PETROLEUM AND MINERALS PIPELINES ACQUISITION OF RIGHT OF USER IN LAND ACT, 1962

S.1 Short title, extent and application

       (1) This Act may be called the 1[Petroleum and Minerals Pipelines] (Acquisition of Right of User in Land) Act, 1962.
       (2) It extends to the whole of India except the State of Jammu and Kashmir.
       (3) It applies in the first instance to the whole of the State of West Bengal, Bihar, Uttar Pradesh and Gujarat and the Union territory of Delhi; and the Central Government may, by notification in the Official Gazette, declare that this Act shall also apply to such other State2 or Union territory and with effect from such date as may be specified in that notification and thereupon provisions of this Act shall apply to that State or Union territory accordingly.

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       1. Subs. by Act 13

S.2 Definitions

       In this Act, unless the context otherwise requires,—
       (a) “competent authority” means any person or authority authorised by the Central Government, by notification in the Official Gazette, to perform the functions of the competent, authority under this Act 1[and different persons or authorities may be authorised to perform all or any of the functions of the competent authority under this Act in the same area or different areas specified in the notification];
       (b) “corporation” means any body corporate established under any Central, Provincial or State Act, and includes—
       (i) a company formed and registered under the Companies Act, 1956; and
       (ii) a company formed and registered under any law relating to companies formerly in force in any part of

S.3 Publication of notification for acquisition

       (1) Whenever it appears to the Central Government that it is necessary in the public interest that for the transport of petroleum 1[or any mineral] from one locality to another locality, pipelines may be laid by that Government or by any State Government or a corporation and that for the purpose of laying such pipelines, it is necessary to acquire the right of user in any land under which such pipelines may be laid, it may, by notification in the Official Gazette, declare its intention to acquire the right of user therein.
       (2) Every notification under sub-section (1) shall give a brief description of the land.
       (3) The competent authority shall cause the substance of the notification to be published at such places and in such manner as may be prescribed.

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S.4 Power to enter, survey, etc

       On the issue of a notification under sub-section (1) of section 3, it shall be lawful for any person authorised by the Central Government or by the State Government or the corporation which proposes to lay pipelines for transporting petroleum 1[or any mineral] and his servants and workmen—
       (a) to enter upon and survey and take levels of any land specified in the notification;
       (b) to dig or bore into the sub-soil;
       (c) to set out the intended line or work;
       (d) to mark such levels, boundaries and line by placing marks and cutting trenches;
       (e) where otherwise survey cannot be completed and levels taken and the boundaries and line marked, to cut down and clear away any part of any standing cr

S.5 Hearing of objections

       (1) Any person interested in the land may, within twenty-one days from the date of the notification under sub-section (1) of section 3, object to the laying of the pipelines under the land.
       (2) Every objection under sub-section (1) shall be made to the competent authority in writing and shall set out the grounds thereof and the competent authority shall give the objector and opportunity of being heard either in person or by a legal practitioner and may, after hearing all such objections and after making such further inquiry, if any, as that authority thinks necessary, by order either allow or disallow the objections.
       (3) Any order made by the competent authority under sub-section (2) shall be final.

Legal Commentary on Section 5 of the Petroleum and Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962

Introduction

Section 5 of the Petroleum and Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962, prescribes the procedure for hearing objections from landowners or interested parties before the acquisition of right of user in land for laying pipelines. It ensures that affected persons are given an opportunity to be heard, safeguarding principles of natural justice and statutory fairness in land acquisition processes related to pipeline projects.

What does Section 5 Say

Section 5 mandates that upon publication of a notification under Section 3(1), the competent authority must afford an opportunity to interested persons to submit objections within a specified period. The authority is then required to consider these objections, make an inquiry, and either allow or disallow them. The process ensures transparency and participation of landowners before the final declaration of acquisition under Section 6.

Essential Ingredients

Notice and Opportunity: The authority must serve a notice to interested persons, providing them an opportunity to submit objections.
Time Frame: Objections must be filed within the period prescribed, generally 21 days from the notice.
Consideration of Objections: The authority must consider objections, conduct inquiries, and record findings.
Decision and Communication: The authority must communicate its decision to allow or disallow objections, ensuring that landowners are aware of the outcome.
Fair Procedure: The process must be in accordance with principles of natural justice, including hearing and proper consideration.

