The order, issued by the Revenue and Forest Department on 24 February 2026, seeks to eliminate long-standing delays in determining compensation for landowners whose properties are acquired for public projects. Officials noted that slow valuation processes had been causing project overruns, rising costs, and extended completion timelines across sectors such as infrastructure, irrigation, and urban development.

What the New Rule Says

Under the new framework, once joint land measurement is completed in any acquisition case, the valuation committee must meet and finalise compensation calculations within one week. This is a significant procedural shift from earlier timelines, which often stretched for months.

The committee will evaluate not only land value but also all associated assets, including:

• Buildings and structures
• Crops and plantations
• Forest and fruit trees
• Wells and water resources
• Any other attached property

Who Will Decide the Valuation

Each district committee will be chaired by the District Collector and include senior officials from engineering, agriculture, forest, land records, registration, and town planning departments. The Land Acquisition Officer will act as Member Secretary and coordinate proposals.

Department heads must submit valuation proposals before the meeting, and the committee is required to finalise minutes the same day, ensuring accountability and preventing procedural delays.

Provision for Unclear Valuation Cases

If any asset involved in acquisition does not have a defined valuation method, the District Collector must forward a policy proposal to the relevant administrative department for guidance. This clause is designed to handle complex or uncommon compensation scenarios.

Why This Reform Matters

The move is expected to:

• Speed up infrastructure execution
• Improve transparency in compensation
• Reduce disputes with landowners
• Prevent project cost escalation
• Strengthen administrative accountability

Policy observers say the reform could significantly improve investor confidence and project efficiency, particularly in fast-urbanising regions where land acquisition bottlenecks frequently stall development.

Bottom Line

With strict timelines, multi-department oversight, and clearly defined responsibilities, Maharashtra’s new district-level valuation system could become a model for faster and more transparent land acquisition across India.

Also Read: India Rises to 4th Globally in Real Estate Land & Development Investments

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