From 1956 to 1962 the state government had allocated 6,045.180 acres of land to BHEL. During the course of time the company surrendered 1,411.970 acre back to the state government with still 4,633.210 acre of land in its possession. The state wants this 2,243.210 acre of land.
Earlier, in 2006 the Madhya Pradeshstate government had made intense efforts to take possession of the land which falls under definition of prime land. BHEL had also sent a proposal to the Central government in this regard but it was turned down. The then central government had not only refused to surrender the land but also produced valid reasons that it required land for expansion in future and it would accord high priority to Bhopal so that new projects could take shape on the surplus land.
"BHEL has yet not received any proposal from the state government for surrender of the land," said a BHEL spokesperson.
Earlier, in 2008 when the former Union heavy industries minister Vilasrao Deshmukh had visited Bhopal, state chief minister Shivraj Singh Chouhan had assured him that his government would not demand the surplus land in future and would make more land available provided the proposed NPTC-Bhel joint venture project come to Bhopal. Deshmukh participated in the inaugural ceremony of the first ultra high-capacity transformer facility in the BHEL Bhopal unit.
The state government has yet not spelt out its proposal how it would develop the land.