Scope of Section 5

Applies to all cases where the government or authorized authority intends to acquire land for pipelines.
Ensures landowners are given a fair hearing before the declaration under Section 6.
The section is procedural, setting the framework for objections, inquiries, and decisions.
It safeguards landowners' rights against arbitrary or unilateral actions by authorities.
It is applicable whether the land is agricultural, residential, or for other uses, subject to exemptions under Section 7.

Punishment for Section 5

Section 5 itself does not prescribe punishment. However, failure to follow the prescribed procedure—such as not providing notice, denying opportunity of hearing, or acting in violation of natural justice—can render the entire acquisition process invalid, leading to legal consequences including quashing of notifications or declarations, and potential civil or constitutional remedies for affected landowners.

Legal Comments

Opportunity of Hearing - Section 5 mandates that the competent authority must provide an effective opportunity to landowners to submit objections before proceeding with declaration under Section 6. Failure to do so violates natural justice principles. [Mastopha Ahmed S/o. Late Moktar Ahmed @ Moktar Ali VS Union of India, Represented by the Secretary to the Govt. of India, Ministry of Petroleum and Natural Gas]
Procedural Fairness - The section emphasizes that the process must be transparent and fair, including proper service of notices and consideration of objections, aligning with constitutional mandates under Articles 14 and 21. [Oil and Natural Gas Corporation Ltd. VS Biplab Deb Roy, son of late Rabindra Ch. Deb Roy]
Time Limit for Objections - Objections must be filed within the prescribed period (generally 21 days), and delay beyond this can lead to rejection, unless sufficient cause is shown for condonation. [Meera R. Nair, W/o. Sandeep Pillai and D/o. Radhakrishnan Nair VS State of Kerala, Rep. by Add. Chief Secretary to Government, Government Secretariat]
Inaction and Violation - Non-compliance with Section 5, such as neglecting to afford a hearing, can invalidate subsequent proceedings, including the declaration under Section 6, as held in various judgments. [Oil and Natural Gas Corporation Ltd. VS Biplab Deb Roy, son of late Rabindra Ch. Deb Roy]
Scope of Inquiry - The authority must conduct an inquiry based on objections, considering the merits and facts, before passing a final order, ensuring that objections are not dismissed arbitrarily. [K. Srinivasulu VS Hindustan Petroleum Corporation Limited]
Right to be Heard - The section enshrines the constitutional right to be heard, which must be exercised in a meaningful manner; denial of hearing can be a ground for judicial review. [Deputy Collector - Competent Authority, Gail (India) Limited VS Ahmad Kutty S/o Ibrahim]
Violation of Procedure - If the authority acts without considering objections or fails to record reasons, the entire acquisition process can be challenged as illegal or arbitrary under Article 226. [Bomma Vanitha VS Union of India]
Role of Judicial Review - Courts have held that failure to follow the procedure under Section 5 can be a ground for quashing the notification or declaration, emphasizing that procedural lapses vitiate the process. [Raj Dilawarsinh Chandrasinh's Heirs Mahendrasinh VS Gail (Gas Authority of India Ltd. )]
Natural Justice and Fair Play - The obligation to provide an opportunity of hearing aligns with fundamental rights under Articles 14 and 21, and any breach can be rectified by judicial intervention. [K. M. Francis VS Union of India, represented by The Secretary To Ministry of Petroleum & Natural Gas, New Delhi]
Effect of Non-Compliance - If the authority does not consider objections or acts in violation of Section 5, courts can set aside the entire acquisition process or direct fresh proceedings. [Appasani Babu Rao VS Union of India, Rep. by its Secretary, Ministry of Petroleum & Chemicals, New Delhi]
Time-bound Process - The process under Section 5 is time-sensitive; delays without valid reasons can be detrimental to landowners’ rights and may be challenged in courts. [Anil Baruah VS State Of Assam And Ors. Rep. By The Commissioner Of Industries And Commerce Udyog Bhawan Baminimaidam Gauhati]
Legal Safeguard for Landowners - Section 5 provides a safeguard against arbitrary exercise of power by authorities, ensuring that the land acquisition process is just, fair, and in accordance with law. [NAGINBHAI AMBALALBHAI PATEL VS SPECIAL LAND ACQUISITION OFFICER]
Inclusion of Interested Parties - The section covers all persons interested in the land, including tenants, encumbrancers, and owners, mandating their participation in objections. [M.somasundaram Vs Union Of India'>M.Somasundaram vs Union of India]
Scope of Finality - The decision of the authority under Section 5, if taken without proper procedure, is not final and can be challenged in a writ petition under Article 226. [Appasani Babu Rao VS Union of India, Rep. by its Secretary, Ministry of Petroleum & Chemicals, New Delhi]
Legal Principle - The requirement of affording a hearing is non-negotiable; any deviation or omission constitutes illegality, which can be rectified by judicial review. [Arunkumar S/o Shri Narasimha Shetty VS State of Karnataka066 Represented by its Managing Director]
Judicial Precedent - Courts have consistently held that failure to follow Section 5 procedures invalidates subsequent proceedings, reaffirming the importance of compliance with statutory safeguards. [Government of Tamil Nadu VS Gail India Limited]
Implication of Breach - Breach of Section 5 procedure can lead to the entire acquisition being set aside, emphasizing that procedural fairness is integral to validity. [Tarani Debbarma, son of late Sukramani Debbarma VS Oil and Natural Gas Corporation Ltd. ]
Protection against Arbitrary Action - Section 5 acts as a safeguard against arbitrary or unilateral decisions, reinforcing the rule of law in land acquisition for pipelines. [K. M. Francis VS Union of India, represented by The Secretary To Ministry of Petroleum & Natural Gas, New Delhi]
Legal Remedy - Landowners aggrieved by violation of Section 5 can seek remedy through writ petitions, asserting violation of constitutional rights and procedural safeguards. [Raj Dilawarsinh Chandrasinh's Heirs Mahendrasinh VS Gail (Gas Authority of India Ltd. )]

