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MINING AND INDUSTRIALISATION UPDATE,

ORISSA
ENVIRONMENTAL INFORMATION ON INDUSTRIES AND MINING IN ORISSA

LIST OF CONTENTS Vol. 2, No. 1, September 2006

Editorial 1 EDITORIAL
News Items 3 One year after the draft notification was placed on the
MoEF website for comments, the new EIA notification was
passed by the Ministry of Environment and Forests Government
Public Hearings during Sept 06 21 of India (MOEF, GOI) on 15th of September, 2006. There have
been storms of protests against this notification, all of which
Pending Projects with MOEF for Environmental rightly point out that this new notification ignores many critical
issues and has been drafted in the most undemocratic manner.
Clearance 22 The Ministry restricted itself to consultations with
representatives of Industries and Government / regulatory
Pending Projects with MoEF for ‘Forest Clearance’ 26 agencies, while the representatives of NGOs, Heads of
Panchayats and Municipalities, local groups and communities
Pending Projects with State Government 28 were completely kept out of this process. This raises strong
doubts about the role of MOEF, GOI i.e. whether it is an agency
Approved Projects for Environmental Clearance 30
for protecting the public environmental goods or a promoter and
facilitator of corporate sector.
The new Notification vests the State Governments with the
Approved Projects for Forest Clearance 31 power of clearing Category–B Projects. If we consider a State
like Orissa, where the State Government is currently on a
Projects In-Principle Stage of Clearance 32 "Development through Industrialization" spree and is busy
promoting mining and industrialization, vesting such powers
Rejected Projects 33 with the State Government will imply a complete collapse of the
environmental governance.
Clearance Letters 36 Certain large capacity projects like Construction projects
have been completely exempted from EIA studies and also do
Forest Clearance Letters 37 not need to conduct Public Consultation. Similarly there are
numerous large capacity projects that are completely exempted
™ Mining Lease to M/S Ghanshyam Mishra & from the EIA Notification – Thermal Power Projects (less than
Sons granted on 13th September 2006 500 MW) or even Cement Plants (less than 1 MTPA). Does this
mean that all these projects are absolutely environmental
In-Principle Clearance Letters 39 friendly and don't damage the environment at all?
However, the new environmental guidelines provide no
™ Diversion of 85.55ha of Forest Land in explanation as to why these projects have been exempted from
this extremely important environment clearance process. It only
Sidhamath Reserve Forest in Favour of Dr. implies that the MoEF is not interested in ascertaining the
Sarojini Pradhan for Iron and Manganese Ore concerns of locally affected persons while clearing these
Mining. Clearance Granted on 21st September projects. But ultimately, it is the people living there and their
2006 life support systems that are will be destroyed by environment
unfriendly projects. By introducing such a biased (pro-industry)
™ Second Renewal of Mining Lease for and severely flawed Notification, the Ministry has only diluted
133.112 Ha Area to Orissa Mining Corporation the objective with which it was set up. How can the public trust
Limited in Kurmitar Iron Ore Mines under such a body which has least concern for the people or for the
Bonai Forest Division. Clearance Granted on environment in which they live? It is from such a deep sense of
14th September 2006 insecurity and mistrust that these oppressed people derive their
strength to revolt. I am afraid, but incidents like the Kalinga
Nagar may occur even more frequently.
Environmental protection Group, Orissa 43
- Editor

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CLEARED PROJECTS IN SEPTEMBER 2006

PROJECTS THAT HAVE OBTAINED ENVIRONMENTAL CLEARANCE

™ Bauxite Mining at Maliparbat by M/s Hindalco Industries Ltd

PROJECTS THAT HAVE OBTAINED FOREST CLEARANCE

™ Mining Lease to M/S Ghanshyam Mishra & Sons granted on 13th


September 2006.

IN-PRINCIPLE FOREST CLEARANCE

™ Diversion of 85.55ha of Forest Land in Sidhamath Reserve Forest in Favour


of Dr. Sarojini Pradhan for Iron and Manganese Ore Mining.
Clearance Granted on 21st September 2006

™ Second Renewal of Mining Lease for 133.112 Ha Area to Orissa Mining


Corporation Limited in Kurmitar Iron Ore Mines under Bonai Forest
Division. Clearance Granted on 14th September 2006

™ Diversion of 0.99ha of Land for Construction of All India Radio at Deogarh.


Clearance Granted on 13 September 2006

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GENERAL NEWS
NGOS, MPS CALL FOR WIDER TALKS ON NEW SPCB sources said the board was also examining other
EIA RULES suitable practices being followed in other countries.
Our Bureau Pointing out that geographical proximity with the West
New Delhi, Sept. 4: A group of non-government Bengal was an advantage, Mr Patnaik said “Our
organisations (NGOs) as well as Parliamentarians have neighbouring state has similar kind of industries that we
alleged that the Environment Ministry has not held have. Rather, they have diversified industrial presence than
consultations with civil society on the new Environmental us. So it is prudent to take a cue from them”.
Impact Assessment (EIA) rules, which are to be notified Recently, West Bengal Pollution Control Board Chairman
soon. Dr Sudip Kumar Banerjee made a presentation on the cost
In a statement, Kalpavriksh Environmental Action Group of pollution at the SPCB here where top officials of the
has alleged that though the Environment Ministry had Orissa board were present.
invited public comments on the draft EIA about a year ago, Pointing out that pollution was injected into air and water
it has held consultations with industry associations only which lack ownership, Mr Banerjee said: “This reflects a
such as Assocham, CII, FICCI and CREDAI. The NGO has market failure because prices of the goods and services,
based its statement on information obtained from the whose production and consumption processes cause
Environment Ministry through a Right to Information pollution, fail to reflect the true cost to society of the
application. resource use. Market failure is translated into a spillover
Mr P.G. Narayanan, Chairman of Parliamentary Standing effect or externity.” It constitutes both misuse of an
Committee on Science, Technology and Environment has unpriced (air) or open-access (water) public resource, and
written to the Prime Minister on the issue, requesting his has negative spillover effects on sectors and individuals who
intervention to hold the notification till a thorough and may or may not be parties to the pollution generating
meaningful consultation is completed, said the release. activities.’’ Market valuation demonstrated to what extent
pollution had caused a decrease in the market value of the
CPI (M) MP Mr Sitaram Yechury has urged the
resources or another item with market value that was
Environment Ministry to hold extensive consultations by
impacted by pollution, the WBPCB chief had said in his
organising zonal workshops involving the state governments
presentation.
on the issue. He has also called for a "full discussion on the
issue in the Winter session of Parliament", according to the He said the valuation of environmental damages can play an
statement. important role in establishing environmental policy and
regulatory standards and can provide guidance in targetting
Õ
mitigation efforts.
ORISSA TO FIX COST OF POLLUTION
Patnaik said the valuation of environmental damages would
Press Trust of India cover industries such as sponge iron, steel, thermal power
Bhubaneswar, Sept 26: With Orissa’s industrialisation set projects or any industry which pollutes.
to gain momentum in the coming decade, the state is Reacting to SPCB’s move, Mr Jagannath Bastia, a
contemplating to follow West Bengal’s footsteps by putting prominent environmental activist, said: “The concept of
in place a mechanism of ‘cost of pollution’ to deal with polluter must pay will be ineffective. When government
industry-induced hazards. fails to enforce law which talks about punitive action
“We are working out the modalities on the lines of the West against polluters, it will be difficult to collect fine towards
Bengal model by fixing cost of pollution. We hope the pollution from them.” Rather, the polluters would become
mechanism will be in place by November-December next,” fearless. “If they have to pay a fee for causing pollution,
State Pollution Control Board chairman Dr LN Patnaik said. they will not hesitate to inject pollution into the air and
Mr Patnaik said SPCB had in principle approved the water,” he argued adding that “the polluters would buy more
proposal to impose cost of pollution on industries in the time before facing any punishment.”
state. Õ
The Supreme Court on more than one occasion had ENVIRONMENT FUND TO BE SET UP SOON
established the principle of ‘polluter must pay’, he said Pioneer News Service
adding that “our endeavour would be to follow that
Bhubaneswar, Sept 26: The Orissa Government will earn
principle.”
revenue of Rs 1,790 crore per annum if all the 10 power
“It is exclusively our prerogative to follow the model of our projects which signed MoUs on Tuesday go on stream.
neighbouring state,” Mr Patnaik said adding that the state
The financial benefit will accrue to the State in the shape of
government had given their approval to the move.
management fund, VAT, coal royalty, water cess as well as

