Central Government Acquires Land Use Rights for HPCL LPG Pipeline in Andhra Pradesh

The Ministry of Petroleum and Natural Gas issued Notification S.O. 4565(E) on October 29, 2021, declaring the acquisition of the right of user in specific land parcels for the purpose of laying a liquefied petroleum gas (LPG) pipeline. This delegated legislation, published in the Extraordinary Gazette of India on November 1, 2021, finalized the process for the Hindustan Petroleum Corporation Limited (HPCL) pipeline project, which aims to transport LPG from Hassan in Karnataka to Cherlapalli in Telangana, passing through the state of Andhra Pradesh. The notification followed an earlier declaration of intent, S.O. No. 3329(E), dated August 11, 2021, which was issued under Sub-section (1) of Section 3 of the Petroleum and Minerals Pipeline (Acquisition of Right of User in Land) Act, 1962 (50 of 1962). Copies of the initial declaration were made available to the public until September 12, 2021, allowing for due process.

Following the public notification, the competent authority, as mandated by Sub-section (1) of Section 6 of the said Act, submitted a comprehensive report to the Central Government. After reviewing this report and being satisfied that the identified land was indeed necessary for the pipeline project, the Central Government proceeded with the formal acquisition of the right of user. The notification specifically details land parcels located in Amarapuram and Gooty Mandals within the Ananthapuramu District of Andhra Pradesh, listing survey numbers and corresponding areas in acres and cents. The legislation provided: “Now, therefore, in exercise of the powers conferred by Sub-section (1) of the Section 6 of the said Act, the Central Government hereby declares that the Right of User in the land specified in the Schedule appended to this notification is hereby acquired for laying the pipeline; And further, in exercise of the powers conferred by Sub-section (4) of Section 6 of the said Act, the Central Government hereby directs that the Right of User in the said land for laying the pipeline shall, instead of vesting in the Central Government, vest on the date of publication of the declaration, in Hindustan Petroleum Corporation Limited (HPCL), free from all encumbrances.” This means the right to use the land for the pipeline project was transferred directly to HPCL, unburdened by any prior claims or liabilities.

The notification further clarified the financial and legal responsibilities associated with this acquisition. Hindustan Petroleum Corporation Limited (HPCL) was made exclusively liable for any compensation payable under Section 10 of the Petroleum and Minerals Pipeline (Acquisition of Right of User in Land) Act, 1962. Additionally, in accordance with Section 13 of the same Act, the notification stipulated that no suit, claim, or legal proceeding could be initiated against the Central Government, the Competent Authority, any State Government, or any other corporation for matters related to the pipeline. This provision aims to protect governmental entities from litigation arising from the project's implementation. The notification came into force upon its publication in the Official Gazette on November 1, 2021.

The legislative intent behind this notification was to facilitate the timely and efficient development of critical energy infrastructure, specifically the inter-state LPG pipeline. By exercising powers under the Petroleum and Minerals Pipeline (Acquisition of Right of User in Land) Act, 1962, the Central Government aimed to streamline the process of securing necessary land access for such projects. The Act itself provides a statutory framework for acquiring rights of user in land for pipelines, addressing the inherent challenges of obtaining consent from numerous landowners for linear projects spanning vast distances. This notification served to implement the provisions of the existing Act, moving from the initial declaration of intent to the final vesting of rights, thereby bridging the gap between policy formulation and practical execution for the pipeline's construction. The clear assignment of compensation liability to HPCL and the immunity granted to government bodies were designed to ensure project continuity and reduce potential administrative and legal hurdles, thereby promoting the unhindered progress of this significant energy transportation initiative.

Keywords: Petroleum and Minerals Pipeline Act, 1962, Right of User, Land Acquisition, LPG Pipeline, Hindustan Petroleum Corporation Limited, HPCL, Andhra Pradesh, Ananthapuramu, Ministry of Petroleum and Natural Gas

Geo Tags: India, Andhra Pradesh District: Ananthapuramu