Summary

Section 5 of the PMP Act is a procedural safeguard ensuring landowners are given a fair opportunity to oppose pipeline projects. Its breach can invalidate the entire acquisition process, and courts have consistently reinforced the necessity of compliance with its provisions, aligning with constitutional principles of natural justice and fairness. The section underscores the importance of transparency, proper service of notices, timely filing of objections, and fair consideration, serving as a bulwark against arbitrary land acquisition under the guise of public interest projects like pipelines.

Note: All references are drawn from the provided sources, which include judgments, legal principles, and authoritative interpretations of the relevant provisions.

S.6 Declaration of acquisition of right of user

(1) Where no objections under sub-section (1) of section 5 have been made to the competent authority with the period specified therein or where the competent authority has disallowed the objection under sub-section (2) that section, the authority shall, as soon as may be 1[either make a report in respect of the land described in the notification under such-section (1) of section 3, or make different reports in respect of different parcels of such land, to the Central Government containing his recommendations on the objections, together with the record of the proceedings held by him, for the decision of that Government] and upon receipt of such report the Central Government shall, 2[if satisfied that such land is required for laying any pipelines for the transport of petroleum or any mineral] declare, by notification in the Official Gazette, that the right of user in the land for laying the pipelines should be acquired 3[and d

S.7 Central Government or State Government or Corporation to lay pipelines

       (1) Where the right of user in any land has vested in the Central Government or in any State Government or Corporation under section 6—
       (i) it shall be lawful for any person authorised by the Central Government or such State Government or Corporation, as the case may be, and his servant and workmen to enter upon the land and lay pipelines or to do any other act necessary for laying of pipelines:
        Provided that no pipeline shall be laid under—
       (a) any land which, immediately before the date of the notification under sub-section (1) of section 3, was used for residential purposes;
       (b) any land on which there stands any permanent structure which was in existence immediately before the said date;
       (c)

S.8 Power to enter land for inspection etc

       For maintaining, examining, repairing, altering or removing any pipeline, or for doing any other act necessary for the utilisation of the pipelines or for the making of any inspection or measurement for any of the aforesaid purposes, any person authorised in this behalf by the Central Government, the State Government or the corporation, as the case may be, may, after giving reasonable notice to the occupier of the land under which pipeline has been laid, enter therein with such workmen and assistants as may be necessary:
       Provided that, where such person is satisfied that an emergency exists, no such notice shall be necessary:
       Provided further that, while exercising any powers under this section, such person or any workman or assistant of such person, shall cause as little damage or injury as possible to such land.

