Tuesday, September 12 2006 16:50 Hrs (IST) - World Time -

Ranchi: The Arjun Munda Government has cleared a rehabilitation policy aimed at giving a fillip to industrialisation in the state.

The cabinet on yesterday (Sept 12, 2006) night gave the nod to the rehabilitation policy, under which landholders would be made to willingly part with their land to make way for setting up industries, the government said.

"The new rehabilitation policy will facilitate the investors to set up industries in the state. The policy is friendly to people whose lands will be acquired for industries," said Chief Minister Arjun Munda.

The Jharkhand government has signed memorandums of understanding (MoUs) with more than 45 companies in steel, mining, power and other sectors in the last two years. These companies, including Mittal Steel and Tata Steel, are to pump in more than Rs.2.2 trillion in the state to set up industries.

The policy was announced as protests over impending displacements were gaining momentum in the state. The opposition parties and some organisations had protested the displacement.

Giving details of the policy, state cabinet secretary Aditya Swaroop said, "The price for land and houses has been increased substantially by the government under the rehabilitation policy. The displaced people will get preferential shares in the industries."

The displaced people can buy shares worth 50 percent of the price of their land to be given to a company.

The government will offer land in exchange for land to displaced people and Rs.150,000 to construct houses. It also has a provision for one-time compensation for the displaced people.

The companies will help in the rehabilitation of the displaced people, besides providing jobs in the company. The firms will impart vocational training to displaced people so that they can be suitably absorbed in the company.