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savings on cheaper power. Additionally, 2,475 MW of development Mr Jena remarked. Prof. Ajit Mohanty
power will be available to the Orissa. presided over the seminar. The Seminar was well attended
Speaking at the signing of the MoUs, Chief Minister by number students of the university.
Naveen Patnaik said the State will benefit immensely from Õ
these projects. There would be an investment of nearly Rs PM WANTS CENTRE-STATE ROW IN MINING
45,000 crore in the power sector. About 30,000 people will ISSUES RESOLVED
get employment of which 10,000 people will get direct
Our Bureau, The Hindu Business Line
employment and 20,000 indirect employment.
New Delhi, Sept 30: The Prime Minister, Dr Manmohan
However, Patnaik cautioned the power producers to abide
Singh, has asked the Minister for Mines to urgently sort out
by the law in protecting the environment. "An Environment
the differences between the Centre and the mineral-rich
Management Fund will be created soon with the
States with regard to value addition of minerals within the
contribution of the power producers and the money will be
State boundaries and delays in the grant of concessions by
spent on the protection of environment," announced Patnaik.
the States governments, according to an official release.
Energy Minister Surya Naryan Patro spelt out the key
The Minister of Mines, Mr Sis Ram Ola, would consult the
features of the MoUs. As per the agreement, the annual
Chief Ministers of the dissenting States on these issues.
contribution at the rate of six paise per unit of the energy
will be sold to other States and that money earned will be Hoda Report
deposited in the Environment Management Fund. At a review meeting on the proposed National Mining
The power generated in excess of 80 per cent plant load Policy, based on the Hoda Committee report, the Prime
factor (PLF) from the power plant will be made available to Minister said the new policy should be brought before the
the State at variable cost plus incentive. A nominated Cabinet at the earliest, after a thorough examination of all
agency authorised by the State Government will have the the contentious issues.
right to purchase upto 25 percent power sent out from the The requisite statutory amendments should be targeted for
Thermal Power Plant, as per the tariff determined by the the winter session of Parliament, the release added.
Regulatory Commission. In the meeting, the Mines Ministry pointed out that the
Rehabilitation of the land oustees will be in accordance with policy was being drafted on the recommendations of the
the new rehabilitation policy approved by the Government Hoda Committee and the mining concession dispensation to
of Orissa. attract investment and technology was proposed to be
Õ reoriented.
GOVT. MUST INVOLVE LOCALS IN THE PROCESS Study Group
OF INDUSTRIAL DEVELOPMENT The new policy would be based on unbundling and
Orissa Diary News seamlessness in the grant of concessions and hope to attract
investors of risk funds and mining juniors specialising in
New Delhi, Sept 12: The NSUI unit of JNU organised a
prospecting with modern technologies.
summit on Displacement and Development in Orissa.
Speaking on the occasion former Chief Minister As a revenue source for the mineral-rich States, the policy
Hemananda Biswal demanded a just and reasonable proposes to introduce an ad valorem-based royalty regime
package for the displaced. moving away from the tonnage regime currently in
operation.
Coming heavily upon the Naveen Pattnaik Govt., he
remarked that the State Govt. went ahead on signing the On the environment front, a special study group will
MOUs with private companies without evolving a proper develop a sustainable development framework based on the
rehabilitation measure for the displaced. Forwarding his internationally accepted model.
views former union minister of state, Bhakta Charan Das The main feature of this model would be the regeneration of
emphasised the need to develop the agro based industries in bio-diversity disturbed by mining interventions in addition
the KBK region of the state. He said,the Naveen Patnaik led to honouring the stakeholder interest of host populations
Government in the state instead of surrendering to the like the tribals, the release said.
nefarious designs of the MNCs should strive for the creation Õ
of basic infrastructure in the sphere of irrigation and
COAL SHARE EQUAL
industry. Moreover, he highlighted the need for the
development of human resourses as well as creation job Statesman News Service
avenues for the oustees. Another speaker Jena, sought a Bhubaneswar, Sept 25: The Ministry of Coal has approved
balance between development and displacement. Though a in principle the sharing of Nuagaon-Telisahi Coal block ~
common phenomenon in the entire world, the authorities owned jointly by OMC Ltd and Andhra Pradesh Mineral
should involve the Local people in the process of
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Development Corporation ~ on 50:50 by both the issue of iron ore exports and grant of captive mines to steel
companies. manufacturers.
The Nuagaon-Telisahi block is spread over 15 square Responding to the demand of curbing iron ore export and
kilometres with an estimated reserve of 733 million tons of allocation of captive mines to steel manufacturers made by
E&F grade Coal. The OMC proposes to use the coal to meet the Indian Steel Alliance (ISA), the Federation of Indian
the requirement of small-end users of the state, who are Mineral Industries (FIMI) has sought assured buyers in
unable to meet their requirement from MCL, and the domestic market as that would gradually bring down
upcoming steel and aluminium industries in the state. The exports.
Ministry of Coal has been requested to allot eastern side of To achieve this, FIMI has demanded a ban on granting
the Nuagaon-Telisahi block for the purpose, said officials captive iron ore mines to steel manufacturing companies.
here today. The OMC, one of the few profit making state-
Preservation of resources
run corporations, has achieved record production and sale
during the first five months of the current year. Production The ISA as well as a few political parties have been
of iron ore has reached 14.91 MT by August, 2006; while demanding the prevention of export and preservation of the
the production of chrome and chrome concentrate has been country's iron ore resources. They instead argue for exports
3015 and 610 MT respectively. of value added finished products such as steel.
During the corresponding period, 13071 MT of iron ore has In a letter to the Prime Minister, the Secretary General of
been sold, 74,800 MT of chrome ore exported and 1,53,663 FIMI, Mr R.K. Sharma, has said that, "At the present
MT chrome ore and chrome concentrate have been sold in juncture when steel plants (existing and prospective) are
the domestic market. The board of the corporation has assured of captive mines either by the Hoda Committee or
constituted two sub-committees to examine and recommend MoUs signed with State Governments, it is not understood
steps for the disposal of manganese stock and for enhancing how the ISA clamours for banning exports."
production of sponge grade iron ore to meet the demand Roadmap
from the steel plants. There have been no accidents in the The FIMI, in its letter, also tried to present a roadmap that
mines during March-July, 2006 and safety norms are being would bring down iron ore exports.
enforced strictly. New mobile light towers have been
"Most of the exports is from the stand alone non-captive
provided to improve the lighting in plots and working sites.
mines and is in the form of fines. The only way to regulate
Illumination survey is also being made regularly in the
or reduce exports is to stop giving captive leases to the
mines. A release issued by the OMC also highlighted the
current as well as prospective steel companies till the
social and peripheral development work undertaken by the
demand and supply match in India," FIMI said.
corporation.
Explaining the rationale, FIMI officials said that if there
OMC has given grants for roads, buildings, sports,
were takers in the domestic market, exports would naturally
education and hospital. It has planned to go for digging of
come down.
tube wells and dug wells on a massive scale in the
peripheral areas of mines with a budget of more than Rs one "If no captive mines are granted, the exports will themselves
crore. gradually taper off," the FIMI letter said.
OMC has also contributed Rs 4.23 crore for the Biju Existing mines
Pattanaik Sports Academy, Rs 2.57 crore for the Interestingly, FIMI not only wants a ban on granting captive
construction of Tomka-Mangalpur road, Rs 1.00 crore for mines to steel makers, it wants the Government to take
improving the Palaspanga-Bamebari road through Keonjhar away the existing mines of Tata Steel and Steel Authority of
Infrastructure Development Company and Rs 10.45 lakh for India Ltd (SAIL).
the construction of four nursing homes at the Capital Stating that companies without captive mines are efficiently
Hospital, Bhubaneswar. The corporation has declared a competing with companies having captive mines such as
bonus which will be 20 per cent of salary or wages and gift Tata Steel and SAIL, the miners' body has urged the Prime
of Rs 10, 000 to all its employees to be paid before Puja Minister that "effort should be to take away excess captive
holidays. Those who are not entitled to bonus have been mines from the existing steel plants at the time of renewal of
paid Rs 7,000 as incentive, said the release. their mining leases."
Õ Õ
MINING SECTOR AGAINST GIVING CAPTIVE ELECTRICITY, MINING PROPEL JULY
IRON ORE MINES TO STEEL COS INDUSTRIAL GROWTH 12.4%
Ambarish Mukherjee, The Hindu Business Line Our Bureau, The Hindu Business Line
New Delhi, Sept 12: The steel and mining industry's New Delhi, Sept 12: July saw the country's industrial
respective lobbying capacities are being put to test over the growth surging by 12.4 per cent against a 4.7 per cent
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growth in the same month last year. The spurt came about do not follow stipulated safety guidelines. Almost all unions