S.9 Restrictions regarding the use of land

       (1) The owner or occupier of the land with respect to which a declaration has been made under sub-section (1) of section 6, shall be entitled to use the land for the purpose for which such land was put to use immediately before the date of the notification under sub-section (1) of section 3:
       Provided that, such owner or occupier shall not after the declaration under sub-section (1) of section 6—
       (i) construct any building or any other structure;
       (ii) construct or excavate any tank, well, reservoir or dam; or
       (iii) plant any tree,
       on the land.
       (2) The owner or occupier of the land under which any pipeline has been laid shall not do any act or permit

S.10 Compensation

       (1) Where in the exercise of the powers conferred by section 4, section 7, or section 8 by any person, any damage, loss or injury is sustained by any person interested in the land under which the pipeline is proposed to be, or is being or has been laid the Central Government, the State Government or the Corporations as the case may be, shall be liable to pay compensation to such person for such damage, loss or injury, the amount of which shall be determined by the competent authority in the first instance.
       (2) If the amount of compensation determined by the competent authority under sub-section (1) is not acceptable to either of the parties, the amount of compensation shall, on application by either of the parties to the District Judge within the limits of whose jurisdiction the land or any part thereof is situated, by determined by that District Judge.
    &

S.11 Deposit and payment of compensation

       (1) The amount of compensation determined under section 10 shall deposited by the Central Government, the State Government or the Corporation, as the case may be, with the competent authority within such time and in such manner as may be prescribed.
       (2) If the amount of compensation is not deposited within the time prescribed under sub-section (1), the Central Government, the State Government or the Corporation, as the case may be, shall be liable to pay interest thereon at the rate of six per cent per annum from the date on which the compensation had to be deposited till the date of actual deposit.
       (3) As soon as may be after the compensation has been deposited under sub-section (1), the competent authority shall, on behalf of the Central Government, the State Government or the Corporation, as the case may be, pay the compensation to t

S.12 Competent authority to have certain powers of civil court

       The competent authority shall have, for the purposes of this Act, all the powers of a civil court while trying a suit under the Code of Civil Procedure, 1908, in respect of the following matters, namely:—
       (a) summoning and enforcing the attendance of any person and examining him on oath;
       (b) requiring the discovery and production of any document;
       (c) reception of evidence on affidavits;
       (d) requisitioning any public record from any court or office;
       (e) issuing commission for examination of witnesses.

S.13 Protection of action taken in good faith

(1) No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Act or any rule or notification made or issued thereunder.
(2) No suit or other legal proceeding shall lie against the Central Government, the competent authority or any State Government, or Corporation for any damage, loss or injury caused or likely to be caused by anything which is in good faith done or intended to be done in pursuance of this Act or any rule or notification made or issued thereunder.

S.14 Bar of jurisdiction of civil court

Save as otherwise expressly provided in this Act, no civil court shall have jurisdiction in respect of any matter which the competent authority is empowered by or under this Act to determine and no injunction shall be granted by any court or other authority in respect of any action taken or proposed to be taken in pursuance of any power conferred by or under this Act.

S.15 Penalty

(1) Whoever wilfully obstructs any person in doing any of the acts authorised by section 4 or section 7 or section 8 or wilfully fills up, destroys, damages or displaces any trench or mark made under section 4 or wilfully does any act prohibited under section 9, shall be punishable with imprisonment which may extend to six months or with fine or with both.
(2) Whoever wilfully removes, displaces, damages or destroys any pipeline laid under section 7, shall be punishable with rigorous imprisonment for a term which shall be less, than one year, but which may extend to three years and shall also be liable to fine.

S.16 Certain offence to be cognizable

Notwithstanding anything contained in the Code of Criminal Procedure, 1898, an offence falling under sub-section (2) of section 15 shall be deemed to be cognizable within the meaning of that Code.

S.17 Power to make rules

       (1) The Central Government may by notification in the Official Gazette, make rules for carrying out the 1[provisions] of this Act.
       (2) In particular and without prejudice to the generality of the foregoing power, such rules may prove for all or any of the following matters namely:—
       (a) the places at which and the manner in which the substance of the notification may be published under sub-section (3) of section 3;
       (b) the time within which and the manner in which the amount of compensation may be deposited under sub-section (1) of section 11.
       (3) Every rule made under this Act shall be laid as soon as may be after it is made before each House of Parliament while it is in session for a total period of thirty days which may be comprised in one s

S.18 Application of other laws not barred

The provisions of this Act shall be in addition to, and not in derogation of, any other law for the time being in force relating to acquisition of land.