3 weeks ago
Gujarat's power push hits land-value wall as farmers reject payout
Farmers in the Indian state of Gujarat grow crops on farms that belong to them.
The government and power companies want to put very tall electricity poles and wires across these farms.
The wires would carry electricity from a huge new renewable energy park to other places.
The farmers are upset because the poles take up space, so they cannot use all of their land to grow food.
Farmers also worry the wires will make their land worth less money, so they cannot sell it for a good price later.
The Gujarat government said it would pay the farmers more money, and even promised to pay everything up front.
But the farmers do not like how the government decides the price, because it picks two of three appraiser reports randomly, like a lottery.
The farmers say the system is confusing and unfair, and some want much more money for their land.
The arguments started with one power company's project, but now farmers across many districts are protesting together.
The two sides still cannot agree, so the farmers keep protesting.
Two months into the agitation, the Gujarat government's July 4, 2026 policy—200% of market value with 100% upfront payment—has failed to end the deadlock.
Farmers reject the Market Rate Committee, which selects two of three valuer reports by lottery to fix compensation.
The protest began against Adani Energy Solutions Ltd's 765-kV transmission project tied to the Khavda Renewable Energy Park and now targets all corporate transmission lines.
Farmer leaders say poles and wires stop full cultivation and lower land prices, citing 40 lakh bighas and 4.50 lakh farmers affected, with a demand for 400 times the market rate.
Gujarat is the first state to adopt the Centre's lottery-based valuation mechanism from the Union Ministry of Power's revised Right of Way guidelines of December 2025.
- Who
- Farmers across Gujarat, led by agitators including Nehul Amrutiya and Pratik Patel, opposing the Gujarat government and transmission companies such as Adani Energy Solutions Ltd.
- What
- Farmers are protesting high-voltage transmission lines and electricity poles on agricultural land, and have rejected a revised state compensation policy built around a lottery-based market valuation committee.
- Where
- Gujarat, India, with protests across different districts and a protest hub at Jetpar; the originating project is linked to the Khavda Renewable Energy Park in the Rann of Kutch.
- When
- The agitation has lasted more than two months; the government's revised policy was issued on July 4, 2026, and farmer leaders say the issue has been going on for a couple of years.
- Why
- Farmers say the poles and lines restrict cultivation and reduce land prices, and that the Market Rate Committee framework leaves them bearing the economic cost of the infrastructure.
Farmers' stance
Government and companies' stance
Compensation valuation mechanism
Farmers' stance
Farmers reject the Market Rate Committee and its lottery system, saying they are at a loss over how the calculations are done.
Government and companies' stance
The government introduced the MRC—three valuers with two reports picked by lottery—to determine the prevailing market value impartially.
Compensation amount
Farmers' stance
Farmers say 200% of market value is inadequate and demand 400 times the market rate, arguing they gain nothing now or when they sell the land later.
Government and companies' stance
The government revised the policy from 200% of jantri rate to 200% of market value with a 100% upfront payment, and expanded the eligible tower base area.
Transmission infrastructure projects
Farmers' stance
Farmers oppose all companies erecting transmission lines, saying poles prevent full cultivation and lower land prices, harming 40 lakh bighas and 4.50 lakh farmers.
Government and companies' stance
Adani Energy Solutions Ltd says it is fully committed to engaging with landowners and paying fair compensation as determined by the civic administration under the law.
Key facts
- Revised compensation (July 4, 2026)
- 200% of market value with 100% upfront payment before work begins
- Earlier compensation
- 200% of jantri rate (state benchmark circle rate)
- Disputed mechanism
- Market Rate Committee: three valuers, two reports selected by lottery
- Farmers' reported demand
- 400 times the market rate
- Affected land (per farmer leaders)
- 40 lakh bighas across Gujarat
- Affected farmers (per farmer leaders)
- 4.50 lakh
- Khavda Renewable Energy Park
- Expected to become world's largest, spanning over 72,600 hectares in Rann of Kutch
- Project cost
- Rs 1.5 lakh crore, with multiple developers
Quotes
Nehul Amruiya
Farm leader heading the Gujarat farmers’ agitation
“We are against all companies that are setting up transmission lines. The idea is to educate and empower each and every farmer regardless of transmission line(s) passing over their fields.”
financialexpress.com
“The farmers will be at a loss as to the manner in which the calculations are to be done in the lottery system.”
financialexpress.com