mainly because of strong pick-up in the electricity and have repeatedly lamented the fact that "in some of the
mining sectors. mines, managers have not gone down inside the mine for
A smart increase in consumer goods output also helped more than a year."
catapult industrial growth in that month. Electricity and An official note incorporating the union leaders' comments
mining sectors clocked growth rates of 8.6 per cent and 6 on the safety aspects in coal mining has quoted trade union
per cent, respectively, in July this year. In the same month leaders saying that some of the managers, project officers,
last year, mining output had declined by 1.9 per cent and general managers and even higher officials were in the habit
electricity generation dipped by 0.9 per cent. of falsely recording their attendance in the requisite Form-C
The manufacturing sector, which had a weightage of over (the register meant for recording attendance of those who
79 per cent in the index of industrial production (IIP), make underground visits).
recorded growth of 13.3 per cent as against 6 per cent in They alleged that chief general managers, project
July 2005. officers/managers do not visit the pit tops, in case of
In terms of use-based classification, consumer goods output underground and open cast mines (OCP), at the beginning
recorded a sharp increase of 17.9 per cent (4.5 per cent). of shifts, which is generally 8 a.m. in the underground
Output of basic goods registered a smart growth of 10 per mines and 6 a.m. in OCPs.
cent (3.4 per cent). The union leaders alleged that instead of giving exemplary
For the April-July period, industrial growth increased by punishment in case of mine accidents where mine officials
10.6 per cent as compared to growth level of 8.9 per cent in are directly responsible, officials are let off. As a
the same period last year. consequence, negligence and complacency get compounded
and result in disasters. They also cited many cases of
No pressure on rates seen
accidents where no action was taken against officials
Reacting to the industrial growth performance, the Finance responsible.
Minister, Mr P. Chidambaram, told presspersons that the
Õ
"happy part" was that the mining and electricity sectors,
which were laggards last year, had picked up strongly. GOVT’S MINING POLICY COMES UNDER
ATTACK
The Finance Minister also said that he did not see the rapid
expansion in industrial output exerting pressure on interest Statesman News Service
rates. Citing the Reserve Bank of India data, Mr Berhampur, Sept 10: Orissa government prefers to lease
Chidambaram said that non-food credit has grown by 33 per out its mines for a pittance to various companies rather than
cent. getting the proper market price for the mineral resources of
"Credit growth is very good. There is ample liquidity. Call the state, alleged the social and environmental activist, Mr
rates are moderate. While credit growth is high, I don't see Prafulla Samantra, who also heads the Orissa unit of the
that (high industrial growth) necessarily exerting any Lokshakti Abhiyan.
pressure on the interest rates", he said. Mr Samantra alleged that the Orissa government did not try
On the manufacturing sector, he said that segments such as to bring in changes in the recommendations of the special
textiles, man-made fibre, paper, basic chemicals, and Huda committee formed by the Centre to suggest changes in
transport have all recorded good growth. Mr Chidambaram the mining policy.
also said that high manufacturing growth would continue if Mr Samantra said, initially suggestions came up before the
commodity prices were to come down. Huda committee that the mines should not be leased out but
Õ should be auctioned to the highest bidder so that states like
Orissa, Jharkhand and Chattisgarh, can get better revenue
`SAFETY NORMS BEING IGNORED AT MINES'
from their mines.
Badal Sanyal, The Hindu Businessline
He alleged that this proposal was not supported by the
Kolkata, Sept 12: The mining mishap that occurred inside states.
the Nagda colliery at Bhatdih in Jharkhand on Wednesday
Bureaucrats run the show in Orissa and they have developed
has once again raised the question of safety in domestic
vested interest in favour of MNCs. Not many bureaucrats
mines. Safety experts say that the accident, which is feared
bother for the poor or the environment, he remarked. Mr
to have caused the death of 54 miners trapped inside, could
Samantra said that at present the state government is getting
have been avoided if the statutory safety rules for
a pittance as revenue from the tons of precious iron ore used
underground mines were strictly followed.
by TISCO. Similarly he alleged that the Vedanta Company
Incidentally, leaders of all Central trade unions operating in has been leased out to mine bauxite in the state and is to
the state-owned coal companies said that this sort of provide Rs 60 to the state government for each ton of ore
accidents are bound to occur again if the mining authorities mined as against a very high market price.
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According the Mr Samantra, the industries were well The situation is similar for Essar in Gujarat and Ispat in
represented and their interests were protected at the Huda Maharashtra. Therefore, there is a need to work out the
committee but the same cannot be said for states with course of action and there should also be clarity in the
mineral resources like Orissa, who did not press on to get policy for new brownfield and Greenfield capacity
more revenue from their ores for some mysterious reason. additions," the sources said.
He also pointed a finger at the chief minister hinting that a The PMO had constituted the inter-Ministerial group
kickback may be the reason behind it. He urged the Orissa following a letter to the Prime Minister, Dr Manmohan
unit of the Congress in Opposition, to oppose the Huda Singh, by Mr Naveen Jindal, Vice-Chairman and Managing
committee recommendations as due to it the ores of the state Director of Jindal Steel & Power and member of the Lok
would be sold in a throw-away basis to the industrial houses Sabha, seeking a ban on iron ore exports.
on lease. The committee has representation from the Ministry of
Mr Samantra and Orissa unit of the Lokshakti Abhiyan are Steel, Department of Industrial Policy & Promotion, the
opposed to Tisco using the land it acquired for the steel Department of Economic Affairs and the Ministry of
plant near Gopalpur for establishing a Sez. Commerce, with the Secretary (Mining) as its convenor.
He said as per the law, over 3,400 acres of land that was Õ
acquired by Tisco, should not remain with Tisco as the GOVT PLANS NEW COAL ROYALTY SYSTEM
company has failed to utilise the land for the purpose it was
Ambarish Mukherjee, The Hindu Business Line
acquired.
New Delhi, Sept 4: The Government is planning a new
Õ
royalty structure for coal that would have a fixed as well as
PANEL TO LOOK INTO IRON ORE MINE a variable component to replace the existing system of a
ALLOTMENT TO STEEL COS fixed rate per tonne of coal extracted. If the new system is
Ambarish Mukherjee, The Hindu Business Line put in place, revenues from coal royalties could go up by 5-
New Delhi, Aug 28: The high-level inter-Ministerial 10 per cent, sources said.
committee set up by the Prime Minister's Office (PMO) to That may eventually lead to an equivalent increase in coal
look into the issue of banning ion ore exports may also to prices if the producing companies decide to pass on the
look into the issue of allotment of captive iron ore mines to increased costs to the consumers.
steel manufacturers. The current formula being put forward by the Coal Ministry
At the first meeting of the committee held late last week, the was originally suggested by the Prime Minister's Advisory
Ministry of Steel has suggested that since there was Council headed by Dr C. Rangarajan, the sources said.
diversity of opinion on the issue of allotment of captive The Hoda committee set up by the Planning Commission
mines to steel-making companies, the high-level committee had also recommended a transition to the ad valorem system
should decide on the issue. from the current fixed sum system.
The suggestion has been made by the Ministry in the light New formula
of reservations expressed by existing investors in this sector
In the latest formula, State Governments receive a
on the controversial recommendation made by the Anwarul
predetermined fixed amount per tonne of coal mined. So,
Hoda panel report on mining policy.
even if coal prices go up, the State Governments do not get
Sources, however, told Business Line, "Though the Steel a share of it, and the mining companies book all the profits.
Ministry suggested that the committee look into the captive
As per the new formula, the new royalty amount would be
mining issue, no decision has been taken so far."
determined by the summation of a fixed amount per tonne
They added: "It was the first meeting and there were general that would be decided by the Government plus a fixed
discussions. The second meeting would be held shortly, percentage of the selling price of the coal.
possibly in a week or two, depending on the availability of
Six rates
all concerned."
As of now, there are six rates of royalty applicable to six
The Hoda panel had suggested that existing steel companies
grades of coal produced in India. For Grade I coking coal, it
should be allotted mines without the need for going through
is Rs 250 a tonne; for Grade II, Rs 165; for Grade III, Rs
the auction procedure as a one-time measure in the State.
115; for Grade IV non-coking coal, Rs 85; and for Grade V
"This is creating problems because of the peculiar phrase `in non-coking coal, Rs 65. For coal produced in Andhra
the State' in the Hoda committee report. For instance, Pradesh, the applicable rate is Rs 90.
Rashtriya Ispat Nigam Ltd (RINL) in Andhra Pradesh does
Sources said that the new formula is a middle way to
not have captive mines. Nor does Andhra Pradesh have any
accommodate the interests of both coal-producing and coal-
iron ore reserves.
consuming States, as coal royalty goes to the respective

