Bhubaneswar, April 22: Orissa today announced an innovative policy to tackle the thorniest issue in the development debate, raising compensation for oustees while seeking to lock half the money as preferential stocks in the company that causes displacement.

The rehabilitation package, which includes jobs, land and money to build houses, is aimed at dousing the unrest over the Kalinga Nagar police firing and the growing opposition to the Posco steel project near Paradip port.

The definition of “family” has been widened to include all sons above 18, unmarried daughters/sisters above 30, physically or mentally challenged members, orphans and widows as a separate unit. This means each gets the full benefits apart from the job that goes to any one of them.

The stocks option has been left open. If the oustees wish, they can accept half the compensation in cash while the rest is locked as scrips, which can be liquidated after five years.

The state had been working overtime to draw up a rehabilitation policy after police bullets killed 13 tribals protesting against construction by a steel giant on acquired land in Kalinga Nagar on January 2.

The compensation for the Kalinga Nagar oustees has been hiked to Rs 1 lakh an acre from Rs 76,000. Agitating Jagatsinghpur farmers who are going to lose their betel vines to the Posco project will get Rs 6,000 per tenth of an acre.

Other highlights include:

•Job for one person from each undivided displaced family

•Aid of up to Rs 5 lakh for self-employment

•Land for irrigation project oustees or, as an alternative, cash (Rs 1 lakh per acre for irrigated land and Rs 50,000 per acre for non-irrigated land)

The government has also minimised its role. An industrialist can negotiate with the prospective oustees directly. If he wants the government to acquire the land, it would step into the picture, delaying the process a little.