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Himachal assembly winter session: Govt proposes amendment in Section 118 provisions of Land Tenancy Act
The bill seeking these amendments, the Himachal Pradesh Tenancy and Land Reforms (Amendment) Bill, 2025, was introduced in the Himachal legislative assembly during the fifth day of its winter session on Tuesday
Aimed to promote private investment to strengthen the economy, the Himachal Pradesh government has proposed amendments in the provisions of Section 118 of the Himachal Pradesh Tenancy and Land Reforms Act, 1972, which regulates the transfer of land to non-agriculturists.
The bill seeking these amendments, the Himachal Pradesh Tenancy and Land Reforms (Amendment) Bill, 2025, was introduced in the Himachal legislative assembly during the fifth day of its winter session on Tuesday. The bill was introduced by revenue minister Jagat Singh Negi, and will come up for discussion in the coming days of the ongoing assembly session.
According to the bill, the short-term lease of buildings up to ten years have been proposed to be exempted from the purview of Section 118, to promote business activity in rural areas. Also, the existing exemption relating to purchase of land and flats from Himachal Pradesh Housing and Urban Development Authority is proposed to be extended to subsequent purchasers. An exemption is further proposed for the non-agriculturists purchasing completed buildings or flats developed by private real estate developers.
“While preserving the core intent of Section 118, certain provisions require simplification and new enabling measures are necessary to facilitate genuine investment. It has been observed that, in many cases, investors who acquire land with bona fide intent are unable to complete projects within the stipulated period due to factors beyond their control. To address such genuine constraints a mechanism for extension of time, on payment of a prescribed penalty has been proposed,” the bill states.
Further, the bill also states that the co-operative movement covers almost every village, and most co-operative societies consist predominantly of agriculturist members. However, being separate legal entities, neither such societies can purchase land as agriculturists, nor their agriculturist members can transfer their own land to such societies for genuine economic activities. Nearly twenty lakh people are associated with the co-operative movement in the state. “Allowing co-operative societies composed entirely of agriculturist members to acquire land without permission under section 118 will not only enable agriculturists to undertake new ventures by utilising their own land, but will also contribute to employment generation, increase per capita income, and strengthen the state’s economy. As most societies are transitioning into multipurpose societies, they will have greater opportunity to undertake economically beneficial projects for their members and the state,” revenue minister Jagat Singh Negi states in the statement of the bill.
Amendments proposed in Shops and Commercial Establishments Act
Meanwhile, the Himachal Pradesh Shops and Commercial Establishment (Amendment) Bill 2025, was also introduced in the house by Industries minister Harshwardhan Chauhan. The bill seeks to amend the Himachal Pradesh Shops and Commercial Establishments Act, 1969 which was enacted over 50 years ago to regulate the conditions of work and employment in shops and commercial establishments.
“Section 7 of the Act, presently restricts overtime work to 50 hours in a quarter. It is proposed to enhance this limit to one hundred and 44 hours per quarter, subject to the payment of overtime remuneration at twice the normal hourly wages, so as to provide employees with greater earning opportunities. Further, while the act currently mandates registration for all establishments, it is proposed to limit this requirement to the establishments employing ten or more persons. This rationalisation is expected to facilitate ease of doing business in the state. Hence, it has become expedient to amend the Himachal Pradesh Shops and Commercial Establishments Act, 1969,” the bill states in its objective.