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State's exchequer and offers a stable source of revenue to state to go ahead with the infrastructure development.
them. Besides, chief secretary Subas Pani made a presentation
The coal-producing States had been demanding the underlining the advantages of Orissa in terms of mineral
introduction of an ad valorem royalty system since it would wealth, energy potential, metal industry base, competitive
add to their revenues with the dynamics of coal prices. manpower and strategic location.
On the other hand, States without coal reserves, but with The Investment Commission specifically discussed about
some of the major consuming sectors such as cement, steel the process of five investment proposals, namely Posco's 12
and power, had been demanding continuation of the existing million tonne steel project at Paradip, Tata Steel's six
system and status quo be maintained. million tonne project at Kalinga Nagar, L&T's aluminum
Õ (Rayagada) and smelter project, AES proposal for capacity
expansion in OPGC and Reliance Power Project at Hirma.
INVESTMENT PANEL BACKS VALUE-BASED
MINING POLICY Briefing newsmen after the meeting, Tata said that the
meeting discussed in detail about the problems faced by the
Pragativadi
Orissa government on the investment sector.
Bhubaneswar, Sept 8: Chairman of the Investment
He said that the Commission would take up the issues of the
Commission and chief of the Tata Group Ratan N Tata has
state with the ministry of finance and other concerned
favoured the value-based mining policy of the Orissa
ministries to sort out these bottlenecks.
government.
Hailing the mining policy of the state government that has
Supporting the policy, he said that the decision of the state
decided to set up a value-based industry in the state instead
government not to allow export of minerals was correct.
of exporting iron ore from the state, Tata said that Orissa
The Commission chairman accompanied by another would play a major role in the realisation of national growth
member of the Commission and chairman of Housing targets and assured all possible support on the policy issues
Development Finance Corporation (HDFC) Dipak Parikh, raised by the state government.
as part of their state visit, had a meeting with senior state
Among others, steel and mines minister Padmanav Behera
government officials that was presided over by chief
and energy minister Surya Naryan Patro were also present.
minister Navin Patnaik at the State Secretariat in
Bhubaneswar on Wednesday. Õ
The meeting reviewed investments in energy, steel, HIRMA POWER UNIT PUT ON HOLD
aluminum and other sectors. Newindpress.com
Besides, the state government also submitted a report Bhubaneswar, Sept 27: The State Government on Tuesday
relating to ongoing investments in the state. deferred the scheduled signing of the memorandum of
This apart, the state government also apprised the understanding (MoU) with the Reliance Energy Limited
Commission of the infrastructure development that is being (REL) for establishment of a 4000 MW power plant at
taken up with the investments made by the private concerns. Hirma in Jharsuguda district until all the disputes between
the distribution companies controlled by it and Gridco are
Among other issues figured at the meeting were, raw
resolved.
material support for mega investments through the value
addition principle in the grant of mining leases, preferential The project, with an estimated investment of over Rs 16,000
allocation of coal blocks to industries coming up in the crore, was cleared by the High Power Clearance Committee
state, royalty on ad valorem basis, adequate compensation to headed by Chief Minister Naveen Patnaik on September 20.
host state for generation of thermal power and special The signing of the MoU was also scheduled for Tuesday.
industrial incentive package for KBK region on the lines of However, the State Government deferred it in the face of
the policy dispensation given to Himachal Pradesh and criticism from the Opposition parties and green groups.
Uttaranchal that include income tax and excise duty The three distribution companies, which were controlled by
exemption for a period of 10 years from commencement of REL - Southco, Nesco and Wesco –– had an outstanding of
commercial production. Rs 2,100 crore payable to the Gridco.
While making a specific mention about the single window The Orissa Electricity Regulatory Commission (OERC) has
mechanism to be set up under the Orissa Investment directed the Reliance ADAG to pay Rs 1,200 crore to
(Facilitation) Act, 2004 for speedy investment approval, the Gridco in 20 instalments in 10 years.
chief minister also highlighted the pioneering policy
Besides, it has also revoked the licences of the three
dispensation put in place by the state government on the
distribution companies acting on a complaint from Gridco.
Rehabilitation and Resettlement (R&R) front.
The REL approached the Appellate Authority against the
He sought support from the Commission in facilitating OERC order. The Appellate Authority has appointed two
creation of an appropriate policy framework to enable the officials to run the three distribution companies.
8
Energy Minister Surya Narayan Patro said the MoU contributions from generators to ameliorate the effect of the
between the State Government and the REL would be proposed thermal plants, the issues relating to water and fly
signed soon for establishment of the power plant after the ash use are yet to be studied.
problems were sorted out. Patro said a joint task force had The focus of the speeches were on the revenue generation
been constituted to resolve the outstanding issues. and projection of electricity demand pushing even the land
Patro said besides the issue of outstanding dues, several and coal requirement to the backdrop. Energy minister Mr
other problems were needed to be sorted out. Reliance has SN Patra, however, claimed that Orissa had coal reserves to
not renewed the shareholders’ agreement since March 2003. produce 1 lakh MW for 100 years. In fact, the total land
The other problem is the servicing of the Rs 400-crore required by these projects is said to be over 13,000 acres.
bonds pledged to Gridco for payment of dues of National As for revenue and energy advantages, the state government
Thermal Power Corporation (NTPC). claimed that it would get at least Rs 1,700 crore per annum.
Sources said though the State Government was trying to The companies have agreed to contribute 6 paise per unit of
iron out a settlement with the company, Reliance is not energy which will be sold outside the state and authority
prepared to commit anything as its appeal is pending before over 25 percent of the power sent out from the plant as well
the Appellate Authority. as access to power generated in excess of 80 percent of the
plant load factor. The government said the 2,475 MW of
Õ
power will be available to the state.
MOUS FOR POWER PLANTS SIGNED
The chief minister stressed adherence to pollution norms
Statesman News Service and to the RR policy. He also pointed out that direct
Bhubaneswar, Sept 26: Orissa powered itself in its march employment to 10,000 people and indirect engagement of
towards becoming the power house of the nation today with another 20,000 will be created by the power plants.
10 independent power producers signing MoUs with the Õ
government entailing an investment of over Rs 45,000 crore
ULTRA POWER PLANT: CENTRAL TEAM
and generation of 10,920 MW in the first phase.
FINISHES ‘SITE-SEEING’
The companies which signed MoUs today were Tata Power
Newindpress.com
Company Ltd (1,000 MW plant in Cuttack district), Calcutta
Electricity Supply Corporation (1000 MW plant in Bhubaneswar, Sept 14: A joint team of Central Electricity
Dhenkanal district), Sterlite Energy (2,400 MW plant in Authority (CEA) and Power Finance Corporation (PFC) has
Dhenkanal district), Essar Power (1,000 MW in Angul already visited Jharsuguda and Sundargah districts to locate
district), Jindal Photo Ltd (1,000 MW plant in Angul), KVK a suitable area for installation of the proposed 4,000 MW
Nilachal Power (600 MW in Cuttack district), Monnet Ispat ultra power plant. The Centre has decided in principle to set
Energy Ltd (600 MW in Angul district), Lanco Group up a mega power project in the State following demand
(1,320 MW plant in Dhenkanal district), Visa Power (1,000 from Orissa having a huge coal reserve.
MW either in Cuttack or Angul district) and Bhusan Energy Earlier, the Centre had announced setting up of five ultra
(1,000 MW in Angul district). power project of 4,000 MW generating capacity each under
Significantly, Reliance Energy was missing from the list. tariff based competitive bidding route in Madhya Pradesh,
The company was expected to sign an MoU for its proposed Chandigarh, Gujarat, Karnataka and Maharashtra.
mega power plant the first phase of which will generate Apart from site selection, the joint team discussed the
4,000 MW. source of water to meet the requirement. Since Hirakud
Though efforts were on till the last minute, contentious reservoir is meeting the irrigation and hydro power need of
issues relating to clearance of arrears of the Reliance the State, the only alternative source for water is Ib river.
Energy-run distribution companies remained unresolved The team explored whether Ib could meet the water demand
leading to the deferment of the MoU signing. It is reliably of the proposed thermal plant, Energy Minister SN Patro
learnt that the government raised several queries and the said.
company was yet to meet them to the satisfaction of the The State Government has proposed the Centre that one-
state. third of the power to be generated from the ultra power
After the spate of MoUs in the steel and alumina sector, project should to be dedicated to the State. However, no
Orissa with its huge coal reserves had been able to attract final decision has been taken so far.
prominent power generators. Today, 10 of them turned up to Asked if American power major AES Corporation will bid
establish thermal plants and most of them have preferred the for the proposed ultra mega power project in the State, the
