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Bihar to develop 11 satellite townships under land pooling model, imposes curbs on land transactions

#Infrastructure News#Infrastructure#India#Bihar
Last Updated : 30th Apr, 2026
Synopsis

The Bihar government has approved the development of 11 greenfield satellite townships under a land pooling framework, aimed at enabling planned urban expansion without compulsory land acquisition. The initiative will return 55 per cent of developed land to original landowners while allocating the remainder for infrastructure and public amenities. A temporary ban on land sale, transfer, and construction has been imposed in identified zones to prevent speculative activity. The townships, spread across key cities including Patna, Gaya and Muzaffarpur, are intended to integrate residential, commercial and economic functions while supporting a transition from agrarian to urban-led growth.

The Bihar government has approved the development of 11 greenfield satellite townships under a land pooling model, with the projects to be implemented through the Town Planning Scheme framework to enable structured urban expansion across the state.


The decision, taken recently, also includes a moratorium on land sale, transfer, development, and construction activities in the identified areas to prevent unplanned growth and speculative transactions during the planning phase.

According to officials from the Urban Development and Housing Department, the townships will be developed without compulsory land acquisition, with landowners participating directly in the process. Under the model, approximately 55 per cent of the pooled land will be returned to original owners in a developed form, while the remaining portion will be utilised for infrastructure, public amenities, and cost recovery.

The Town Planning Scheme, as provided under the Bihar Urban Planning and Development Act, 2012, allows fragmented and undeveloped land parcels to be reorganised into planned urban layouts. This includes provision for roads, utilities, and public infrastructure, enabling systematic development without displacing landowners.

Officials indicated that around 22 per cent of land will be allocated for connectivity infrastructure, 15 per cent for civic and utility infrastructure such as water systems and electrical networks, 5 per cent for green spaces and public facilities, and 3 per cent for housing for Economically Weaker Sections.

The planned townships are expected to include residential, commercial, and economic zones, with the objective of facilitating a shift from agriculture-led local economies to secondary and tertiary sectors. Authorities stated that the development is expected to generate employment opportunities and increase per capita income in the identified regions.

The proposed locations include major urban centres and emerging regions such as Patna, Gaya, Darbhanga, Muzaffarpur, Bhagalpur, and Sonepur, among others, forming part of a broader strategy to distribute urban growth across the state.

For landowners opting out of the pooling mechanism, the government has indicated that provisions such as negotiated land purchase and Transfer of Development Rights will be offered to ensure compensation aligned with market value.

Officials added that consultations are being undertaken with international agencies, including the World Bank, to ensure adherence to planned development standards and infrastructure design frameworks.

The initiative reflects a policy shift towards participatory urban development, with land pooling positioned as a mechanism to balance infrastructure creation with stakeholder inclusion. The temporary restrictions on land transactions are intended to ensure orderly planning and equitable distribution of benefits as the township projects progress.

Source - PTI

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