(1) The government of Nepal may relocate the industrial, business and residential settlements established on the land within the protected watershed area for the purpose of land and watershed protection or acquire the land where such industry, business or residential settlement is located. If deemed necessary, the Government of Nepal may move such industry, business and residential settlement to another place or acquire the land in accordance with the prevailing law on land acquisition. The government of Nepal will have to give appropriate compensation for the loss caused to the concerned person.