- 1 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21ST DAY OF JULY, 2025 PRESENT THE HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE AND THE HON'BLE MR. JUSTICE C M JOSHI WRIT APPEAL NO. 1375 OF 2024 (GM-KEB) BETWEEN: 1. ASSISTANT EXECUTIVE ENGINEER (ELE) BRUHATH KAMAGARI VIBHAGA KPTCL 66 KV LINE, 3RD CROSS J.C.R. EXTENSION CHITRADURGA - 577 501 …APPELLANT (BY SRI. H.V. DEVARAJU, ADVOCATE) AND: 1. SRI DODDATHIMMAPPA S/O LATE GUNDAPPA PRESENTLY AGED ABOUT 81 YEARS 2. SRI GURAPPA S/O LATE GUNDAPPA PRESENTLY AGED ABOUT 78 YEARS 3. SRI GOVINDAPPA S/O LATE GUNDAPPA PRESENTLY AGED ABOUT 71 YEARS 4. SRI. THIMMAPPA S/O LATE GUNDAPPA PRESENTLY AGED ABOUT 68 YEARS 5. SRI THIPPESWAMY S/O LATE GUNDAPPA PRESENTLY AGED ABOUT 78 YEARS Digitally signed by AMBIKA H B Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 6. SRI ANAND S/O LATE GUNDAPPA PRESENTLY AGED ABOUT 56 YEARS THE RESPONDENTS 1 TO 6 ARE RESIDING AT KODIHALLI VILLAGE TALAKU HOBLI CHALLAKERE TALUK CHITRADURGA DISTRICT - 577 522. …RESPONDENTS (BY SRI PRAVEEN KUMAR RAIKOTE, ADVOCATE) THIS WRIT APPEAL IS FILED U/S 4 OF THE KARNATAKA HIGH COURT ACT, PRAYING TO SET-ASIDE THE ORDER DATED 17.11.2023 PASSED IN W.P. No.20013/2014 BY THE LEARNED SINGLE JUDGE AND ALLOW THE WRIT PETITION IN THE INTEREST OF JUSTICE. THIS APPEAL, COMING ON FOR PRELIMINARY HEARING, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR. VIBHU BAKHRU ,CHIEF JUSTICE and HON'BLE MR. JUSTICE C M JOSHI ORAL JUDGMENT (PER: HON'BLE MR. VIBHU BAKHRU ,CHIEF JUSTICE) 1. For the reasons stated in the application-I.A No.1/2024, the same is allowed. The delay in filing the appeal is condoned. 2. The application stands disposed of. - 3 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 3. The appellant has filed the present appeal impugning an order dated 17.11.2023 passed by the learned Single Judge in Writ Petition No.20013/2014 [NC:2023:KHC:41168], whereby the learned Single Judge had directed that the compensation at the rate of 50% of the market value be paid in respect of certain lands on account of the appellant constructing 400 KV high tension electric wires over the said land. The appellant had paid a sum of ₹4,758/- in respect of the diminished value of subject land [28.47 guntas in RS 140/2 of Kodihalli Village, Taluk Hobli Challakere, Chitradurga District]. 4. The learned counsel for the appellant submits that the award of 50% of the market value of the land is excessive. He submits that although the value of the subject land may have diminished, it cannot be construed that it has diminished to the extent of 50%. He also points out that the land in question has been used by the respondents for growing sunflower seeds and other crops and construction of high tension electric lines, would not impede the respondents/land owners from cultivating the land in question for such crops. - 4 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 5. It is the respondents' case that they intended to dig a borewell and grow coconut trees and arecanut trees. The construction of the electric lines now precludes them from growing such trees. 6. The question of the quantum of compensation to be paid for diminution in value of land in such circumstances, was considered by the Co-ordinate Bench of this Court in a batch of matters; The Chief Engineer, Electricity Transmission Zone and others v. Gangappa [Writ Appeal No.100366/2022 being the lead appeal]. 7. We consider it apposite to set out the following extract from the said decision: "10. There is no dispute with regard to utilization of the respondents' lands in all the writ appeals for erection of 400 KV high tension transmission line and for erection of electrical towers. The trial Court while awarding the enhanced compensation has taken diminutive value of the lands utilized at 50%. It cannot be disputed that erection of high voltage electrical line through/over any agricultural land by the appellants/KPTCL in exercise of powers conferred on them under Section 10 of the Act, 1885 would result definitely in reduction of value of the property. It is to be noted that diminutive value is to be assessed taking note of potentiality of the lands, its utilization, fertility of the land and - 5 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 commercial value of the land etc. What is the percentage of diminutive value is to be determined by the Courts. While determining the diminutive value, the Court shall take note of the crops grown in the land, whether it is commercial or agricultural. The value of the land would also be a relevant factor for determining diminutive value. The amount of compensation is required to be determined keeping in view the purpose and object of the statute. There cannot be any hard and fast rule in this behalf. Undisputedly, the claimants/respondents would not be in a position to utilize the land as they were utilizing the lands earlier, because of erection of electric transmission line. No doubt the claimants/respondents would not be in a position to grow trees underneath the high tension transmission line, but they are not deprived of the lands from utilizing for any other agricultural activity. Admittedly, possession of the lands are not taken by the appellants and title remains with the respondents/land owners. Respondents/land owners are not prohibited from utilizing the lands for any other purpose beneath the electric transmission line. It is the case of the respondents that they were growing chilly, groundnut and other commercial crops. Erection of electric line would not come in the way of growing chilly, groundnut and other crops beneath the electric lines. But there may be little reduction in yield. To compensate such reduction in yield and also land value, diminutive value is to be assessed. 