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Punjab Govt To Pay ₹20,000 Per Acre Compensation To Flood-hit Farmers

by DNB ind News Desk
September 8, 2025
in India
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Punjab govt to pay ₹20,000 per acre compensation to flood-hit farmers

Punjab is facing its worst floods in four decades, triggered by the swollen Sutlej, Beas and Ravi rivers and heavy rainfall that has affected nearly four lakh people in 2,000 villages.

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Chandigarh: Chief minister Bhagwant Mann on Monday announced a relief package for the flood-affected people of Punjab, including ₹20,000 per acre compensation for farmers, ₹4 lakh ex gratia for loss of life, and permission to landowners to remove and sell the sand deposited in their fields by floodwaters.

The chief minister made the announcement in a live broadcast from a private hospital in Mohali after a meeting of the state cabinet in Chandigarh. Mann joined the meeting from the hospital where he was admitted on September 5 due to exhaustion and a low heart rate.

Mann said that the government will give a compensation of ₹20,000 per acre to the flood-hit farmers of the state. He said this is the highest-ever per acre compensation given by any government in the country.

The cabinet also approved a ‘Jisda Khet Usdi Ret’ (the sand belongs to the farmers) policy, allowing the landowners in flood-affected areas to remove and sell the sand deposited on their fields by floodwaters. “The farmers will be able to sell the sand till November 15 without requiring any permit or NOC from the state government,” he said.

On Sunday, AAP’s Punjab affairs in-charge Manish Sisodia had announced that the state government would bring such a policy as the farmers were worried about the coming rabi season crops, as vast amounts of silt and sand had got deposited in their fields.

Another decision taken by the state cabinet is to pay ₹4 lakh ex-gratia compensation for loss of life to the next of kin of the deceased. Mann, in a letter to Prime Minister Narendra Modi on August 31, requested the central government to revise the proposed compensation from the existing ₹15,000 per acre to ₹50,000 per acre. “Since the crops were almost at the harvesting stage, at least ₹50,000 per acre should be paid to the farmer. The norms should be revised,” he wrote, assuring that the state government will continue to contribute 25% as per the scheme. He had also proposed doubling the ex-gratia payment for loss of life to the next of kin from ₹4 lakh per person to ₹8 lakh per person.

Punjab is facing its worst floods in four decades, triggered by the swollen Sutlej, Beas and Ravi rivers and heavy rainfall that has affected nearly four lakh people in 2,000 villages. The worst-hit districts are Gurdaspur, Kapurthala, Ferozepur, Fazilka and Amritsar, with over 1.75 lakh acres of farmland submerged, according to government estimates.

The death toll due to the floods has risen to 48, while three people remain missing, officials said on Monday.

PM to visit flood-hit Gurdaspur tomorrow

Prime Minister Narendra Modi is scheduled to visit the flood-affected Gurdaspur district on Tuesday. He will review the ongoing rescue and relief operations and meet flood-hit families.

Punjab finance minister Harpal Singh Cheema said that the state revenue department has released ₹71 crore towards relief efforts. Twenty-four teams of the National Disaster Response Force (NDRF) and two teams of the State Disaster Response Force (SDRF) have been deployed, supported by 144 boats and a state government helicopter in rescue efforts.

AAP govt seeks ₹20,000-cr relief package

Punjab minister and Aam Aadmi Party chief Aman Arora on Monday appealed to Prime Minister Modi to announce a relief package of at least ₹20,000 crore for the flood-ravaged state during his visit.

“Even though the PM has not uttered a word yet for flood-hit Punjab, he is our PM and I welcome him with folded hands for his visit. I also expect that he should be seen standing by Punjab during his visit,” Arora told reporters in Chandigarh.

Referring to chief minister Mann’s recent letter to the PM demanding ₹60,000 crore of the state’s funds, Arora said it is Punjab’s right and it should be released.

A few days ago, Mann had written to Modi to release ₹60,000 crore of the state’s funds, which he claimed were “stuck” with the Government of India while highlighting that Punjab was grappling with one of the worst flood disasters in decades.

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