TN Govt Offers 3.5–7X Market Value to Push Parandur Airport Land Deal Forward

In a major push to fast-track the ₹20,000-crore Parandur greenfield airport project, the Tamil Nadu government has offered compensation rates significantly above guideline values to speed up land acquisition in Kancheepuram and Sriperumbudur taluks.

A government order issued by Industries Secretary V Arun Roy sets flat compensation between ₹35 lakh and ₹60 lakh per acre for 1,960.63 acres this includes 275% of the negotiable guideline value and a 25% incentive. These rates apply to lands where guideline values (GLVs) fall between ₹5 lakh and ₹17 lakh per acre. In high-value areas, compensation may be at a maximum rate of ₹2.57 crore per acre.

The move is intended to smoothen negotiations with land owners and forestall delay tactics, which could be employed by locals, who have already protested sustainedly against the project after its announcement. The Kancheepuram district collector has been empowered to talk to landowners in two situations: one where GLVs are under ₹17 lakh per acre (covering 374.53 acres) but owners demand rates higher than the flat one and the second where 996.09 acres are involved with GLVs above ₹17 lakh.

Compensation in Florence will according to the Tamil Nadu Acquisition of Land for Industrial Purposes Act 1997 for people who refused to accept the flat rate including the valuation of land, structures, and trees with extra benefits like the 100% solatium and a 25% incentive.

For the airport, which will be Chennai’s second international terminal, the state intends to buy the land that amounts to 3,331.25 acres of vital infrastructure development for the region.

Resistance goes on, even after the new offer. G Subramanian, head of the Parandur Airport Protest Committee, said villagers are unwilling to sell. “Land prices here have risen to ₹2–3 crore per acre since the announcement. The government’s offer is too low,” he told DT Next.

The latest compensation strategy underscores the state’s intent to revive momentum on the project amid ongoing ground-level opposition.