West Bengal is preparing to scrap the Urban Land (Ceiling and Regulation) Act, 1976, as the state government looks to unlock land for development and attract fresh investments. Finance Minister Swapan Dasgupta said the legislation has become a major constraint on large-scale industrial and infrastructure projects.
The Urban Land Ceiling Act placed limits on the amount of urban land that could be privately held and required surplus vacant land to be acquired by the government. West Bengal is among the few states where provisions of the law have continued to remain relevant.
The proposed reform is expected to make more land available for industrial, commercial and infrastructure development. The government has also indicated that it wants to make better use of vacant or underutilised properties, including old industrial sites, rather than putting additional pressure on agricultural land.
The move has been welcomed by sections of the real estate and business community, which have argued that removing land ceiling restrictions could facilitate larger housing projects, townships, commercial hubs and industrial developments. CREDAI West Bengal has previously called for the removal of the provisions to encourage investment and development.
The proposed repeal is therefore part of a broader effort by the West Bengal government to reform land-use rules and create conditions for increased investment and urban development.
