Parliament Committee Approves Government Compensation for Takeover of Council Land

The Parliament’s Decentralisation Committee has approved a series of amendments to the Decentralisation of Administrative Areas Act, granting the central government expanded powers to acquire land managed by local councils for development purposes. The legislative shift follows a bill submitted by MP Abdul Hannan of the ruling People’s National Congress (PNC). The proposal allows the government to take over land under council jurisdiction to facilitate national development projects, ensuring that strategic infrastructure can be implemented without local bureaucratic delays. To balance these powers, the committee approved a critical amendment proposed by MP Ahmed Aifan. This provision mandates that the government must provide financial compensation for any investments already made on the land before it is transferred from a local council's jurisdiction. The responsibility for these payments will lie with the relevant ministry overseeing the project. Further changes grant the Cabinet the authority to exclude specific land or properties from a council’s jurisdiction entirely to streamline government initiatives. These amendments aim to reduce friction between central administration and local governance by formalizing the process of land acquisition. Under the new rules, local councils are now legally required to cooperate with development projects designed for the collective benefit of their communities. The amendments explicitly prohibit councils from unreasonably obstructing or making unilateral decisions that would halt government-led projects. These changes signal a significant shift in the balance of power between the central government and the decentralised administrative bodies, prioritizing national development goals while establishing a financial safety net for local council investments.