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Andhra Pradesh to repeal NALA Act and ease land conversion for development

#Law & Policy#Land#India#Andhra Pradesh
Last Updated : 17th Jun, 2025
Synopsis

The Andhra Pradesh government is moving to repeal the NALA Act (2006), which regulates converting agricultural land for non-agricultural use. This major shift aims to simplify and speed up the process by allowing automatic land conversion upon tax payment-removing the need for repeated visits to government offices. The decision follows widespread complaints from citizens and developers about the existing system's complexity. Chief Minister Shri Chandrababu Naidu announced the move during a recent collectors' conference, with officials now preparing guidelines for a smooth transition. The repeal is expected to ease development, reduce red tape, and encourage investment across urban and industrial sectors.

The Andhra Pradesh state government is set to repeal a specific act governing the conversion of agricultural land for non-agricultural purposes, marking a significant policy shift aimed at streamlining development processes across the state. This decision comes after considering numerous grievances from both real estate developers and common citizens regarding the complexities of the current land conversion system.


The act targeted for repeal is the Andhra Pradesh Agricultural Land (Conversion for Non-Agricultural Purposes) Act, 2006, widely known as the NALA Act. The state government's intention is to simplify the land conversion process by moving towards a system that allows for automatic conversion upon the payment of applicable taxes, thereby eliminating the need for multiple visits to various government offices.

Chief Minister Shri Chandrababu Naidu reportedly announced this decision during the third district collectors' conference held in March. Following this directive, state government officials have been tasked with preparing detailed guidelines for the repeal, ensuring a smooth transition to the new, simplified process.

The repeal is anticipated to significantly expedite land conversion, making it considerably easier and faster for the general public, real estate developers, and various industries to convert agricultural land for urban, commercial, or industrial use. This should reduce bureaucratic hurdles, alleviate public inconvenience, and also address previous objections related to the perceived high tax rates under the NALA Act.

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