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ECL Disburses First One Time Lump Sum (OTL) Compensation in Lieu of Employment under R&R Policy

Eastern Coalfields Limited (ECL) marks a milestone as the first landowner opts for a ₹93.3 lakh lump sum payout instead of a mining job. Learn about the new OTLA scheme.
ECL Disburses First One Time Lump Sum (OTL) Compensation in Lieu of Employment under R&R Policy

New Delhi/Sanctoria, 26th December 2025: Eastern Coalfields Limited (ECL) organized a presentation ceremony for disbursement of Land and Rehabilitation & Resettlement (R&R) compensation at its headquarters, marking a significant milestone in its land acquisition reforms.

Mr. Akash Deogharia, a resident of Lachmanpur village under Salanpur Police Station in Paschim Bardhaman district, West Bengal, became the first land loser in the region to opt for the One Time Lump Sum (OTL) compensation in lieu of employment under ECL’s R&R Policy.

Mr. Deogharia was earlier employed as a General Assistant since June 2025, having received employment against land under the R&R Scheme of ECL. Following the introduction of the One Time Lump Sum / Lump Sum Annuity (OTLA) Scheme by ECL, he voluntarily opted for monetary compensation in lieu of employment.

 

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On the occasion, Shri Satish Jha, Chairman-cum-Managing Director, ECL, along with other Functional Directors, handed over a cheque of ₹93,32,810 (Rupees Ninety-Three Lakh Thirty-Two Thousand Eight Hundred Ten only) to Mr. Deogharia. Addressing the gathering, Shri Satish Jha highlighted that the OTLA Scheme is a progressive and reform-oriented initiative aimed at strengthening transparency, equity, and flexibility in the land acquisition and compensation framework. He stated that under the scheme, landowners are offered an option of one-time lump sum monetary compensation or a modified annuity scheme (on a pro-rata basis) in place of the traditional employment-linked compensation model.

He further informed that the financial compensation ranges from approximately ₹89 lakh to ₹1.20 crore in West Bengal for 2 acres of land, depending on location and applicable parameters. Such compensation, when invested prudently, can ensure long-term financial independence, enabling land losers—particularly youth—to pursue entrepreneurship, self-employment, or higher education, rather than being absorbed into lower-level employment roles.

The CMD emphasized that the scheme is especially beneficial for marginal landowners, who often face difficulties in qualifying for employment due to limited landholding size. The lump sum payment ensures immediate financial security, equitable distribution of benefits, and greater flexibility for landowners.

He also noted that small traders and business owners can utilize the financial benefits to expand or upgrade their existing businesses, while those already engaged in employment or enterprise may opt for the annuity option, thereby creating an additional and stable monthly income stream.

Sharing his experience, Mr. Akash Deogharia stated that opting for the OTL Scheme was a well-considered decision, taken after detailed discussions with his family and friends and consultations with financial experts. He explained that the interest income generated from the OTL compensation would be higher than his salary in ECL, and that prudent investments, including mutual funds, could further enhance returns while keeping the capital intact.

Mr. Deogharia added that the scheme has enabled him to pursue his legal profession, allowing him to earn additional income beyond interest or dividends and to work in a field aligned with his education and aspirations. He recalled that working as a labourer in underground mines was physically demanding and took a significant toll on him. After learning about the OTLA Scheme and discussing it in detail with Shri Partha Sakha De, General Manager (LRE), he decided to opt for the scheme after careful evaluation.

 

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He also urged fellow land losers—especially educated youth and marginal landowners—to consider the OTL option and avoid engaging with intermediaries or brokers. He emphasized that receiving compensation directly from ECL under the OTL Scheme is faster and more efficient than the prolonged process of aggregating land to meet employment eligibility criteria.
Expressing confidence in the scheme’s future, Mr. Deogharia stated that as awareness grows, many young land losers are likely to opt for the OTLA Scheme, making it a transformative initiative for the region. 

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