Land record digitisation step in right direction: Real estate sector

Finance minister Nirmala Sitharaman proposed digitising land records nationwide, with a unique identification number for land in rural areas and GIS mapping for urban areas in the Budget.

Mumbai: The initiative to digitise land records, which is already in place in Maharashtra, could now be replicated across the country. Union finance minister Nirmala Sitharaman on Thursday proposed implementing a unique identification number for land, or ‘Bhu-Aadhaar’, in rural areas and digitisation of all urban land records, as part of several land-related reforms in the Budget.

Navi Mumbai, India - May 26, 2023:Villagers oppose CIDCO land acquisition plan in Uran in Navi Mumbai, India, on Friday, May 26, 2023. (Photo by Bachchan Kumar/ HT PHOTO) (HT PHOTO)

Sitharaman said the Centre would work with states to carry out these land reforms, both in rural and urban areas. The Centre would provide fiscal support to incentivise states to complete these reforms within the next three years.

On rural land-related actions, she said these would include assigning a Unique Land Parcel Identification Number (ULPIN) or Bhu-Aadhaar for all lands, digitising cadastral maps, surveying map sub-divisions as per current ownership, establishing a land registry, and linking to the farmers’ registry.

On urban land-related actions, Sitharaman said, “Land records in urban areas will be digitised with GIS mapping. An IT-based system for property record administration, updating, and tax administration will be established. These will also facilitate improving the financial position of urban local bodies.”

Experts from the real estate fraternity said mapping of land records is important, and the initiative to digitise it through GIS mapping will help create sturdy documentation. Moreover, it will also provide necessary details about the land for buyers – flat owners as well as land owners.

“Budgetary announcements relating to land record digitization in urban areas with the help of GIS mapping have the potential to enhance the confidence of home-buyers and usher in further transparency in residential real estate,” said Vimal Nadar, senior director and head of research at real estate company Colliers India.

Land governance in Indian cities is a complex issue due to limited land availability, outdated land records, and the involvement of multiple stakeholders. As urban areas continue to grow and evolve, the need for efficient, transparent, and accurate land management becomes increasingly critical, experts said.

“The focus on land digitisation in urban areas is a step in the right direction, as it will not only bring transparency but also reduce disputes and ambiguity,” said Anand Moorthy, Business Head, Data Intelligence and Asset Management at proptech firm Square Yards. “By modernising land records using tools such as GIS, the process will be streamlined and there will be reliability in land dealings.”

With ₹10 lakh crore being allocated for the development of 30 million additional houses under the Pradhan Mantri Awas Yojana (affordable housing scheme), construction activity is expected to increase in urban and rural areas. The housing needs of 10 million urban poor and middle-class families will be addressed with an investment of another ₹10 lakh crore, the finance minister said.