Dhenkanal- Angul hot bed. Minister said that the State Government would object to it
Though chief minister Mr Naveen Patnaik emphasised the as was done in case of the Chhattisgarh project.
creation of an Environment Management Fund with Õ
9
SPAIN PLANS NUKE PLANT IN STATE progressed after the January 2 police firing in which 13
Statesman News Service tribals were killed.
Bhubaneswar, Sept 8: Spanish nuclear power developer The State Government has offered the Tatas 550 acres of
Cala Casa Sl has evinced interest to set up a 20 MW land which it had provided to Maharashtra Seamless for
multipurpose-generation IV nuclear power plant on Build- starting the project work.
Own and Operate basis, in Orissa. Work on the four million-tonne plant to be established by
An Expression of Interest (EoI), submitted to the energy the Essar Group at Paradip has also not started as the State
department by city-based trading firm, Global Link Pvt Ltd, Government is yet to locate the land required for the project.
on behalf of the Spanish company said, CCS would invest The Essar Group had signed an MoU with the State
80 per cent of the project cost and the state government will Government to set up the plant at an estimated investment
have to invest the remaining 20 per cent “The capacity is to of Rs 10,721 crore. The land requirement for the project was
be increased at a later stage in the range of 40 MW, 60 MW, estimated to be 2,500 acres.
80 MW and 100 MW basis,” the letter addressed to energy The other big projects include the one by Bhusan Steel and
secretary Mr A K Tripathy said: “While CCS was interested Strips Limited to be established at Meramundali in
to provide fuel for a minimum contract period of 20 to 25 Dhenkanal district.
years, the company had sought minimum ten acres of land
The company had signed an MoU with the State
on long lease at a reasonable price by the government.”
Government for establishment of a three million-tonne plant
“The nuclear power plant, generation IV, the simplified gas-
with an investment of Rs 5828.15 crore.
cooled reactor is a developed compact nuclear plant and
layout concept maximises the benefits,” the letter said. Sterlite Iron and Steel Limited had signed an MoU with the
State Government for establishment of 5.1 million-tonne
Õ
steel plant at Palasponga in Keonjhar district with an
5 MORE STEEL COMPANIES START investment of Rs 12,502 crore.
PRODUCTION
The land requirement was projected at 3,400 acres.
Newindpress.com
Jindal Steel and Power Limited had also signed an MoU
Bhubaneswar, Sept 26: Five more companies have started with the State Government for establishment of a six
production of steel. Earlier, 15 companies had started million-tonne steel plant at Deojhar in Keonjhar district with
commercial production. an investment of Rs 13,135 crore.
The Orissa Government had signed memoranda of However, chances of the company setting up the plant
understanding (MoU) with 43 companies for establishment receded after it signed an MoU with Jharkhand Government
of steel plants in the State. to set up a five million-tonne steel plant.
According to Steel and Mines Secretary L.N. Gupta, the five Õ
companies which started production are, Bhusan Steel and
GOVERNMENT TO SIGN MOUS FOR 4 MINI-
Strips Limited, Action Ispat Steel and Power Private
STEEL PLANTS
Limited, Eastern Steel and Power Limited, Maithan Ispat
Limited and Shyam DRI Power Limited. Newindpress.com
Gupta said 20 companies which have started production Bhubaneswar, Sept 20: The State Government will soon
have invested Rs 10,000 crore. While 6,764 persons from sign Memoranda of Understanding (MoUs) with four
within the State have been employed in these plants, 2,340 private companies for establishment of mini-steel plants
from outside have been appointed. with a total investment of Rs 1,720 crore.
The progress of six big plants was also reviewed by Gupta. The Government had so far signed 43 MoUs with private
The six companies have already invested Rs 6,000 crore in companies for setting up steel plants with a total investment
their plants and employed 661 persons (390 from the State of more than Rs 2 lakh crore.
and 271 from outside). Of these 43 MoUs, the Government had issued show-cause
The big projects include the 12 million-tonne plant to be set notices to at least 10 companies for not taking any interest
up at Paradip by Korean major Posco. In the face of in setting up the plants. It has already cancelled the MoUs
opposition from local people during land acquisition, the with three companies for this reason.
Korean company has already scaled down its requirement Official sources said the four companies, which have
for land by 20 percent as a result of which the number of evinced keen interest, to set up the mini steel plants are Scan
families to be displaced by its plant has come down to 450. Steel, Bhaskar Steel and Ferro Alloys, Sri Mahabir Ferro
The proposed six million-tonne plant by the Tata Iron and Alloys Limited and Maa Samleswari Industries Limited.
Steel Company Limited (Tisco) at Kalinga Nagar has also While Scan Steel has proposed to set up 0.568 mtpa steel
plant at Bajbahal in Sundargarh district at an estimated cost
10
of Rs 590 crore, the Bhaskar Steel and Ferro Alloys has A place close to the mines, railway tacks, roads and, more
proposed to have a 0.27 mtpa steel plant at Tumkela near importantly, port would be preferred, Dr Sanak Mishra,
Bonai in the same district with an investment of Rs 312 chief of Indian Operations of Mittal Group, had said during
crore. his recent visit here.
Similarly, Sri Mahabir Ferro Alloys would set up 0.38-mtpa According to sources, the proposed site at Patna tehsil in
steel plant in two phases at Kulugaon near Rourkela at an Keonjhar is a landlocked area having 7,584 acres of land, of
estimated cost of Rs 435 crore and the Maa Samleswari which private land is 4,312 acres and Government land is
Industries Limited would invest Rs 284 crore to set up a 3,272 acres. The number of families to be affected is 1,233
0.257 mtpa steel plant at Lapanga in Jharsuguda district. with a population of 4,864.
Official sources said MoUs with these companies would be In the wake of the January 2 Kalinga Nagar police firing,
signed before the Durga Puja festival. the State Government is looking for places for industrial
Õ projects where there would be the least displacement of the
locals. And Patna suits the bill, if the Mittals opt for a mine-
SINOSTEEL'S FIRST EVER PLANT IN ORISSA
based site, said an official.
SOON
For a port-based site, they will be offered the Basudebpur-
Pioneer News Service
Dhamra area, where the Dhamra Port Company, a joint
Bhubaneswar, Sept 13: China's second biggest iron ore venture of L&T and Tata Steel, is setting up a major port to
trader Sinosteel Corp is likely to set up its first-ever steel handle 12 to 23 million tonnes of cargo per annum. Earlier,
plant in India to tap the country's deposit of the steelmaking Mittal Steel Team, led by Dr Sanak Mishra, has already
ingredient as demand for the alloy rises. visited the place. In the mean time, the Mittal technical team
Sinosteel may build a 3-million-tonne-a-year plant in will visit the Basudebpur-Dhamra area by September 16.
Orissa, competing with ventures planned in the east Indian The team has already covered all the seven spots offered by
States by Mittal Steel and Posco, Hong Sen Wang, the Government, including Patna.
managing director of the company's Indian unit, is reported Õ
to have said. The plan is expected to be finalised by the
STEEL PROJECT: ORISSA UPBEAT, MITTAL
year-end.
CAUTIOUS
Sinosteel may initially invest $500 million on the venture
Pragativadi,
and is seeking rights to mine 5 million tonnes a year of iron
ore for up to two decades. The company will decide on the Bhubaneswar, Sept 13: As Orissa exuded confidence that
location after the study is completed, said Wang, who met an agreement with Mittal Steel on a 7-billion dollar steel
officials from Orissa's steel ministry on Tuesday. plant could be reached by November, the world's largest
steel maker has become more circumspective as it seeks
Õ
more commitment from the Centre and the state
GOVT ZEROES IN ON KEONJHAR, BHADRAK governments toward its project.
SITES FOR MITTAL'S PLANT
Mittal Steel, which has announced two identical 12 million
Pioneer News Service tonne projects in Orissa as well as Jharkhand, said that India
Bhubaneswar, Sept 13: The Orissa Government has should make it easier for investors to invest here.
finalised two sites for the 12-MTA steel plant proposed to Delivering a lecture at the Diamond Jubilee function of the
be set up by Arcelor- Mittal Steel, official sources said on Indian Institute of Metals in New Delhi on Monday, CEO of
Wednesday. Mittal Steel (India) Sanak Mishra said that the desire of his
"They will be finally offered two sites, in Keonjhar and company to be in India is considerable.
Bhadrak districts," on September 16, when the State It will take a lot of hard work from both the government in
Government and Mittal Steel Team will have a meeting to New Delhi and the states on our project, he added.
finalise the site, said the sources, adding that the Mittals'
Earlier in the day, Orissa minister for steel and mines
preference is open as they may go for either a mine- or
Padmanabha Behara said that the MoU would be through
shore-based location for their project.
once Mittal Steel acquires 3,000 acres of land it has sought
The Mittal's were offered sites in the iron ore-rich Patna from the state government.
area in Keonjhar district and Basudebpur-Dhamra in
He said that the global Memorandum of Understanding
Bhadrak district as possible locations. This is the latest
(MoU) with Mittal Steel was likely to be signed within the
development after Chief Minister Naveen Patnaik held a
next two months.
meeting with Mittal Steel Chairman Lakshmi Niwas Mittal
in Mumbai a few days back. Mittal had said they wanted to Indicating that the steel major might not use the Bhambra
finalise the sites as soon as possible. port as was being reported, he said Mittal is likely to use the
upcoming port in Gopalpur being built by the Orissa
11
