Cabinet nods for new lease rules in Shimla

By Accommodation Times News Service

The state cabinet today approved the draft new lease rules to replace the controversial lease rules under the chairmanship of Chief Minister Virbhadra Singh.

The clause that allowed the lessee to sub-lease the land has been deleted and instead a provision permitting the lessee to get into an agreement to manage, operate and maintain the leased property has been made. The lease will not be necessarily granted for 99 years and the government will be competent to decide the period of lease.

As per the draft Himachal Pradesh Lease Rules, the government land will be provided on lease basis only in case no alternate private land is available. There will be condition on the lessee to utilize the land within a period of three years countable from the date of registration of lease deed.

Each department will have to fix their norms to ascertain the eligibility of lessee to undertake the proposed activity, the necessity of activity and the extent of area required for the purpose. Before granting land on lease basis, no objections of estate right holders will be obtained. The maximum area required for a specific purpose will be certified by the department concerned under which the activity for which lease of the government land is sought falls. The maximum area will be subject to provisions of the State Ceiling on Land Holdings Act, 1972.

The lease amount per annum will be charged at the rate of 10 per cent of the current circle rates notified by the collector of the district. However, in the case of hydroelectric projects which are exclusively reserved for bona fide Himachalis, it will be charged at the rate of 5 per cent. The lease amount will be increased by 5 per cent of the existing lease amount after every five years

The encroached government land will not be leased to the encroacher but it could be leased out to any eligible person or institutions after removing the encroachment. A provision has been made to lease out the government land for self-employment to ex-servicemen, war widows and BPL families.

The state government will have the powers to reduce the lease amount in the cases of persons affected by natural calamities and have lost their agricultural land and dwellings, landless and houseless persons, ex-service man, war widows, BPL families and differently-abled persons. It has also been proposed to lease out the government land for construction of residential house by landless Himachalis or for the rehabilitation for sufferers of natural calamities.


-Lessee will not be allowed to sub-lease the land
-Dept concerned to fix norms for eligibility of lessee
-Lessee will be required to utilize the land within three years
-Lease amount to be charged at 10% of current circle rates
-Lease amount to be raise by 5% after every 5 years

Similar Articles

Leave a Reply