UP Government Cancels 944 Hectares Land Allotment to Two Power Companies in Kanpur Dehat

Kanpur Dehat: The Uttar Pradesh government has cancelled the allotment of 944.029 hectares of land given to two power companies in Kanpur Dehat after no construction work was undertaken for a proposed thermal power project even 15 years after the land was allotted.

The action has been taken under the state government’s zero-tolerance policy towards violations and alleged irregularities. The government has ordered that the land be restored in the name of the Uttar Pradesh government and the Energy Department.

The land was allotted in 2011 to M/s Lanco Anpara Power Limited and M/s Himavat Power Private Limited for setting up thermal power plants in the Bhognipur tehsil area. According to the government order, neither company started construction of the proposed project within the stipulated period.

The government has also found that the companies allegedly mortgaged the allotted land to banks without obtaining the required permission from the state government, in violation of the terms of their agreements.

Under the agreement signed between the Energy Department and the two companies on June 28, 2011, Lanco Anpara Power Limited was allotted a total of 375.378 hectares. This comprised 90.326 hectares of lease land and 285.0524 hectares of acquired private land in the villages of Kripalpur, Chapraghatta, Rasulpur Bhuranda and Bhartauli.

Himavat Power Private Limited was allotted 568.651 hectares in Amilia, Sihari, Kachhgaon and Chapraghatta villages. The allocation included 217.813 hectares of lease land and 350.838 hectares of acquired private land.

The agreements required the companies to complete construction of the power projects within three years of taking possession of the land. However, the government said the projects had not even entered the construction stage despite the passage of around 15 years.

A subsequent inquiry also found violations related to the use of the allotted land as security. The agreement prohibited the companies from selling, leasing or mortgaging the land without prior permission from the state government.

According to the findings cited in the government order, Himavat Power mortgaged the land with IDBI Bank without obtaining the necessary approval. Lanco Anpara Power allegedly mortgaged its allotted land with Canara Bank and Punjab National Bank without informing the Energy Department or securing government permission.

The government subsequently initiated action under Clause 4(6) of the agreement. On May 25, 2026, both companies were served show-cause notices and asked to submit their responses within 15 days.

The notices were sent to the companies’ registered addresses and email IDs and were reportedly received by them. However, the government said no explanation or response was submitted within the prescribed period.

Taking note of the alleged failure to comply with the project conditions, the government proceeded with cancellation of the allotments.

On August 25, 2026, Additional Chief Secretary Dr Ashish Kumar Goyal issued the final order, following approval from the Governor, directing that the entire 944.029 hectares be vested back with the Energy Department.

The Kanpur Dehat District Magistrate has also been directed to initiate the necessary action to remove the names of the two companies from the revenue records and enter the Uttar Pradesh government and Energy Department as the owners of the land.

The move marks a significant step by the state government to reclaim land allotted for stalled infrastructure projects and enforce contractual conditions governing government land.

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