In the past, delays in ROW acquisition has been a major setback in project implementation, especially for PPP projects that typically have higher opportunity cost of financing. Present practice is to undertake land acquisition after the award of a concession which could cause delays in project implementation over a protracted period.
Ideally, land acquisition and resettlement activities should be undertaken prior to calling for tenders using the following approach: (1) ROW requirements should be defined at an early stage, estimated and budgeted in the feasibility study; (2) acquisition process should commence after feasibility study approval; and (3) process should be completed before going to tender or within a reasonable period from the approval of the PPP project. If this is not possible, the next best option, is to do all the necessary groundwork, e.g., surveys, consultations, identification of resettlement sites, etc., and line up all the required documentation or reports during the project approval to tendering stage, so that execution of the final steps to land acquisition can immediately take place and more importantly make sure that the necessary funds are available.
Land acquisition and resettlement maybe either be voluntary or involuntary. Land acquisition and resettlement is voluntary when an affected person willingly sells an affected asset, thereby obviating the need for the exercise of eminent domain struggles. It is considered involuntary when displaced individuals or communities do not have the right to refuse land acquisition that causes them to be displaced. This occurs in cases where (1) lands are acquired through negotiated settlements; or (2) lands are expropriated based on eminent domain.