government. After acquiring French steel major Arcelor, L JINDAL LAND ACQUISITION
N Mittal had in July said Mittal Steel would set up a 12 Newindpress.com
million tonne steel plant in Orissa. He had announced
Bhubaneswar, Sept 27: Land acquisition for the proposed
similar plans for Jharkhand in October last.
steel plant to be set up by the Jindal Steel and Power
The Orissa government had shown seven possible sites to an Limited at Angul has gathered momentum. Land
Arcelor Mittal expert team. To speed up things, the steel requirement for the six million tonne per annum capacity
giant has appointed MECON as consultant to select a site plant has been projected at 5,750 acres. The project entails
for the project. an investment of Rs 13,135 crore. Sources said the company
However, Mishra said that the state governments should be signing an MoU with the Jharkhand Government will in no
firm on their commitment to enable the company fructify its way affect its project in Orissa. The site of the plant has
investment in the country. been shifted from Deojhar in Keonjhar district to Angul for
He also noted that the Centre understood the company's techno-economic reasons.
priorities -- evident from the fact that prime minister Õ
Manmohan Singh was heading the Infrastructure POSCO, 30 OTHER SEZ PROPOSALS GET BOA
Committee. NOD
Behara said Mittal was likely to use either the Paradip Port PTI
or the upcoming port in Gopalpur being built by the Orissa
Bhubaneswar, Sept 29: South Korean steel giant Posco's
government for its steel project.
proposal to set up a mega Special Economic Zone in Orissa
The possible sites for Mittal's Steel plant are Khallikot in with an investment of Rs 53,000 crore was among the 31
Ganjam, Basudevpur in Bhadrak, Balgopalpur in Balasore proposals cleared by the Board of Approvals.
and Patna in Keonjhar.
While the mega multi-product SEZ of Posco in Orissa's
Õ Jagatsinghpur district was given in-principle nod along with
MITTAL TEAM ON KEONJHAR VISIT 12 others, the board also gave final approval to 18 cases.
Pioneer News Service Posco's SEZ would be spread over an area of 1,601
hectares. With today's decision, the number of SEZs that
Keonjhar, Sept 10: Mittal-Arcelor's consultant for Orissa
have got final approval has gone up to 181, according to an
Mecon visited the proposed project site at Patna here on
official release issued here.
Saturday.
Aware of the storm that land acquisition for SEZs has
Orissa's 12 million ton project site at Patna, which ranks
created, the release mentioned that state government
number one (as per Mittal- Arcelor's Indian director, Sanak
representatives present at the BoA meeting confirmed all the
Mishra) was visited by Mittal's GM (project) S Venkatesh
zones cleared today would come up either on waste land,
and Mecon Ltd's GM AK Sinha along with a seven-member
barren land or single crop land. Besides, six more SEZs,
team. The team also comprised IDCO's Land Acquisition
which have already got government approvals, were notified
Officer KK Mohanty, and the sub-collector Bibhuti Bhusan
today taking the total number of zones that have been
Das.
notified to 32.
The team had a long meeting with the District Collector SK
The biggest SEZ that was notified today belonged to Essar
Lohani and other officers. In an informal chat with local
Group at Hazira in Gujarat. The SEZ would be dedicated to
scribes Venkatesh told this is first and unique of Mittal's
engineering products and would be spread over an area of
Indian projects and is to be in the Green Valley Area
247.5 hectares. Zydus's 48.83 hectare pharma SEZ in
(simultaneously in Orissa and Jharkhand). According to the
Ahmedabad was also notified along with four IT SEZs.
team, the State and District Administration's co-operation
and presentation is tech-savvy and highly encouraging and This was the fifth meeting of the BoA since the SEZ Act
he hoped for the same in other two proposed sites in the came into force in February this year. The Board will hold
State. three more meetings over the next ten days to clear pending
applications for setting up SEZs.
Answering to a query by The Pioneer, the team head stated,
"We are with this project considering all the pros and cons Õ
in the local market and there will be development with a NORMS FOR SEZ LAND SOON
human face strengthening the commitment of the Mittal's Newindpress.com, Business & Economy News Bureau
for their respect for respective laws and customs." Several
New Delhi, Sept 20: The Board of Approvals (BoAs) for
eminent citizens met the team and presented local demands
Special Economic Zones (SEZs) will shortly lay down new
to have this plant with justification keeping in view the local
guidelines governing the development of such zones, said
concerns.
Gopal K Pillai, special secretary, Ministry of Commerce and
Õ
12
Industry, at the India SEZ Summit 2006, organised by the units and developers include duty free import of goods,
Confederation of Indian Industry (CII) here on Wednesday. exemption from Service Tax and Central Sales Tax.
Though SEZs have been around only for a few months now, FDI up to 100 percent under the automatic route is also
some interesting successes have been achieved, for allowed for setting up SEZs. The next meeting of BoAs on
example, in developing India’s electronic hardware sector. September 28 would take up all the proposals from
The government's move to lay norms for land acquisition Chandigarh, Dadra and Nagar Haveli, Goa, Himachal
comes in the wake of severe criticism from several quarters Pradesh, Jharkhand, Maharashtra, Orissa, and Punjab.
who allege that farmers were being pushed out of their land Whereas, The October 4 meeting would consider proposals
to benefit a few big companies. from Bihar, Haryana, Gujarat, and Uttar Pradesh, while the
next meeting two days later would take up proposals from
"We are meeting the representatives of state governments
Madhya Pradesh, Rajasthan, Tamil Nadu, and West Bengal.
tomorrow to advise them on land acquisition for SEZs. The
BoAs will lay down some general guidelines on this," Pillai Though, the government is focusing on SEZs at the expense
added. of rejuvenating existing urban industrial clusters. But the
existing domestic industry should not be orphaned.
The meeting is also likely to consider norms for putting up
social infrastructure such as schools, roads, parks, and Õ
hospitals in the zones. Though no new cases would be taken NALCO TO SET UP RS 15000CR ALUMINIUM
up, the BoA would discuss the cases that have already been COMPLEX IN ORISSA
given in-principle approval. PTI
Pillai elaborated and said that the proposed guidelines will Bhubaneswar, Sept 29: Aluminium major Nalco will set
cover the percentage of processing and non-processing areas up a second Greenfield integrated aluminium complex in
in SEZs, development of infrastructure within SEZs and the Orissa at an investment of Rs 15,000 crore. The complex
approvals process. The guidelines will not tie developers will comprise a 1.5 million tonne alumina refinery, a
down as they have other statutory compliances such as smelter with installed capacity of 2.5-3 lakh tonne and a
approval of their Environment Impact Assessment, approval captive power plant. For this purpose, Nalco has moved the
of the master plan by the state authority and have to follow Orissa government for allotment of bauxite deposit in the
town planning guidelines. Gandhamardan hills in Sambalpur district. These mines are
Pillai said some companies such as Bharat Forge have estimated to have 220 million tonne bauxite reserve. "The
adopted innovative models to take along displaced people application is now pending with the government and once
by offering them equity shares, provide training and jobs in we get the green signal, we will go for the detailed
the SEZs besides monetary compensation for the land. feasibility study of the project”, said CR Pradhan, chairman
Pillai spoke on the controversies that have come up in the and managing director, Nalco. The public sector unit had
wake of the SEZ Policy, announced last year. One pertains tried to mine bauxite in the Gandhamardan hills about two
to the projected loss of tax of around Rs 90,000 crore over decades back. But it withdrew from the taks following a
the next few years. “The ministry has analysed this and feels protracted
that the net benefit to the government through indirect taxes Õ
will be Rs 45,000 crore.” GREEN GROUP SEES THREAT TO NIYAMGIRI
The other controversy has to do with land acquisition. To Newindpress.com
date, 150 SEZs have been set up covering 26,800 hectare
Bhubaneswar, Sept 26: Green Kalahandi, an organisation
(Ha), and no farmers have been displaced, claimed Pillai.
opposing the Vedanta Alumina Refinery project at
Another 225 applications are pending that will require
Lanjigarh in Kalahandi district, announced that it would
75,000 Ha. “This is a tiny fraction of India’s cultivable area
intensify its stir from October 2. Addressing mediapersons
and we need to keep a sense of proportion,” he added.
here on Monday, Green Kalahandi chairman Bhakta Charan
Anil G Mukim, joint secretary, ministry of commerce and Das said that people in all the villages of the district would
industry, said that SEZ-based industries are expected to take a pledge on October 2 to throw Vedanta out of
employ half a million people by December 2007 and invest Kalahandi and protect the environment.
Rs. 100,000 crore, including Rs 25,000 crore of FDI. In
He said that activists of the organisation would move from
2005-2006, the 18 operational SEZs exported Rs 22,500
village to village in the district making people aware of the
crore worth of products and employed 1.23 lakh people.
threat posed by the project to water sources and forest in the
It maybe recalled that under the SEZ Act 2005, the central area. Kalahandi, which had recently emerged as the ‘granary
or state government, or any individual can set up an SEZ. of Orissa’ making people self-reliant in agriculture sector,
Individuals can either apply to the state government would turn into a desert if the Niyamgiri Hills is allowed to
authority or directly to the BoAs. Fiscal provisions to SEZ be exploited by the company for mining of bauxite.

