- within Government and Public Sector topic(s)
- with readers working within the Law Firm industries
- within Environment, Intellectual Property and Employment and HR topic(s)
The Ministry of Power ("MoP"), Government of India, by its notification dated 15.12.2025 (uploaded on the MoP website on 20.01.2026), has notified amendments in supplementary guidelines for payment of compensation in regard to right of way ("RoW") for transmission lines1 ("Amended RoW Guidelines"), which was issued on 21.03.2025 ("Principal RoW Guidelines").
The Amended RoW Guidelines revise the land valuation methodology by directing the Market Rate Committee ("MRC") to engage land valuers empanelled with the Insolvency and Bankruptcy Board of India ("IBBI"), preferably from the same State or, where unavailable, from adjoining States. The MRC must appoint three valuers, i.e., one nominated by the representative of affected landowners, one by the transmission service provider ("TSP"), and one by the District Magistrate ("DM"). Further, the valuers are mandated to submit their valuation reports in sealed envelopes directly to the DM within 21 days of nomination. Thereafter, two valuation reports are to be selected through a lottery system for determining the reference market rate.
The Amended RoW Guidelines further provide that where the difference between the two selected valuations is less than 20% over the lower value, the average of the two values shall be adopted as the reference market rate. Where the difference exceeds 20% over the lower value, the reference rate may be fixed at 10% above the lower valuation, failing which the third valuer's report shall be considered, and the average of the two lowest valuations shall be taken. The assessed reference market rate shall form the basis for final compensation determination by the MRC. Additionally, professional fees of all valuers shall be borne by the TSP through a due process mechanism and treated as part of the RoW compensation cost.
Footnote
1 Amendments in Supplementary Guidelines for payment of compensation in regard to Right of Way for transmission lines.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
