The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (RFCTLARR Act, 2013) is an Act of the Indian Parliament that governs the process of land acquisition by the government or private entities. It received the President's assent on September 27, 2013, and came into force on January 1, 2014. The Act was created to replace the colonial-era Land Acquisition Act, 1894, which was criticized for its state-centric approach, inadequate compensation, and lack of provisions for the rehabilitation of affected persons.
The Act mandates a humane, participative, and transparent process for land acquisition. A key mechanism is the requirement for a Social Impact Assessment survey before acquisition. It ensures fair compensation, which is calculated as four times the market value in rural areas and twice the market value in urban areas. For acquisition by private companies or Public-Private Partnerships (PPPs), the Act requires the consent of 80 per cent of the affected families. Crucially, it includes mandatory provisions for Rehabilitation and Resettlement (R&R) for all affected families, including the landless, not just the landowners. A significant provision is Section 101, which allows for the return of acquired land to the original owners if it remains unused for five years from the date of possession. The Act replaced the Land Acquisition Act, 1894, but its provisions do not apply to acquisitions under 16 existing legislations, such as the Special Economic Zones Act, 2005, and the Railways Act, 1989.