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Wednesday, August 25, 2010

Environment ministry rejects Vedanta mining plan in Orissa

The environment ministry on Tuesday rejected a plan by India-focused mining group Vedanta Resources Plc to mine bauxite in Orissa, dealing a blow to the company already struggling with regulatory issues in India.

It not only rejected proposal to mine bauxite in the Niyamgiri Hills of Orissa but also slapped a show cause notice on why the permit for its Lanjigarh refinery should not be cancelled, which is increasing its capacity to 6 million tonnes per year from 1 million tonnes per year without getting the requisite clearance. The refinery has also illegally diverted 26 hectares of forest land.

The environment ministry, which detailed serious violations by Vedanta at Niyamgiri Hills, said allowing mining at this site would deprive two primitive tribal groups of their rights and shake their faith in the law of the land.

Giving reasons for the denial of clearance, Mr Jairam Ramesh the environment minister of India said that there has been a very serious violation of the Environment Protection Act, Forest Conservation Act and the Forest Rights Act.

He said “There have been no emotions and no politics and no prejudice involved in this report. I have taken this decision in a proper legal approach.”

The decision came after the Forest Advisory Committee, which had submitted the report to Mr Jairam Ramesh after reviewing the suggestions given by the N C Saxena panel seeking ban on the mining project in Orissa’s Niyamgiri Hills in view of various violations at the site.

The Saxena report has citied many violations of the in principle environment clearance given to Orissa Mining Corporation in 2008 including non compliance with the provisions of the Forest Rights Act.




Union Minister of State for Environment and Forests Jairam Ramesh has acted boldly and impartially by relying on scientific expertise and rejecting the application from Vedanta Resources for forest clearance to start bauxite mining in Orissa's Niyamgiri hills. In doing so, he has laudably upheld due process, human rights, and environmental laws. The transparent manner in which the Ministry went about assessing environmental concerns and the impact the project would have on tribal groups in the proposed mining area before arriving at a decision is particularly noteworthy. Evidence collected by the Saxena Committee of the MoEF clearly warrants rejection of the proposal. The 72 million tonnes of bauxite ore deposits estimated to be available in Niyamgiri hills can feed the aluminium refinery of Vedanta Alumina Limited in Lanjigarh only for about four years at the expanded capacity being created. To sacrifice the rich ecology of the area for such a purpose would be unconscionable. There is little doubt that the mine would destroy the 7 sq km of forests that await inclusion in the Niyamgiri Wildlife Sanctuary, and deal a devastating blow to the Dongaria Kondh and Kutia Kondh tribal folk, who sustain themselves largely with forest produce.


Beyond the rejection of the forest clearance for the mining project, the Vedanta case is turning out to be an example of the forces eating into the environmental vitals of the country. If the violation of key laws such as the Forest (Conservation) Act, the Environment (Protection) Act, and the Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act by the mining company and its subsidiaries is brazen, the enabling role played by the Orissa government is deplorable. The State government has an interest in the project through a joint venture involving the Orissa Mining Corporation. Rather than adopt the legal process, it chose to file false certificates on forest rights claims of tribals to speed up MoEF clearance, and did little to stop illegal occupation of forest lands by the private mining company. Equally disturbing is the fact that the Vedanta refinery has expanded its capacity six-fold without environmental clearance. Against such a backdrop, Minister Jairam Ramesh deserves the nation's commendation for stopping the activity in its tracks. He should now launch investigations into violations by other mining leaseholders across the country, applying environmental laws with full force. The Vedanta case should also persuade the Supreme Court, which gave some approvals to the proponents, to rely on scientific data and reports in deciding appeals from extractive industries.

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