Gujarat High Court Allows Additional Compensation Under Section 30(3) of RFCTLARR Act, 2013 for Land Acquired Under National Highways Act, 1956 — Solatium at 12% Per Annum from Date of Preliminary Notification to Award/Possession.

High Court: Gujarat High Court In Favour of Accused
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Case Note & Summary

The petitioners filed a set of writ petitions seeking the benefit of additional compensation at 12% per annum under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (the 2013 Act) on the market value of their land acquired under the National Highways Act, 1956. The land was acquired for the purpose of national highway development, and the Competent Authority and Special Land Acquisition Officer had passed an award determining the market value with multiplication factor-2 under Section 26 of the 2013 Act but did not grant the additional compensation under Section 30(3). The petitioners contended that they were entitled to such additional compensation from the date of the preliminary notification under Section 3A of the National Highways Act, 1956 until the date of the award or taking possession, whichever is earlier. The respondents opposed the petitions, arguing that the provisions of the 2013 Act were not applicable to acquisitions under the National Highways Act. The Court, after hearing the parties, held that Section 105(3) of the 2013 Act makes the compensation-related provisions of the 2013 Act applicable to acquisitions under the National Highways Act. Consequently, the petitioners were entitled to additional compensation under Section 30(3) on the market value determined under Section 26, including the multiplication factor. The Court directed the respondents to pay the additional compensation within eight weeks from the date of the judgment.

Headnote

A) Land Acquisition - Additional Compensation under Section 30(3) - Solatium - Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, Section 30(3) - The petitioners sought additional compensation at 12% per annum on the market value of land acquired under the National Highways Act, 1956, from the date of preliminary notification under Section 3A of the National Highways Act, 1956 until the date of award or possession. The Court held that the benefit of Section 30(3) of the 2013 Act is applicable to acquisitions under the National Highways Act, 1956, and the additional compensation is payable on the market value determined under Section 26 of the 2013 Act, including the multiplication factor. The Court directed the respondents to pay the additional compensation within eight weeks. (Paras 2-5)

B) Land Acquisition - Applicability of 2013 Act to National Highways Act - Section 105(3) of RFCTLARR Act, 2013 - The Court noted that Section 105(3) of the 2013 Act provides that the provisions of the 2013 Act relating to determination of compensation shall apply to acquisitions under the National Highways Act, 1956. Therefore, the additional compensation under Section 30(3) of the 2013 Act is payable. (Para 4)

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Issue of Consideration

Whether the petitioners are entitled to additional compensation at 12% per annum under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 on the market value of land acquired under the National Highways Act, 1956, for the period from the date of preliminary notification under Section 3A of the National Highways Act, 1956 until the date of award or possession.

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Final Decision

The Court allowed the petitions and directed the respondents to pay the additional compensation under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 on the market value determined under Section 26 of the said Act, including the multiplication factor, from the date of the preliminary notification under Section 3A of the National Highways Act, 1956 until the date of the award or the date of taking possession of the land, whichever is earlier, within eight weeks from the date of the judgment.

Law Points

  • Additional compensation under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition
  • Rehabilitation and Resettlement Act
  • 2013 is payable on the market value determined under Section 26 of the 2013 Act
  • including the multiplication factor
  • from the date of preliminary notification under Section 3A of the National Highways Act
  • 1956 until the date of award or possession
  • whichever is earlier.
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Case Details

2026:GUJHC:22212-DB

R/Special Civil Application No. 3696 of 2026 with connected matters

2026-03-24

Sunita Agarwal, D.N.Ray

2026:GUJHC:22212-DB

Ms. Divyanshi Singh, Mr. Aishwary B. Gupta, Mr. A.J. Yagnik, Mr. Tushar L. Chauhan, Ms. Hetal Patel, Mr. Sanjay Udhwani, Mr. Ankit Shah, Nanavati & Co.

Digvijaysinh Jashwantsinh Solanki & Anr.

Competent Authority and Special Land Acquisition Officer & Ors.

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Nature of Litigation

Writ petitions seeking additional compensation under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 for land acquired under the National Highways Act, 1956.

Remedy Sought

Petitioners sought direction to the respondents to pay additional compensation at 12% per annum on the market value of the land from the date of preliminary notification under Section 3A of the National Highways Act, 1956 until the date of award or possession.

Filing Reason

The Competent Authority and Special Land Acquisition Officer did not grant the additional compensation under Section 30(3) of the 2013 Act while determining the market value with multiplication factor-2 under Section 26 of the 2013 Act.

Issues

Whether the petitioners are entitled to additional compensation under Section 30(3) of the 2013 Act on the market value determined under Section 26 of the 2013 Act for land acquired under the National Highways Act, 1956. Whether the additional compensation under Section 30(3) is payable from the date of preliminary notification under Section 3A of the National Highways Act, 1956 until the date of award or possession.

Submissions/Arguments

Petitioners argued that Section 105(3) of the 2013 Act makes the compensation provisions of the 2013 Act applicable to acquisitions under the National Highways Act, 1956, and therefore they are entitled to additional compensation under Section 30(3) on the market value including the multiplication factor. Respondents opposed the petitions, but the judgment does not detail their specific arguments.

Ratio Decidendi

The provisions of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 relating to determination of compensation, including Section 30(3) providing for additional compensation at 12% per annum, are applicable to acquisitions under the National Highways Act, 1956 by virtue of Section 105(3) of the 2013 Act. The additional compensation is payable on the market value determined under Section 26 of the 2013 Act, including the multiplication factor, from the date of the preliminary notification under Section 3A of the National Highways Act, 1956 until the date of the award or possession, whichever is earlier.

Judgment Excerpts

In the present set of writ petitions, the petitioners are seeking for the benefits of statutory benefits of additional compensation @ 12% on the market value of the land provided under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (in short as ‘the 2013 Act’) for the period commending from the date of the preliminary notification published under Section 3A of the National Highways Act, 1956, till the date of the award or the date of taking possession of the land, whichever is earlier, as per the scheme of the said provision. The petitioners would submit that though while making determination of the market value in accordance with Section 26 of the 2013 Act, multiplication Factor-2 was applied with respect to the land-in-question under the award, however, the benefits of the additional compensation as payable under Section 30(3) of the Act, 2013 on the total amount of the market value has not been granted.

Procedural History

The petitioners filed multiple Special Civil Applications before the High Court of Gujarat at Ahmedabad seeking additional compensation under Section 30(3) of the 2013 Act. The matters were heard together and disposed of by a common oral judgment dated 24/03/2026.

Acts & Sections

  • Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013: Section 26, Section 30(3), Section 105(3)
  • National Highways Act, 1956: Section 3A
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High Court Gujarat High Court Allows Additional Compensation Under Section 30(3) of RFCTLARR Act, 2013 for Land Acquired Under National Highways Act, 1956 — Solatium at 12% Per Annum from Date of Preliminary Notification to Award/Possession.