11. Learned Single Judge of this Court in WP No.39979/2013, dated 6.8.2014 at paragraph-24 has held as follows: 24. As regards the diminution value of the land falling within the corridor, the learned District Judge having - 6 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 determined the market value of the land has awarded 50% of the same as diminution value. It cannot be disputed that though the farmer is not capable of growing trees underneath the corridor, he is not totally deprived of utilizing the land for carrying out other agricultural operations. He is entitled to grow other crops which may not affect the high voltage transmission line. Though the farmer is deprived of the opportunity to utilize the land to its full potential and grow horticulture crops, particularly consisting of trees and other luxurious shrubs, he is capable of utilizing the land. The title of the land continues to vest in him. It is no doubt true that his access to the land and use of the same by erecting any pone, shed or any other installation will be restricted. In a case like this where high voltage transmission line is drawn across the land, utilization of the other portion of the land is also affected. Therefore, all these facts have to be taken into consideration before determining the diminution in the land value on account of drawing of high voltage electrical line. If these relevant facts are borne in mind, particularly having regard to the photographs produced and the evidence adduced by the claimant-land owner, I find that 30% of the market value of the area affected shall have to be paid as diminution value of the land to the farmer. 12. A co-ordinate Bench of this Court in WA Nos.2883-2884/2014, dated 15.03.2019 upholding the decision of the learned Single Judge made in WP No.39979/2013 referred to - 7 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 above, confirmed the diminutive value of the land utilized at 30%. The Hon'ble Apex Court in the case of Kerala State Electricity Board Vs. Livisha & Others while considering the compensation payable under the Indian Telegraph Act, 1885 for utilization of the land for the purpose of erection of high tension electric line, at paragraph-9 of the judgment has held as follows: 9. Both telegraph lines and electrical lines are required to be drawn over the agricultural lands and/or other properties belonging to the third parties. In drawing such lines, the entire land cannot be acquired but the effect thereof would be diminution of value of the property over which such line is drawn. The Telegraph Act, 1885 provides for the manner in which the amount of compensation is to be computed therefor. Section 10 of the Act empowers the authority to place and maintain a telegraph line under, over, along or across or posts in or upon any immovable property. Section 11 empowers the officers to enter on property in order to repair or remove telegraph lines or posts. Section 12 empowers the authority to grant permission for laying down such lines to a local authority in terms of Clauses (c) and (d) of the proviso to Section 10 of the Act subject to reasonable conditions as it may think fit..... 10. The situs of the land, the distance between the high voltage electricity line laid thereover, the extent of the line thereon as also the fact as to whether the high voltage line passes over a small tract of land or through the middle of the - 8 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 land and other similar relevant factors in our opinion would be determinative. The value of the land would also be a relevant factor. The owner of the land furthermore, in a given situation may lose his substantive right to use the property for the purpose for which the same was meant to be used. 13. In the above decision of the Hon’ble Apex Court, Kerala State Electricity Board was in appeal challenging the enhancement of compensation and fixing the rate of diminutive value at 50% instead of 40%. The Hon’ble Apex Court with an observation at paragraph-10, relevant factors for determination of diminutive value, remanded the matter to the High Court for fresh consideration on merit. 14. It cannot be disputed that though the respondents/land owners would not be in a position to grow trees beneath the transmission lines and electrical towers, they are not totally deprived of utilizing their lands for carrying out their agricultural operations and they can grow other crops, which may not be affected by the high voltage transmission line. The method adopted by the trial Court in arriving at diminutive value of the land at 50% is unjust and unreasonable. Admittedly, appellants/authorities have paid compensation to the respondents/land owners for erection of transmission line and for erection of electrical towers in the lands of the respondents. Thus, in the facts and circumstances, we are of the considered view that there is no material on record to assess the diminutive value of the lands utilized at more than 30%." - 9 - HC-KAR NC: 2025:KHC:27222-DB WA No. 1375 of 2024 8. Undisputedly, the controversy involved in the present appeal is squarely covered by the aforesaid decision. Accordingly, we direct that the compensation for the diminution in value of the subject land be quantified and paid at the rate of 30% of the market value instead of 50% of the market value as directed by the learned Single Judge. 9. The present appeal is allowed to the aforesaid extent. 10. Pending application is also disposed of. Sd/- (VIBHU BAKHRU) CHIEF JUSTICE Sd/- (C M JOSHI) JUDGE AHB List No.: 1 Sl No.: 21