The Supreme Court has held that compensation given by the government to farmers while acquiring their land should be decided on the basis of its market value. The court passed the order while hearing a bunch of petitions filed by the land owners seeking enhanced compensation for their land which is situated on the Ambala-Chandigarh Highway. It also increased the base price from 2.75 lakh rupees per hectare to 4.09 lakh rupees per acre for the land which was acquired by the Punjab government. The court said the owners are entitled to the highest value which similar land in the locality is shown to have fetched.