Central Government Acquires Right of User in Andhra Pradesh Land for Visakh-Raipur Petroleum Pipeline

The Ministry of Petroleum and Natural Gas issued a Notification, S.O. 5079(E), on November 7, 2025, which formally acquired the Right of User in specific land parcels located in Anakapalli District, Andhra Pradesh. This delegated legislation, published in the Official Gazette on November 11, 2025, came into force upon its publication. The acquisition was made under the provisions of the Petroleum and Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962 (PMP Act, 1962), to facilitate the laying of a pipeline for the transportation of petroleum products by Hindustan Petroleum Corporation Limited (HPCL). This pipeline is intended to connect Visakh (Andhra Pradesh) to Raipur (Chhattisgarh), forming a crucial part of the national energy infrastructure.
The process for this acquisition commenced with an earlier notification, S.O. 133, dated January 27, 2025, also issued by the Ministry of Petroleum and Natural Gas, which declared the Central Government's intention to acquire the Right of User in the specified land. Copies of this initial notification were made available to the public on July 17, 2025. Following this, the Competent Authority, acting under sub-section (1) of section 6 of the PMP Act, 1962, submitted a detailed report to the Central Government. After reviewing this report and confirming the necessity of the land for the pipeline project, the Central Government proceeded with the formal acquisition. The Right of User, in this context, refers to the right to use the land for the specific purpose of laying and maintaining a pipeline, without acquiring full ownership of the land itself.
Exercising the powers conferred by sub-section (1) of section 6 of the PMP Act, 1962, the Central Government declared the Right of User in the scheduled land as acquired. Furthermore, under sub-section (4) of section 6 of the same Act, the Central Government directed that this Right of User would vest directly in Hindustan Petroleum Corporation Limited upon the publication of this declaration, free from all encumbrances. The legislation provided: “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 this declaration, in Hindustan Petroleum Corporation Limited, free from all encumbrances”. This provision clarifies that HPCL bears the exclusive liability for any compensation due to affected landowners, as stipulated by Section 10 of the PMP Act, 1962. Additionally, Section 13 of the Act ensures that no suit, claim, or legal proceeding can be initiated against the Central Government concerning any matter related to the pipeline.
The legislative intent behind such notifications, rooted in the PMP Act, 1962, is to establish a streamlined and legally sound mechanism for the acquisition of rights over land essential for national infrastructure projects, particularly those involving petroleum and natural gas pipelines. The earlier legal position recognized the need for such projects but required a specific framework to balance public utility with private property rights. The PMP Act addresses statutory gaps by providing a clear procedure for acquiring a "Right of User" rather than outright ownership, thereby minimizing displacement and ensuring fair compensation. This approach facilitates the timely execution of critical energy transportation projects, which are vital for economic development and energy security. The notification ensures that while landowners retain ownership, their land can be utilized for a public purpose, with a defined compensation structure and clear responsibilities for the implementing agency, HPCL, thus preventing potential delays and legal ambiguities in project execution.
Keywords: Petroleum Pipeline, Right of User, Land Acquisition, Anakapalli, Hindustan Petroleum Corporation Limited, PMP Act 1962, Energy Infrastructure, Notification
Geo Tags: India, Andhra Pradesh
District: Anakapalli