Published On:
February 11, 2026
Updated On:
February 11, 2026
Noida Authority is shifting from mandatory land acquisition to a new Land Pooling Policy, offering farmers 25% of developed land and monthly rental income. This strategic move aims to fast-track the "New Noida" project, reduce litigation, and turn landowners into stakeholders in the region's industrial growth.
For decades, the story of urban development in the National Capital Region (NCR) has been marred by a recurring conflict: the battle between authorities seeking land for infrastructure and farmers demanding fair compensation. The courts are clogged with petitions, and ambitious projects often stall for years due to land disputes. However, a significant policy shift is on the horizon that promises to rewrite this narrative.
The Noida Authority is set to introduce a comprehensive Land Pooling Policy, a move designed to acquire land for the ambitious "New Noida" (Dadri-Noida-Ghaziabad Investment Region or DNGIR) and other industrial projects without the friction of traditional acquisition. By making farmers partners in development rather than just sellers, the authority aims to unlock a massive land bank while ensuring long-term prosperity for the local community.
To understand the significance of this policy, one must look at the history of land acquisition in Gautam Buddh Nagar. Traditionally, the government acquired land under the Land Acquisition Act, paying farmers a one-time fixed rate. While this provided immediate cash, it often left farmers feeling shortchanged as land prices skyrocketed post-development. The result? Endless protests, demands for higher compensation (like the famous 64.7% hike demand), and legal stays that paralyzed development.
The new Land Pooling Policy attempts to solve this trust deficit. Instead of a "take-it-and-leave" approach, the policy invites farmers to voluntarily pool their land. In exchange, they don't just get cash; they get a stake in the future city.
The policy is built on a simple yet powerful premise: return developed land to the original owner. According to the framework approved by the Uttar Pradesh government, farmers who opt for land pooling will receive 25% of the total land area back after it has been developed by the authority.
This means if a farmer pools 4 acres of agricultural land, they will receive 1 acre of fully developed, infrastructure-ready land. This returned land is not just a barren plot; it comes with roads, sewage, electricity, and connectivity, significantly inflating its market value compared to the original agricultural fields.
The 25% developed land that is returned to the farmer is not a monolithic block. To ensure that farmers can monetize their assets effectively, the policy prescribes a specific usage ratio for this returned land. The breakdown is as follows:
This mixed-use approach ensures that a farmer transforms from an agriculturalist into a real estate asset holder with a diversified portfolio.
A major concern with land pooling is the "gestation period"—the time between handing over the land and receiving the developed plot. How does a farmer survive when their primary source of income (farming) is stopped?
Addressing this, the Noida Authority has proposed a subsistence allowance. Farmers will receive a monthly rent of approximately ₹5,000 per acre. This financial cushion ensures that their livelihood is not disrupted while the authority develops the infrastructure.
While the policy applies to various pockets of land, its immediate and most critical application is for the Dadri-Noida-Ghaziabad Investment Region (DNGIR), popularly known as New Noida.
This massive project spans over 20,000 hectares and covers nearly 80 villages across Gautam Buddh Nagar and Bulandshahr. The vision for New Noida is to create a world-class industrial township that rivals the existing Noida but with better planning and smarter infrastructure.
However, acquiring land across 80 villages using the old Land Acquisition Act would be a logistical and legal nightmare. The Land Pooling Policy is the key to unlocking this region. By offering a partnership model, the Authority hopes to swiftly aggregate land without the resistance that plagued the Yamuna Expressway or the earlier Noida Extension projects.
For a farmer, the decision boils down to math: Is it better to take the cash today or wait for the land?
The Cash Option:Currently, the Noida Authority purchases land directly at a rate of approximately ₹5,324 per sq. meter. Recognizing that this rate is no longer attractive, there is a proposal to hike this to ₹9,000 per sq. meter. Even with this hike, the money is finite. Once spent, the farmer has no remaining asset.
The Pooling Option:Under land pooling, the immediate cash is minimal (rental income), but the long-term gain is substantial. Developed industrial and commercial land in Noida trades at exponentially higher rates than agricultural land.
One of the lingering sores in Noida’s land history has been the "Abadi" land (residential areas within villages). In previous acquisitions, farmers often demanded that their existing houses be regularized and left untouched.
The Land Pooling Policy is expected to be more flexible regarding Abadi land. By integrating village settlements into the sector planning—rather than bulldozing them—the policy aims to preserve the social fabric of the villages. The focus is on "smart integration," where the village becomes a part of the sector, benefiting from the new drainage and road networks without losing its identity.
Noida is not the first to try this. A quick look at neighboring regions provides context on why this policy is being framed this way.
Despite the attractive features, the road ahead is not entirely smooth.
1. The Trust Deficit:Farmers in Noida have been burned before. The promise of "5% developed plots" in previous schemes took years to materialize, and many are still fighting in court for it. The Authority will need to demonstrate watertight legal guarantees that the 25% developed land will be handed over within a fixed timeline (e.g., 3-5 years).
2. Contiguity of Land:For pooling to work, the Authority need contiguous patches of land. If 60% of farmers in a village agree but 40% scattered in between refuse, planning a sector becomes impossible. The policy will need a mechanism to handle "holdouts"—perhaps through a hybrid model where the holdouts are acquired via mandatory acquisition as a last resort.
3. Market Risk:The value of the returned land depends on the success of New Noida. If industries do not set up shop, the demand for the 80% industrial land portion might remain low. Farmers are essentially taking a bet on the economic success of the region.
The introduction of the Land Pooling Policy marks a maturation in Noida’s urban planning strategy. It acknowledges a fundamental economic truth: you cannot build a modern industrial superpower by dispossessing the people who own the land. You must make them shareholders.
For the real estate sector, this creates a massive inventory of litigation-free land, which is gold dust in the NCR. For the farmers, it offers a path to becoming landlords and entrepreneurs rather than just one-time beneficiaries.
As the policy rolls out, the first test will be the 500 acres along the Noida Expressway and the initial villages of the DNGIR. If the Noida Authority can deliver on its promises of timely development and transparent allotment, this could well be the template that solves India’s land acquisition puzzle.
