Odisha Cabinet Approves Reduction Of Leasehold Land Conversion Fee From 10% To 3%

Bhubaneswar: The state Cabinet on Monday approved a proposal for reducing the fee for conversion of leasehold land of Odisha State Housing Board (OSBH) or a Development Authority to freehold land.

The Cabinet meeting chaired by Chief Minister Naveen Patnaik gave its nod to the proposal of the Revenue and Disaster Management Department to amend the Odisha Government Land Settlement Rules, 1983 to reduce the conversion fee.

The conversion fee of land for residential purposes has been reduced from the existing 10 % of the prevailing market value of the land to 3% of the valuation of land fixed under the guidelines prescribed under the Odisha Stamp Rules, 1952 for a Gharabari kisam of land situated in the vicinity.

Briefing reporters after the Cabinet meeting, Chief Secretary P K Jena said the proposed amendment shall reduce the financial burden on OSHB and the Development Authorities for conversion of leasehold land into freehold. The benefit will ultimately pass on to the persons who have purchased land from the OSHB or the Development Authority, as the case may be, for residential purposes.

The proposal entails a reduction in the conversion fee for conversion of leasehold land of Odisha State Housing Board or CDA and BDA for residential purposes into freehold from the existing 10 percent of the prevailing market value of the land to 3 percent of the valuation of land fixed under the guidelines prescribed under the Odisha Stamp Rules-1952 for a gharabari kisam of land situated in the vicinity.

This apart, a proposal to expand the Koraput coffee plantation to 1 lakh hectares from the existing 10,000 hectares was approved. The scheme ‘Coffee Plantation for Sustainable Livelihoods (CPSL) will be implemented in Koraput, Rayagada, Kalahandi, Kandhamal, Keonjhar and Gajapati where women SHGs will be engaged in coffee nurseries. Over 50,000 farm families will benefit from the scheme.

The proposal envisages an expenditure of Rs. 1144.00 crore from 2022-23 to 2026-27. Rs. 567.00 crore will be netted through State Plan and Rs. 577.00 will be met through convergence with other schemes.

The Cabinet also approved a proposal for setting up of a working women’s hostel at Deras in Khurda district. The turnkey tender for the construction of a 6952-bedded working women’s hostel at seafood park Deras, Khurda with a cost of Rs 329.00 crore was approved.

It also approved the Odisha Procurement Preference Policy for Micro and Small Manufacturing Enterprises 2023. The new policy will boost business activity of small manufacturing enterprises by preferential procurement of their manufactured goods by state government establishments.