The Gujarat government on Tuesday, 28 July significantly expanded the financial powers of District Collectors and District Development Officers (DDOs) to approve a broader range of government land allotments at the district level, in a move designed to reduce administrative delays and accelerate infrastructure, industrial, rural development, and public welfare projects across the state.

What the New Powers Cover

Under the revised framework, District Collectors will now operate under substantially higher financial ceilings across multiple categories of land allotment. The limit for allotting up to two hectares of land to state government boards and corporations has been raised from ₹15 lakh to ₹1 crore.

For allotment of up to one hectare to Central government departments for public purposes, the ceiling has moved from ₹15 lakh to ₹50 lakh. Residential allotments to government employees and individuals now carry a limit of ₹20 lakh, up from ₹1 lakh, while the cap for cooperative housing societies has risen from ₹6 lakh to ₹50 lakh. Commercial land allotment through auction has been revised from ₹1 lakh to ₹5 lakh, and the limit for cooperative godowns and other institutions from ₹3 lakh to ₹15 lakh.

DDO Powers for Gamtal Plots Also Enhanced

District Development Officers have received parallel upgrades for the allotment of Gamtal plots — revenue land within village boundaries. The limit for individual residential plots has been raised from ₹20,000 to ₹1 lakh. For cooperative housing societies, the ceiling has moved from ₹1.5 lakh to ₹7.5 lakh, and for milk cooperatives, cooperative godowns, and rural grid projects from ₹20,000 to ₹1 lakh.

What the Government Said

Chief Minister Bhupendra Patel framed the decision as part of the state's ongoing effort to improve governance efficiency. 'The enhanced powers form part of the state government's continuing efforts to improve 'ease of doing business' and simplify administrative processes by reducing the need for cases to be referred to Gandhinagar,' he said.

Officials added that the changes are expected to 'facilitate quicker allotment of government land for public infrastructure, industrial development and social sector projects, while also supporting employment generation.'

Payment Extension and Procedural Changes

In a separate procedural update, District Collectors have been authorised to grant extensions for payment of possession price or premium in cases involving state government boards, corporations, and Central government departments, if payment is not made within 90 days of the demand notice. The extension may be granted up to the completion of the three-year tenure of the District Land Valuation Committee, a step the government said would reduce repetitive administrative processes.

The state government noted that since land records and site-related information are already available at the district level, resolving cases locally will cut both procedural delays and the burden on applicants who previously had to pursue approvals in Gandhinagar. Earlier collection of possession charges is also expected to ensure faster deposit of revenue into the state treasury.

Broader Context

The revision is the latest in a series of administrative decentralisation steps taken by the Bhupendra Patel-led government, which has repeatedly cited ease of doing business as a policy priority. Gujarat has consistently ranked among the top states in the Centre's Business Reform Action Plan. Notably, expanding district-level financial authority addresses a long-standing bottleneck where even routine land allotments required state-capital clearance, slowing down projects on the ground.