13
He maintained that Kalahandi’s agriculture economy would and not a single gramme of ore would be exported raw.
be severely affected if the project is allowed to run. Experts, "Being a son of the soil, I want the State to prosper," said a
academicians, wildlife experts and the common people have visibly excited Dr Panda, adding, "The moment we get the
been opposing the project for long, he said and added that necessary clearance from the State Government, we go
seminars on the negative impact of the project were ahead with the projects, said Dr Panda.
organised even in New Delhi to mould public opinion. Sources said the IMFA would invest around Rs 3,300 crore
Das said that people of the district would observe two in this one MTPA alumina project. It is also panning to
minutes silence and resort to slogan shouting against the expand its existing power plant at Choudwar. At the
project for five minutes on October 2, on Dussehra. moment, the plant produces 108 MW power. The IMFA
Describing Vedanta as a ‘demon’, Das said that the group wants to enhance production to 120 MW in future at
company’s effigies would be burnt on the evening of Choudwar.
Dussehra in all the villages of the district. Õ
He said units of the organisation would be set up in each FM CLEARS TWO FDI PROPOSALS WORTH RS
panchayat in Lanjigarh block to spearhead the agitation. 192.5 CR
Das, a former Union minister, said the gram sabha meeting Orissa Diary News
held at Lanjigarh on May 16 had resolved not to allow New Delhi, Sept 18: Finance Minister P Chidambaram on
Vedanta to explore even a single tonne of bauxite from the Monday cleared 26 foreign direct investment proposals
Niyamgiri Hills. amounting to Rs 992.84 crore.
‘We will also not allow Vedanta to import bauxite from This includes an investment of Rs 342 crore by Japanese
outside and run the plant here,’ he said, adding that under no company Mitsubishi Chemicals Corporation (MCC) for its
circumstances, the company would be allowed to go for PTA plant in West Bengal, Rs 192.5 crore by Russian
commercial production in the area destroying its agricultural company JSC Technochim Holding in a titanium project in
produce. Orissa, and Rs 405 crore by UK-based British Gas for gas
Eminent sociologist TK Omen, who was also present at the distribution in three other projects.
media conference, questioned the approval given to the These relate to ministries/ departments of chemicals and
project on a schedule area without clearance from the petrochemicals, commerce, information and broadcasting,
competent authority. industrial policy and promotion, petroleum and natural gas,
‘The way the State Government has shown interest in telecommunications, urban development, economic affairs
promoting the project, ignoring its possible impact, clearly and tourism.
indicates that there was something fishy about it,’ he added. However, the major investment proposals pertain to
Õ chemicals and petrochemicals, petroleum and natural gas.
IMFA PLANS TO SET UP ALUMINA PLANT, CHIEF MCC will be investing Rs 342 crore in its polyester
MEETS CM intermediate (purified terephthalic acid) plant at Haldia in
Pioneer News Service West Bengal. JSC will invest Rs 192.5 crore in the
manufacture of titanium products, titanium sponge and
Bhubaneswar, Sept 16: Indian Metal Ferro Alloys (IMFA)
titanium dioxide pigment in Chhatrapur, Orissa. BG Energy
chairman Bansidhar Panda met the Chief Minister Naveen
holdings will invest Rs 135 crore each in Andhra Pradesh,
Patnaik on Friday at the State Secretariat and submitted a
Karnataka and Tamil Nadu to set up a wholly owned
proposal to set up an alumina plant in the State. Dr Panda
subsidiary to transmit and distribute gas.
termed the discussion with the Chief Minister as positive.
Õ
Panda is the only industrialist from the State who has
reached the pinnacle of glory in the mineral sector. He is the CONSORTIUM TO BOOST GOPALPUR PORT
father of leading young MP of Rajya Sabha from Orissa, Newindpress.com
Baijaynta Panda. Bhubaneswar, Sept 15: The State Government on
Dr Panda said his existing plant at Therubali and Choudwar Thursday signed a concession agreement with Gopalpur
would undertake an expansion and diversification Ports Limited for development of the Gopalpur port on
programme and that IMFA will set up an alumina plant at BOOST (build, operate, own, share and transfer) basis for
its Theurbali unit. Therubali is situated close to bauxite 30 years.
deposits, the basic requisite for alumina. The firm is a consortium of Orissa Stevedores Limited
The Group requires mining lease before it sets up its (OSL), Sara International Limited and Noble Group
projects, Dr Panda added. Limited. Principal Secretary in the Commerce and Transport
He further said as per the mineral policy of the State Department Priyabrata Patnaik and cc Mishra signed the
Government, his company would go only for value addition agreement in the presence of Chief Minister Naveen
14
Patnaik. The consortium would invest Rs 1,700 crore in the memorandum, which was sent to the Prime Minister, the
next five years for the development of a multi-berth, state- Tribal Affairs Minister, the Orissa Governor and the Orissa
of-the-art port. The equity share of the consortium in the Chief Minister. The leaders agreed upon a total no-no to
project would be Rs 450 crore while the rest would be further displacement in the tribal areas. When asked,
raised from financial institutions. Sukhdev Munda of Orissa Adivasi Adhikar Abhijan said,
Investment will be Rs 720 crore in the first two phases and "The tribals are never the beneficiaries of the so-called
go up subsequently. Naveen said the port would be development initiatives of the State, which the national
developed into an all-weather facility in four years and have policy itself recognises. Ultimately we are displaced from
the capacity to handle cargo of 10 million tonnes per our jungle and jamin, our livelihood is lost; at our cost
annum. The project will generate direct and indirect others develop." "We welcome the small industries, which
employment for a large number of youths. A titanium cause no displacement, no harm to ecology and are meant
dioxide plant and a Special Economic Zone (SEZ) would be for the development of tribals," said Biranchi Nayak of
set up at Gopalpur soon to facilitate new industries. Sakti and Mukti Sangathan.
The State Government is also exploring the possibility of The leaders expressed their strong protest against the
formation of a Special Purpose Vehicle (SPV) for extending attempt of the Orissa Government to amend the OSATIP
Nuapada-Gunupur railway line to Theruvali. This will link Regulation of 1956 (which was amended in 2002) to
the alumina industries in the KBK districts with Gopalpur facilitate the alienation of patta lands of the tribals to the
port, he said. non-tribals. Kaira Singh of the Ho Munda Bhasa Vikas
Parisad alleged that the Government by bringing in such
The Government is also building 1,000-km road on par with
amendment was trying to give our land to the big industries.
national highway to link KBK with Gopalpur and other
Lamenting on the regressive attempts made by the
parts of the State. Gopalpur port has the advantage of close
Government Singh said, "On one hand the Centre is
proximity to Golden Quadrilateral NH-5 and Kolkata-
considering providing rights to tribals on their land and
Chennai railway line and can be developed into a full-
forest, the State is promoting the menace of land alienation
fledged port in a very short time, Naveen claimed.
coming under the pressure of some vested interest groups on
Mahimananda Mishra, MD of OSL told the media that the the other." "It seems the Government has not learnt any
port has facilities for anchorage and the consortium would lesson from the Kalinga Nagar incident," added Milton
invest Rs 100 crore for upgrading the facility to load the Toppo, a leader from Sponge iron area of Sundergarh
first vessel in January-February, 2007. district.
In the first year of Phase-I, the port will handle over 2.5 lakh The leaders expressed dissatisfaction over the way the
tonnes of cargo. This will increase to 7.5 lakh tonnes by the Government published the draft (only on website) to seek
third year. In the stage-1 of Phase-II, an all-weather port, public opinion that too in a very limited time period. The
with break-water provision and 660-metre berth facility to policy would affect the life and livelihood of more than 84
accommodate vessels up to 12-metre draft, will be million Adivasis. It, therefore, needs very thorough
constructed. discussion among all the Adivasi communities apart from
Four international-standard berths are expected to be ready others, they said.
to load cape-size vessels in the stage-II of Phase-II. The The leaders also said the policy surprisingly did not mention
consortium has plans for construction of a container any welfare measure for the Adivasi children. A separate
terminal and an oil jetty in 2012-13. section exclusively dealing with the welfare and
The port will also handle discharge and the facility will be development of tribal children should be included in the
constructed as an LNG receiver to cater to the needs of policy, they said.
industries in the Eastern sector, he said. D P Singh, MD of The memorandum written to the PM, the CM and the
Sara International, said the port is strategically located to Governor stated that there should at least be two residential
boost trade in the entire country. schools, one for boys, another for girls and the teachers
Minister of State for Commerce and Transport Jaynarayan appointed should be from same Adivasi communities.
Mishra and Chief Secretary Subas Pani were present Provisions should be made for proper training to Adivasi
Õ teachers, providing adequate facilities for learning and
TRIBALS SAY NO TO FURTHER DISPLACEMENT teaching, considering the option of using local dialects as
medium of education in at least lower primary level, making
Pradeep Baisakh
adequate budget allocation and placing strict monitoring
Bhubaneswar, Sept 7: Tribal leaders of various tribal mechanism it said.
organisations from 15 districts of Orissa got together in a
One of the tribal leaders said the Orissa Government had
consultation workshop on Draft National Tribal Policy 2006
decided to privatise some hydropower projects. The
at the Pantha Nivas, Bhubaneswar and came up with a
proposed water policy explicitly speaks about water
15
privatisation. These have potential toward direct and POSCO UPDATE
indirect displacement of Adivasis. MINING LEASE STILL ELUDES POSCO
Special provision in the policy toward banning direct and Pioneer News Service
indirect privatisation of water and water bodies should be
Bhubaneswar, Sept 19: Can South Korean steel company
made, he added.
Posco meet its deadline for commissioning the first phase of
Saying that there is no religious code Bill for tribal religions its production by 2010? Looking at various aspects, it is
and a tribal child is enrolled in school their name is unlikely to achieve the target. This is because the company
mentioned under some or the other recognised religion like is facing problems, both at ground as well as top levels.
Hinduism, Christianity etc, a leader said, "We therefore
While the people at the project site in Jagatsinghpur district
demand another code Bill by some title that may emerge
have been resisting the land acquisition process, the State
after consultations with various Adivasi communities should
administration is yet to clear the company's mining lease.
be added to the existing ones recognising all the Adivasi
religions. The company needs at least 600 million tonnes of iron ore
to feed its proposed 12-mtpa steel project. This came to the
The memorandum said provisions should be made to keep
fore on Monday when the State's Steel and Mines Minister
Adivasi languages as one subject in primary level in all
Padmanav Behera admitted that the State is yet to forward
Adivasi areas; the history, culture, festivals etc of the
the mining lease proposal for the Central Government
respective Adivasi community or communities should be
approval. Posco had applied for the prospecting licence and
taught in that and a local Adivasi person be appointed as a
captive mining lease in Thakurani, Outer Malangtoli and
teacher to teach that subject.
Khandadhar mines in Keonjhar district on September 24,
Promotional measures should be taken and concretised to 2005.
develop the Adivasi dialects into full-fledged languages it
The issue was raised at a meeting here when Chief Minister
demanded.
Naveen Patnaik reviewed the project a day ahead of the
Õ Prime Minister's Office (PMO) taking stock of the project
LAND ACQUISITION DECRIED on Monday. "We are giving the first priority to land
Statesman News Service acquisition. Then we may go for recommending mine lease
for Posco," Behera told reporters here on Monday.
Bhubaneswar, Sept 26: Timing their protests with plethora
of MoUs signed today, the Jibika Banchao Andolan activists Though Posco has applied for the Thakurani mines near
decried the mindless vesting of thousands of acres of Barbil in Keonjhar district, it may not easily get the lease
valuable land to MNCs and adding to the already existing 5 because the Jindals have already gone to court opposing the
lakh landless in the state by uprooting people. State Government's move to hand over the mines to Posco.
This may cause further delay in Posco getting mines, said an
Led by president of the Andolan Mr Kedar Ray, several
insider.
social activists, including Mr Rabi Behera, Mr Pratap Sahu,
Mr Alok Mohanty, Mr Direndra and Mr Haladhar Sethy, This apart, though 14 months have already passed since
delivered fiery speeches condemning the government's Posco entered into an MoU with the Government, it has so
MoU madness. It is blindly signing one MoU after another far got only 1,138 acres of Government land. The company
throwing open its natural resources to the mercy of MNC's requires 4,004 acres of land, of which 3,566 acres are
without any assessment of land requirement or the Government land. Out of 454 acres of private land needed
implications of all these industries. for the project, not an inch has been acquired," said a Posco
official.
The health, education and other social sectors are ignored,
lakh of people do not get a small piece of homestead land In order to expedite implementation of the project involving
and yet the government is hell bent to uproot and displace the country's biggest-ever foreign direct investment (FDI),
people, they alleged. The one who controls land and water the Prime Minister's Office held a review meeting in Delhi
resources will rule the world and these MNCs are out to on Monday. Principal Secretary in PMO TKA Nair inquired
grab it, they said. They demanded consent of villages about the infrastructure development for the project.
through gram sabha before signing of MoU with any "The meeting with the PMO was successful," said Orissa's
company and constitution of an independent expert Steel and Mines Secretary LN Gupta.
committee to assess the land requirement of each industry. Posco-India CMD Soung-Sik Cho remarked, "We are very
Each and every displaced family should have a job in the glad that the Central Government carried out a thorough
project, land for land and means of livelihood, homestead evaluation of the current status of the project. This initiative
land for all landless people within three months, were would further help expedite the project."
amongst the other demands voiced by the organisation. Meanwhile, coinciding with the PMO's review the Regional
Õ Peripheral Development Area Committee (RPDAC), headed

