The authority must evaluate land suitability based on actual conditions regardless of its classification in the Settlement Register.

JUDGMENT

Dated this the 11^th day of February, 2026

1. Petitioner has filed this Writ Petition seeking direction to the Respondent No.1 to issue a No Objection Certificate under Rule 144 of the Petroleum Rules , 2002, relying on the BTR and not on the Settlement Register.

2. The Respondent No.5/Oil Marketing Company submitted an Application for NOC under Rule 144 of the Petroleum Rules , 2002, in order to enable the Petitioner to establish a Petroleum Retail Outlet on 30 cents of land in Re-Sy. Nos.217/7-2-1, 217/7-1, 217/7-5, 217/7-3-1 and 217/7-4-2 of Shakthikulangara Village for lease. The land is recorded as dry land in the BTR and paddy land in the Settlement Register. The contention of the Petitioner is that, relying on the Settlement Register, the Respondent No.2 is refusing to issue NOC, which is illegal.

3. The learned Government Pleader, with reference to the Statement filed on behalf of the Respondent No.1, contended that the land is a low-lying waterlogged one, and the neighboring land is also waterlogged, and a water channel has been passing near the proposed site, and hence the site is not suitable for establishing Petroleum Outlet. It is also stated that land is wrongly recorded as dry land in the BTR.

4. The Counsel for the Petitioner contended that the subject land happened to be on a lower level on account of the construction of the neighbouring road, resulting in waterlogging in the land.

5. The records and submissions reveal that the Application for NOC is still pending consideration before the Respondent No.2/ADM. It is for the Respondent No.2 to consider whether the land is suitable for starting a Petroleum Retail Outlet after getting comments from the concerned authorities mentioned in the Proforma No Objection Certificate under Rule 144 of the Petroleum Rules , 2002. If the Respondent No.2 finds that the land is suitable for starting a Petroleum Retail Outlet, NOC shall not be denied for the mere reason that in the Settlement Register the land is recorded as paddy land. The land is to be treated as recorded as dry land in the revenue records, in the light of the BTR, so long as it is not varied or modified. The suitability of the land on account of the waterlogging reported in Ext.P4 is a matter to be considered by the Respondent No.2 in light of the explanation from the Petitioner. The Respondent No.2 is free to take appropriate decision in this regard.

6. Accordingly, this Writ Petition is disposed of, directing the Respondent No.2 to consider and dispose of the ExtP3 Application submitted by the Respondent No.5 within a period of two months from the date of receipt of a copy of this judgment in accordance with the observations contained in this judgment.

Sd/-