Karnataka hikes compensation for Upper Krishna Project land acquisition; landowners to get up to ₹40 lakh per acre
File picture of Karnataka Deputy Chief Minister D.K. Shivakumar. The Upper Krishna Project aims to provide irrigation to drought-prone districts in northern Karnataka, including Kalaburagi, Yadgir, Raichur, Vijayapura, and Bagalkot.
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TH
The Karnataka government has fixed compensation of ₹30–₹40 lakh per acre for land being acquired under Phase-3 of the Upper Krishna Project (UKP), which aims to provide irrigation to drought-prone districts in northern Karnataka, including Kalaburagi, Yadgir, Raichur, Vijayapura, and Bagalkot.
The project requires the acquisition of 1.33 lakh acres, of which 75,563 acres will be submerged, 51,837 acres will be used for canals, and 6,467 acres will be set aside for rehabilitation.
Deputy Chief Minister D.K. Shivakumar, who also holds the irrigation portfolio, announced on Tuesday that landowners of irrigated land will receive ₹40 lakh per acre, owners of arid land ₹30 lakh, and land acquired for canals ₹25 lakh per acre. This is significantly higher than the compensation fixed by the previous Bommai government, which had offered ₹24 lakh per acre for irrigated land and ₹20 lakh per acre for arid land, he said.
Shivakumar added that the revised compensation package, estimated to cost the exchequer around ₹70,000 crore, was finalised in consultation with farmers, local representatives, and ministers. The government plans to complete the land acquisition process in three years, through direct purchase from farmers.
The project requires 1,33,867 acres, including 75,563 acres that will be submerged, 51,837 acres for canals, and 6,467 acres for rehabilitation. Land acquisition will be carried out under the 2013 Land Acquisition Act. Around 20,000 disputes linked to earlier acquisitions, will be resolved through arbitration, while undisputed parcels will be purchased directly.
The state will also frame a new rehabilitation policy and constitute a Land Acquisition, Rehabilitation and Compensation Authority, led by a judge appointed by the Chief Justice of the Karnataka High Court, as provided under Section 51 of the 2013 Act.
Published on September 16, 2025
