Srikakulam: Crisis of confidence, partly resulting from procedural delay in announcing compensation for the lands to be acquired for phase II of the stage II of Vamsadhara project seems to be the main reason for heartburn of project oustees who have been on a warpath.

There is enough money for payment of compensation to the lands that would get submerged under the project.

For the balancing reservoir at Parapuram a little over 600 acres have to be acquired. For this the Government had released Rs.12 crore, which is more than enough, say officials concerned.

The problem of quantum of compensation also seems to be the result of communication gap.

The oustees have been demanding payment of Rs. 2 lakh an acre for the submerged lands. But talks with the farmers reveal that they are likely to be agreeable for payment anything above Rs.1.50 lakh per acre.

The Land Acquisition Officer had fixed a rate of Rs. 67,000 an acre for the wetlands and Rs. 55,000 for dry lands. But the oustees are eligible for payment of 30 per cent of fixed rate.

Now the farmers could also appeal to the District Level Negotiating Committee (DLNC), headed by the District Collector. The DLNC has the power to enhance the compensation by 50 per cent.

The expected compensation comes to nearly Rs.1.50 lakh per acre, it was pointed out by the officials.

Payment date

Joint Collector M. Veerabrahmaiah said that certain procedures had to be followed before fixing the quantum of compensation.

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