After 12 years, the government has revised the rehabilitation and resettlement (R&R) compensation package for those affected by Metro projects, thanks to a condition by the financing institutions. Besides a hike of 225%, the new package includes Rs 5 lakh aid for slum dwellers.

On December 22, 2016, the state government had allowed Bangalore Metro Rail Corporation Ltd (BMRCL) to provide compensation for Phase 2 in keeping with the R&R policy of 2007. However, the agencies providing loan for the remaining Metro lines have taken exception to BMRCL’s R&R policy, following which Metro authorities proposed an amendment to the package.

“The bilateral and multilateral development agencies financing Metro projects say the BMRCL’s R&R package is not in line with their policy and have sought a revision. Considering inflation in the last 12 years between 2006 and 2007 and 2018-19... it is proposed to increase various allowances in the R&R Policy of 2007 by 2.25 times,” BMRCL had proposed in May.

The government has allowed the hike of allowances by 2.25 times but with the condition that BMRCL should bear the additional expenses. “Under no circumstances, BMRCL should seek any kind of financial assistance in this regard,” the government order states.

Noting the compensation should not exceed 2.25 of the amounts fixed in 2007, the order says the revised package should be implemented prospectively.

The new policy includes families residing in declared slums. According to allowances, each family will get Rs 5 lakh as housing support grant.

With this, shifting allowance for residential properties up to 1,000 sq ft and commercial ones up to 150 sq ft will go up from Rs 10,000 to Rs 25,000, while the one-time inconvenience allowance will go up from Rs 30,000 to Rs 70,000. Similarly, those running businesses, except mobile vendors, on public land without title will get loss allowance of Rs 85,000.

BMRCL has already awarded R&R compensation for most of the 72 km project under Phase 2 except for the 13.79 km underground stretch between Diary Circle and Nagawara, part of the Reach 6 line. The government has also approved the Silk Board-KR Puram (17.13 km) and KR Puram-Kempegowda International Airport (36.44 km) airport line.

To a question, Channappa Goudar, general manager (Land Acquisition), BMRCL, confirmed the package will not have retrospective effect. “We have not yet awarded R&R compensation in the Reach 6 underground line, not to mention new lines. The new package will be applicable here,” he said.