Rs.15001 will be paid Rs.1,00,000 . d. If without ST/VAT documentation will be paid Rs.25,000. 5. Business premises re-establishment allowance: Rs. 240 per sq.ft.. of area lost 6. Commercial Rental income lost (Rs.20 per sq.ft. for 6 months, twice of residential) a. upto 1000 sq.ft.– Rs.1,20,000 b. 1001 sq.ft.– 1500 sq.ft.– Rs. Rs.1, 50,000 c. > 1501 sq.ft. – Rs. 2,00,000 7. Right to Salvage material. 8. TDR

9

Market value of land and building will be determined by BMRCL

III

Owner losing land and residential cum commercial structure (both totally)

1. Compensation for the land and structure acquired as per KIADB for land and structure or 2. Consent award based on market value of land and building10 and 3. Shifting Allowance: For commercial: a. upto 150 sq.ft.. – Rs.10,000 b. 151 sq.ft. to 300 sq.ft. – Rs.15,000 c. > 301 sq.ft. – Rs.20,000 For residential a. upto 1000 sq.ft. – Rs.10,000 b. 1001 – 1500 sq.ft.– Rs. Rs.12,500 c. > 1501 – Rs. 15,000 4. Inconvenience Allowance: One time payment of Rs.30,000 5. Business loss: In case of, a. Payment of ST /VAT upto and including Rs.5000 will be paid Rs. 30,000 b. Payment of ST /VAT between Rs 5001 to Rs. 15,000 will be paid Rs. 50,000 c. Payment of ST /VAT above Rs.15001 will be paid Rs.75000. d. If without ST/VAT documentation will be paid Rs.15,000. 6. Business premises re-establishment a. 240 per sq.ft. in respect of commercial portion only 7. Right to salvage material totally 8. TDR

10

Market value of land and building will be determined by BMRCL

IV

Owner Losing only land

1. Compensation for the land and structure acquired as per KIADB (Award) or 2. Consent award based on market value of land and building11 and 3. TDR

V

Tenant – Residential
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1. Shifting allowance per tenant single/family tenants a. Rs.12,500 2. Inconvenience Allowance for all if more than one occupant a. One time payment of Rs.30,000 b. In case of single /family tenant occupancy inconvenience allowance of Rs.15,000.

VI

Tenant – Commercial

1. Shifting allowance per tenant: a. Rs.15,000 2. Business loss per tenant: a. Payment of ST /VAT upto and including Rs.5000 will be paid Rs. 50,000 b. Payment of ST /VAT between Rs 5001 to Rs. 15,000 will be paid Rs. 75,000 c. Payment of ST /VAT above Rs.15001 will be paid Rs.1,00,000 d. Without ST/VAT documentation will be paid Rs.15,000 3. Business premises reestablishment per tenant (12 months): Rs. 240 per sq.ft.

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Market value of land and building will be determined by BMRCL Documents showing proof of his/her tenancy of occupancy

VII

Tenant – Residential cum Commercial

A. For residential 1. Shifting allowance per residential tenant a. Rs.12,500 2. Inconvenience Allowance per tenant a. One time payment of Rs.30,000 for more than one occupant b. In case of single person occupancy inconvenience allowance of Rs.15,000. AND B. For Commercial 1. Shifting allowance per tenant a. Rs.15,000 2. Business loss per tenant: a. Payment of ST /VAT upto and including Rs.5000 will be paid Rs. 50,000 b. Payment of ST /VAT between Rs 5001 to Rs. 15,000 will be paid Rs. 75,000 c. Payment of ST /VAT above Rs.15001 will be paid Rs.1,00,000 . d. Without ST/VAT documentation will be paid Rs.25,000. 3. Business premises re-establishment per tenant (12 months) Rs. 240 per sq.ft.

VIII

Common Property resources

Project Authority will compensate/replace for affected portion of schools, hospitals, parks, religious structures etc. Unforeseen impacts shall be documented and mitigated based on the principles provided in this package.

IX

Any other impact not identified

Note: Business dealer shall show certified copy of documents of VAT/ST filing of 12 months of the previous year or one annual filing before Commercial Tax Authorities.

23/08/2006

Managing Director