The government has decided to set up a national council headed by Prime Minister Manmohan Singh and a committee under the rural development minister to prepare national land reforms policy.

"It has been decided by the government to constitute a Committee on State Agrarian Relations and the Unfinished Task in Land Reforms under the chairmanship of Minister of Rural Development Minister and a National Council for Land Reforms under the chairmanship of the Prime Minister," Rural Development Minister Raghuvansh Prasad Singh said in the Lok Sabha during question hour.

The composition and terms of reference of the committee and the council are being finalised, he said. Singh also replied in the affirmative to a question on whether the government plans to formulate a national land reforms policy to facilitate land reforms. To another query, he said the government has approved the revised National Rehabilitation and Resettlement Policy, 2007.

The Union Cabinet has also cleared the Rehabilitation and Resettlement Bill, 2007 and the Land Acquisition (Amendment) Bill, 2007 to give a statutory status to the policy and to amend the Land Acquisition Act of 1894.

The new policy covers all projects leading to involuntary displacement of people and has special provisions for people belonging to Scheduled Tribes and Scheduled Castes, he said.

The policy also envisages giving land for land, if possible, as compensation; skill development support and preference in project jobs; option of shares in companies executing the projects; housing benefits to affected families; monthly pension to the vulnerable sections such as disabled; and providing infrastructure at resettlement areas.