(1) Industrial Villages, Industrial Zones and Special Economic Zones to be established after the commencement of this Act shall not construct any kind of residential building or other building or settlement within the area and distance specified by the Government of Nepal by publishing a notice in the Nepal Gazette.
(2) In the event that a residential building or other building or settlement is not allowed to be built on someone's private land within the specified area and distance as per sub-section (1), the Government of Nepal shall complete the prescribed process within the prescribed period and pay reasonable compensation to the concerned person.