Short Title: THE PETROLEUM AND MINERALS PIPELINES (ACQUISITION OF RIGHT OF USER INLAND) ACT, 1962

Act No. of Year: ACT NO. 50 OF 1962

Enactment Date: [7th December, 1962.]

Act Objective: An Act to provide for the acquisition of right of user in land 1*[for laying pipelines for the transport of petroleum and minerals] and for matters connected therewith.


     1.	Short  title, extent  and application.	(1) This  Act  may  be
called the  2*[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	States
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 State or Union territory and with	effect from such date3* as may
be specified in	that notification and thereupon	the provisions of this
Act shall apply	to that	State or Union territory accordingly.
 
     2.	 Definitious.  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
----------------------------------------------------------------------
1    Subs. by  Act 13  of  1977,  s.  2,  for  "for  laying  petroleum
pipelines" (w.e.f. 3-2-1977).
2    Subs. by  s. 3,  ibid., for  "Petroleum Pipelines"	 (w.e.f.  3-2-
1977).
3    This Act  came into  force	in  the	State of Assam,	Kerala,	Madhya
Pradesh,  Maharashtra,	 Mysore	 and  Rajasthan	 from  12-6-1963  vide
Notification No. S.O.I 1689 dated 12-6-1963, Gazette of	India, Pt. II,
Sec. 3(ii),  p.	1945,  in the  State of	 Punjab	 from  16-8-1963  vide
Notification No. S.O. 2387, dated 16-8-1963, Gazette of	India, Pt. II,
Sec. 3 (ii),  p.  2799 and in the States of Orissa, Andhra Pradesh and
Madras with effect from	the 15th March,	1964, vide Notification	No. S.
O. 987,	 dated 10-3-1964,  Gazette of  India, Pt.  II, Sec.  3 (ii) p.
1214.



	       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 (1 of 1956); and

		    (ii) a company formed and registered under any law
	       relating	to  companies formerly in force	in any part of
	       India;

	  1*[(ba) "minerals" have the meanings assigned	to them	in the
	       Mines Act, 1952	(35 of 1952), and include mineral oils
	       and stowing sand	but do not include petroleum;]

	  (c) "petroleum"  has the  same meaning  as in	 the Petroleum
	       Act, 1934  (30 of  1934),  and includes natural gas and
	       refinery	gas;

	  (d) "prescribed"  means prescribed  by rules made under this
	       Act.
 
     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 2*[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.
 
     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
----------------------------------------------------------------------
1    Ins. by Act 13 of 1977, s.	4 (w.e.f. 3-2-1977).
2    Ins. by s.	5, ibid. (w.e.f. 3-2-1977).



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 of 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	crop, fence or
	      jungle; and

	  (f) to  do all  other	acts  necessary	to  ascertain  whether
	      pipelines can be	laid under the land:

     Provided that while exercising any	power under this section, such
person or  any servant or workman of such person shall cause as	little
damage or injury as possible to	such land.
 
     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 an	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.
 
     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  within the	 period	specified therein or where the
competent authority  has disallowed  the objections  under sub-section
(2) of	that section,  that  authority	shall,	as  soon  as  may  be,
2*[either make	a report  in respect  of the  land  described  in  the
notification under sub-section (1) of section 3, or make
----------------------------------------------------------------------
1    Ins. by Act 13 of 1977, s.	6 (w.e.f. 3-2-1977).
2    Subs. by s. 7, ibid. for certain words (w.e.f. 3-2-1977).



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 1*[, if satisfied that such land is required
for laying  any	 pipeline  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
1*[and different declarations may be made from time to time in respect
of different  parcels of the land described in the notification	issued
under sub-section (1) of section 3, irrespective of whether one	report
or different  reports have  been made by the competent authority under
this section].

     (2) On  the publication of	the declaration	under sub-section (1),
the right  of user  2*[in  the	land  specified	 therein]  shall  vest
absolutely in the Central Government free from all encumbrances.

