Development Activities In Industrial Areas Also Fall Within The Scope Of Karnataka Town And Country Planning Act: SC [Read Judgment]

‘The first respondent while obtaining the approval from the appellant-Authority for its plan is bound to pay the betterment charges, road cess and other charges as per the laws.’

The Supreme Court on Tuesday held that the development activities, including the industrial areas fall within the scope of the authority under the Karnataka Town and Country Planning (KTCP) Act and the industries, while obtaining the approval from the authority for its plan, is bound to pay the betterment charges, road cess and other charges as per the laws.

 The bench comprising Justice R. Banumathi and Justice Indira Banerjee allowed the appeal filed by the Bangalore International Airport Area Planning Authority (authority under the KTCP Act) against Karnataka High Court judgment that held that Sections 14, 15 and 18 of the KTCP Act, 1961, are not applicable when the lands are declared as industrial areas under Section 3 of the Karnataka Industrial Areas Development (KIAD) Act and the payment of betterment fees for the purported development works under the provisions of the KTCP Act does not arise.

The bench disagreed with the high court view that once a land is acquired for the purpose of industries under the KIAD Act and made over to the board, the use of the land becomes ‘use for industrial purpose’ and no further permission for change of use of land by KTCP or any other authority is required.

“KTCP Act is applicable to all the developmental activities in respect of any land coming within the area of Outline Development Plan (ODP) and the lands in question even though situated in industrial area comes within the area of ODP of the Planning Authority. The developmental activities over the said land have to be carried on only with the permission of the Authority and both the enactments have to be harmoniously construed so as to give effect to each of the Acts enacted by the State Government,” the bench observed.

It also said both the Acts i.e., KIAD Act and KTCP Act operate in different fields and, therefore, there is no question of applicability of the maxim Generalia Specialibus Non-Derogant (special Act prevails over general Act). “It is seen that the object of KIAD Act is to make special provisions for securing the establishments of industrial areas in the State and to generally promote the establishment and orderly development of the industries. On the other hand, KTCP Act is for regulation of planned growth of land use and development and for the making and execution of town planning schemes in the State.”

Allowing the appeal, the high court directed Birla Super Bulk Terminal to pay Rs. 1,48,29,173 to the Bangalore International Airport Area Planning Authority with interest at the rate of 6% from the date of the demand (17.09.1998) within a period of two months.