     (3) Where	in respect of any land,	a notification has been	issued
under sub-section (1) of section 3 but 2*[no declaration in respect of
any parcel  of land  covered by	 that notification  has	been published
under this  section] within a period of	one year from the date of that
notification, that  notification shall	cease to  have effect  on  the
expiration of that period.

     1*[(3A) No	 declaration in	 respect of  any  land	covered	 by  a
notification issued  under sub-section	(1) of	section	 3,  published
after the  commencement	of  the	Petroleum  Pipelines  (Acquisition  of
Right of  User in  Land) Amendment  Act, 1977	(13 of 1977), shall be
made  after   the  expiry  of  three  years  from  the	date  of  such
publication.]

     (4) Notwithstanding  anything contained  in sub-section  (2), the
Central	Government  may, on  such terms	and conditions as it may think
fit to	impose,	direct	by order in writing, that the right of user in
the land  for laying  the pipelines  shall, instead  of	vesting	in the
Central	Government  vest, either  on the  date of  publication of  the
declaration or,	on  such  other  date  as  may  be  specified  in  the
direction, in the State Government or the corporation proposing to lay
the  pipelines and thereupon the right of such user in the land shall,	
subject	to  the  terms  and  conditions so imposed, vest in that State
Government  or  corporation,  as  the  case  may  be,  free  from  all
encumbrances.
----------------------------------------------------------------------
1    Ins. by Act 13 of 1977, s.	7 (w.e.f. 3-2-1977).
2    Subs. by s. 7, ibid., for certain words (w.e.f. 3-2-1977).

 
     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 servants and
	      workmen to  enter upon the land and lay pipelines or to
	      do any other act	necessary for the 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) any	land which is appurtenant to a dwelling	house;
           or

	       (d) any	land at	 a depth  which	is less	than one metre
	  from the surface; 1***.

	  2*[(ia) for laying pipelines for the transport of petroleum,
	       it shall	 be lawful  for	any  person authorised	by the
	       Central	Government   or	 such	State  Government   or
	       corporation to  use such	 land for laying pipelines for
	       transporting any	mineral	and where the right of user in
	       any  land  has  so  vested  for	laying	pipelines  for
	       transporting any	 mineral, it  shall be lawful for such
	       person to  use  such  land  for	laying	pipelines  for
	       transporting petroleum or any other mineral; and]

	  (ii) such  land shall	 be used only for laying the pipelines
	       and for	maintaining, examining,	repairing, altering or
	       removing	any  such pipelines or for doing any other act
	       necessary for  any of the aforesaid purposes or for the
	       utilisation of such pipelines.

     (2) If  any dispute  arises with regard to	any matter referred to
in paragraph (b) or paragraph (c) of the proviso to clause (i) of sub-
section	(1),  the dispute shall	be referred to the competent authority
whose decision thereon shall be	final.
----------------------------------------------------------------------
1    The word "and" omitted by Act 13 of 1977, s. 8 (w.e.f. 3-2-1977).
2    Ins. by s.	8, ibid. (w.e.f. 3-2-1977).

 
     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  the 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.
 
     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 that	land.

     (2) The  owner or	occupier of  the land under which any pipeline
has been  laid not  do any act or permit any act to be done which will
or is  likely to  cause	any  damage in	any manner  whatsoever to  the
pipeline.

     1*[(3) Where  the owner  or occupier  of the land with respect to
which a	declaration has	been made under	sub-section (1)	of section 6,-
-

	  (a) constructs any building or any other structure, or

	  (b) constructs  or excavates any well,  tank,  reservoir  or
              dam, or       

	  (c) plants any tree,
----------------------------------------------------------------------
1    Ins. by Act 13 of 1977, s.	9 (w.e.f. 3-2-1977).



on that	 land, the Court of the	District Judge within the local	limits
of whose jurisdiction such land	is situate may,	on an application made
to it  by the competent	authority and after holding such inquiry as it
may deem fit, cause the	building, structure, reservoir,	dam or tree to
be removed  or the well	or tank	to be filled up, and the costs of such
removal	or filling up shall be recoverable from	such owner or occupier
in the same manner as if the order for the recovery of such costs were
a decree made by that Court.]
 
     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
corporation, 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, be determined
by that	District Judge.

     (3)  The	competent  authority   or  the	District  Judge	 while
determining the	compensation under sub-section (1) or sub-section (2),
as the	case may  be, shall  have due  regard to  the damage  or  loss
sustained by any person	interested in the land by reason of--

	  (i) the  removal of  trees or	standing crops,	if any,	on the
	      land while  exercising  the  powers  under  section  4,
	      section 7 or section 8;

	  (ii) the  temporary severance	 of the	 land under  which the
	       pipeline	has  been laid	from other lands belonging to,
	       or in the occupation of,	such person; or

	  (iii)	any  injury to	any other property, whether movable or
	       immovable, or  the earnings  of such  persons caused in
	       any other manner:

     Provided that in determining the compensation no account shall be
taken of any structure or other	improvement made in the	land after the
date of	the notification under sub-section (1) of section 3.


     (4) Where the right of user of any	land has vested	in the Central
Government, the	 State Government  or  the  corporation,  the  Central
Government, the	 State Government  or the corporation, as the case may
be, shall, in addition to the compensation, if any, payable under sub-
section	(1),  be liable	 to pay	 to the	 owner and to any other	person
whose right  of	enjoyment in that land has been	affected in any	manner
whatsoever by  reason of  such vesting,	compensation calculated	at ten
per cent.  of the  market value	 of that  land	on  the	 date  of  the
notification under sub-section (1) of section 3.

     (5) The  market value  of the  land on  the said  date  shall  be
determined by  the competent  authority	and if the value so determined
by that	 authority is  not acceptable  to either  of the  parties,  it
shall, on  application by  either of the parties to the	District Judge
referred to in sub-section (2),	be determined by that District Judge.

     (6) The  decision of  the District	Judge under sub-section	(2) or
sub-section (5)	shall be final.
 
     11. Deposit  and payment  of  compensation.  (1)  The  amount  of
compensation determined	 under section	10 shall  be 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	the 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 the persons entitled thereto.

     (4) Where several persons claim to	be interested in the amount of
compensation deposited	under sub-section (1), the competent authority
shall determine	the persons who	in its opinion are entitled to receive
the compensation and the amount	payable	to each	of them.

     (5) If  any  dispute  arises  as  to  the	apportionment  of  the
compensation or	any part thereof or as to the persons to whom the same
or any part thereof is payable,	the competent authority	shall refer
the dispute to the decision of the District Judge within the limits of
whose jurisdiction  the	land  or any  part thereof is situated and the
decision of the	District Judge thereon shall be	final.
 
     12. Competent  authority to  have certain powers of civil courts.
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	(5  of 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.
 
     13. Protection  of	action	taken in  good	faith.	(1)  No	 suit,
proceeding 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.
 
     14. Bar  of jurisdiction  of  civil  courts.  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.
 
     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  not be  less than one year, but
which may extend to three years	and shall also be liable to fine.
 
     16. Certain  offence to  be cognizable.  Notwithstanding anything
contained in  the Code	of Criminal  Procedure,	1898  (5 of 1898),  an
offence	falling	under sub-section (2) of section 15 shall be deemed to
be cognizable within the meaning of that Code.
 
     17. Power	to make	 rules.	(1)  The Central  Government  may,  by
notification in	 the Offifficial  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  provide  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  session  or  in two or more successive sessions, and if 2*[before
the expiry of the session immediately following	the   session  or  the
successive sessions  aforesaid],  both  Houses  agree  in  making  any
modification in	the rule or both Houses	agree that the rule should not
be  made,  the rule shall thereafter have effect only in such modified
form or be of no effect, as the case may be; so however that any  such
modification  or  annulment shall be without prejudice to the validity
of anything previously done under that rule. 
     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.
----------------------------------------------------------------------
1    Subs. by  Act 13  of 1977,s. 10, for the word  "purposes" (w.e.f.
3-2-1977).
2    Subs. by s. 10, ibid., for	certain	words (w.e.f. 3-2-1977).