16
by Central Revenue Divisional Commissioner Suresh ‘POSCO PORT NO THREAT TO PARADIP’
Chandra Mahapatra, held its first meeting at Jagatsinghpur Newindpress.com
for facilitating the land acquisition process. The meeting
Bhubaneswar, Sept 17: Under fire for seeking to establish
discussed the Orissa Resettlement and Rehabilitation Policy
a port a few kilometres from Paradip for its captive use,
in context of the Posco project.
Korean steel major Posco received the much-required
Leaders cutting across the party lines favoured raising the support from experts here on Saturday.
level of financial assistance to land oustees and adequate
Stating that Orissa needs more ports, the top port managers
compensation for the betel vine owners.
of India observed that the port proposed at Jatadhari would
There are at least 2,000 betel vines in the area. District not pose any threat to the existing one at Paradip.
Collector Satyabrat Sahu informed that a special package is
“Paradip Port does not have to worry about Posco port,”
being worked out for the betel vine and prawn farmers.
said Dr Jose Paul, Acting Chairman of Jawaharlal Nehru
Õ Port Trust (JNPT), Mumbai.
PMO CONCERNED ABOUT DELAY, TARDY PACE Orissa, which is blessed by the nature, badly needs minor
OF POSCO ports for its development, he added.
Bhubaneswar, Sept 18: The Prime Minister’s Office today He was speaking at a seminar on Is Posco port a threat to
conducted a detailed review of the current status of Posco’s Paradip port, organised by Nagarika committee.
proposed $12 billion steel plant project in Orissa and is said
Paul said it was impossible to establish a port without
to have urged the state government to see to it that the
causing disturbance to the local region. What is needed is to
company meets its schedule date of commencing work on
keep the disturbance within limits, he said adding, at the
the project - that is - April 2007.
same time, and locals concerns must be taken care of.
Reliable sources said the PMO was concerned about the
Addressing the issue of proximity between Paradip and
delay and the tardy pace of progress as almost one-and-a-
Jatadhari, the JNPT Acting Chairman said Tamil Nadu had
half year had passed since the signing of the MoU which
two major ports within a distance of 30 km. Similarly,
entails the biggest FDI in the country till date.
Gujarat has quite a few ports but benefited immensely from
Top officers of the state government and the company had port-led growth. He said Posco’s demand for a captive port
been summoned by the PMO for a meeting in New Delhi borders on economics. If it utilises the facility at PPT, its
today. Various aspects of the project - the progress and vessels, when made to wait for berthing, will lose Rs 1.5 to
bottlenecks - were discussed at length, said these sources. 2 lakh a day.
It was crystal clear that the PMO was pushing hard for the “The reason why the steel major wants a complete control
expeditious work on the project and was worried over the over the operations is it could save Rs 148 crore during its
continued resistance and opposition to displacement. project period,” Paul said. On the other hand, if it is given a
Speculations are that the PMO’s intervention had been captive berth at PPT and seeks changes in tariff, the process
sought to try and speed up the work which was getting will be lengthy. Tariff fixation takes a year and a half over
bogged down due to the resistance put up by a section of the three or four sittings, he added.
villagers at the proposed site.
“Moreover, a captive port is not a privately-run show. It is
The state government officials had gone prepared to face a totally under surveillance of the Government,” he said.
barrage of questions in New Delhi on the slow progress of
Former PPT chairman PK Mishra too supported Posco’s
work at the ground level, the inability to provide required
port saying if there is an economic justification for a new
land as well as access to the area etc. As such, there has
port let it come up. Allaying fears that a new port in the
already been a delay of at least four months to the original
close proximity would cause harm to Paradip, he said the
schedule for the starting of work.
littoral drift and sand traps would ensure that both the ports
Mr Soung-Sik Cho, the CMD of Posco-India, who attended could co-exist without adversely affecting each other.
today’s meeting, hoped that the initiative by the Central
Mishra, however, felt that the zones declared quarantined on
government would help expedite the project work. He
each side of Dhamra and Gopalpur is a dangerous
expressed his gratitude to the Central government for
phenomenon since it would create problems for new
evaluating the status of the project.
projects. Former chairman of Cochin Port Pravat Mohanty
Significantly, it is for the first time that the PMO’s too supported the project but felt that the port should come
involvement has become public. The Congress party in the up in two to three years. P V Iyre, another port expert,
state had objected to various clauses in the MoU and the however, felt that PPT is capable of handling the traffic
Left parties submitted a memorandum to the Prime Minister requirement and there is no need for another one at
questioning the provisions of the MoU. Jatadhari.
Õ Õ
17
BERHAMPUR JAGATSINGHPUR
TISCO’S SEZ PROPOSAL FACES STORM OF GOVERNMENT ANNOUNCES REHAB PACKAGE
PROTESTS FOR POSCO OUSTEES
Statesman News Service Pioneer News Service
Berhampur, Sept 21: The plan by Tisco to set up an SEZ Jagatsinghpur, Sept 21: For the first time Rehabilitation
near Gopalpur port has run into rough weather as questions Periphery Development Advisory Committee convened a
on whether the area acquired for a particular purpose can be meeting on Monday to review progress on the proposed
used for another are being raised in several quarters. Posco project and announced compensation packages for
The Tisco’s proposed SEZ will come up on the land it had the people who are going to be displaced in Kujanga area.
acquired in the nineties for establishing a steel plant. But the The Committee chairman and Revenue Divisional
steel plant project never took off. The big question being Commissioner Suresh Chandra Mohapatra chaired the
asked now is whether the land acquired for steel plant meeting held at Sadbhabana Gruha here and School and
project be reused for the SEZ. The environmentalists and Mass Education Minister Bishnu Das, Jagatsinghpur MP
the traditional fishermen also stand in the way of Tisco Brahmananda Panda, Erasama MLA Dr Damodar Rout,
project. A case filed by Gana Sangram Samity, which Kissannagar legislator Pratap Jena, representatives of
spearheaded the anti-Tisco agitation in Ganjam district, is villagers from Posco site areas, senior Government officials
still pending in the court of law where the Samity had and many people representatives participated.
prayed for the return of land to the displaced families. All reaffirmed the commitment to the proposed 12 MT
Mr Prafulla Samantra, the convener of Lokshakti Abhiyan, Posco steel plant in Paradip, which aims at a steel
according to law, over 3,400 acres of land the Tisco had production of 100 MT steel by 2020.
acquired shall not remain with the company as Tisco had The meeting took up the issue of the rehabilitation and
failed to utilise the land for the purpose it was acquired as resettlement package for the displaced people for the Posco
mentioned in the MoU. His organisation also mulls over project and discussed the new R and R policy of the State
approaching the court to restrict the Tisco from using the Government to be implemented.
land acquired by it for establishing steel plant for any other
According to district administration, each member of a
purpose. He alleged that there were 87 oustee families from
family would be treated separately for the compensation for
villages such as Chamakhandi, Kalipalli, Paikapada and
sacrificing land for the plant. People having 40 per cent
Badaputi who had not yet got their compensation for the lost
disability, orphan and widows would be enlisted in special
homestead land. He admitted that the state government has
family status with regard to availing rehabilitation benefits.
the power to let Tisco utilise the land for any purpose other
than the one for which it was acquired. When contacted, the After the land accusation notification is issued a programme
former BJP MP of Berhampur, Mr Anadi Sahu, said legally to address the immediate needs of the displaced people will
speaking, the state government can allow the Tisco to use be considered and a socio-economic study will start
the land for setting up SEZ as the government is the ensuring the actual condition of the affected people and an
ultimate owner of the land. According to him, the state identity card will be issued to each affected person.
government will have to begin a process to bring in a Moreover, a decision has been taken to provide job for one
change in the purpose of utilisation of the acquired land. of the selected member of the displaced family or one time
The process will involve a fresh notification inviting lucrative financial assistance in exchange of their land.
objections, if there are any from the people affected by it, However, homestead land, agricultural land, and temporary
have to be. Mr Samantra and members of the Orissa houses, financial assistance up to Rs 1.50 lakh for
Traditional Fish Workers’ Union (OTFWU), however, feel construction of new house and basic amenities would be
that establishment of any SEZ by diluting CRZ norms provided for the colonies after the displacement.
would hamper the interests of traditional fishermen and
"Apparently there is nothing wrong with Orissa Chief
environment. According to him, the CRZ notification of
Minister Naveen Patnaik trying to attract investment and
1991 had undergone 20 amendments diluting the restrictions
woo big companies like Posco, who wants to set up the steel
meant to protect the coastal environment. He also added that
plant at Kujanga, so we need to work together for this mega
Swaminathan Committee recommendations had further
project or it will slip from Jagatsinghpur district," said
diluted the CRZ regulations. Thes committee never took the
School and Mass Education Minister Bishnu Das.
opinion of traditional fishermen into account. According to
him, if SEZ is established on Ganjam coast it will lead to Former Minister and Erasama legislator Damodar Rout said
the displacement of fishermen colonies as the company that direct interaction with the displaced people is necessary
owning the SEZ will not allow them to park their boats and to win hearts of the people for the project.
dry their nets and fish products on the coast. Õ
Õ
18
KORAPUT Most villagers present at the meeting raised fingers against
ADITYA REACHES OUT TO PEOPLE the company and sought that permission for its expansion be
not granted, as it would become a death trap for them. The
Statesman News Service
villagers of Hirma also alleged collusion between the
Koraput, Sept 27: Aditya Aluminium Company moved one district administration, including panchayat officials, and
more step towards establishing a 10,000 crore mining the company. During the public hearing, the people heckled
project by explaining about the pros of the project to the the vice-president of the company and alleged that the head
people and addressing their grievances at a public hearing of the Regional Pollution Control Board, Sambalpur, Surya
held close to the mines site today. Mishra, was not taking action against the company, despite
The project entails mining of bauxite from the Kalingamali repeated violation of the pollution norms.
reserve near Laxmipur. The company officials asserted that Õ
the project would not adversely affect the water sources of
PEOPLE CLOSE ROAD TO BHUSAN STEEL PLANT
the area and that they would provide 5 per cent of the profit
earned from the mining towards peripheral development. Statesman News Service
Besides the officials from the company, the ADM and sub- Sambalpur, Sept 17: The people of Babukhinda village
collector of Koraput also attended the meeting. Talking to under Sambalpur Sadar sub-division closed the road to the
reporters, Mr SM Arshad, deputy general manager of the intake well of Bhusan Steel plant. They alleged that Bhusan
company, informed that the project was a joint venture Steels, for its commercial purpose, destroyed the gramya
between OMC and Aditya Aluminium Company. The entire jangal (village forest) and constructed a road on it for
project will be divided into three parts: mining, refinery private use. “Bhusan has been hoodwinking us for years
plant near Kansariguda and the smelter and power plant at claiming that the land had belonged to them. In fact, the
Jharsuguda, he added. land where the approach road was made is gramya
He said 300 families would be displaced by the project and jangal’s,” said Mr Hemant Raut, a resident of Babukhinda
the company would adhere to the Rehabilitation and and one of the leaders of the agitation.
Resettlement policy of the state government. Dispelling Mr Raut further alleged that the company management had
apprehensions over the impact of mining activities on the chopped off huge trees in the forest for the construction of
environment, he said since water resources originated well the road. They should compensate equal quantity in the
below the bauxite reserve on the mountains the mining nearby fallow lands, he demanded.
would have little effect on them. Mr Manoranjan Nayak, the The company earlier maintained that it availed of the land
environment consultant to the company, said latest on lease basis from the state government. But practically, it
technology would be adopted to protect environment, both is the gramya jangal of the village concerned, informed Mr
below and above surface of the soil, while storing the red Manbodha Biswal. The villagers have cut off the road
mud, residue from the plant. resulting in disconnection to the intake well from the factory
Õ premises. Police forces are deployed on the spot. “However,
SAMBALPUR the agitation is peaceful and we are trying to solve the
issue,” informed Mr SR Mohapatra, the in-charge officer
VILLAGERS OPPOSE SMC EXPANSION
Katarbage police station.
Pioneer News Service
Õ
Sambalpur, Sept 15: Villagers of Hirma gram panchayat in
SUNDERGARH
Jharsuguda district on Tuesday opposed the proposed
expansion of SMC Power Generation Limited, a sponge LOCALS SEEK CENTRE'S HELP IN ADHUNIK
iron unit, during a public hearing meeting for its "anti- METALIKS CASE
people attitude." Pioneer News Service
The locals alleged that heavy pollution has transformed the Rourkela, Sept 10: The aggrieved villagers of Chandri
fertile land of the adjoining villages into barren land. Hariharpur have urged the Central Secretary for
Similarly, residents living in the vicinity of the factory are Environment and Forest to interfere in the genuineness of
even deprived of safe drinking water due to presence of public hearing held by State Pollution Control Board on
toxic and coal particles in water bodies like wells and August 28, with regard to the expansion of Adhunik
ponds. Apart from this, the villagers alleged that the Metaliks or make arrangements to kill all the villagers first
company is also not paying attention to peripheral before giving clean chit to the company to go ahead with its
development, local employment, health and education of the proposal.
project-affected people. The sponge iron company started its Members of Khukundbahal Anchalika Surakhya Samittee
production in 2004 and wants to upgrade the unit to an (KASS) members wrote a letter on September 3 to the
integrated steel plant after a green signal from the State Central Environment and Forest Secretary that despite the
Government.
19
refusal of villagers to the proposal of the company, the State
Pollution Control Board members reported not taking into
account the feelings of innocent tribals. The Samittee
alleged that this is not the first instant of adopting an
unlawful method by Government authorities to give safe
passage to the company rather earlier, the administration
had influenced the Grama Sabha resolutions in many
occasions.
Not only this, the administration is forcing the villagers to
keep mum on the report of State Pollution Control Board on
August 28 public hearing through police, alleged the KASS.
In the appeal, the members stated that before
commencement of meeting, the police terrorised the
villagers to keep away from the meeting and in reality, the
class four employees and hired goons of the company attend
the meeting, alleged KASS.
Taking advantage of illiterate tribals the company has
engaged a group of brokers in the locality to organise the
football and hockey tournament where they succeed to get
the signature of the villagers in a fraudulent manner and
later the signature sheet was attached with the resolution of
Grama Sabha, claimed KASS. The letter also revealed that
one games teacher of a local high school played the lead
role in this entire mischievous attitude.
KASS has urged the Union secretary to send a team to
ascertain the surrounding of the Adhunik Metaliks so that
the integrity and transparency of State Pollution Control
Board can be ascertained.
KASS alleged that due to heavy pollution of Adhunik
Metaliks the live stocks are dying every day and people are
suffering from breathing problem and skin diseases. The
members alleged that it all happened under the nose of
district administration, but no action has been taken yet.
Õ

20
PUBLIC HEARING NOTICES IN SEPTEMBER’ 06

Name of the Date of Date of Place of Notification Number of


Company Capacity of the Notice for Public Public MoEF
and its Place Project Public Hearing Hearing
of Operation Hearing
NO.21886/IND.II.PH.144
Iron ore Enhancement of
mines of M/S iron ore
ESSEL production up to
Mining & 12.10.2006 N.Dblock.
IB, Koida
1.5 million tonne 5.09.2006
Industries Ltd covering an area
at Bonai of 90.143 hectare
tehsil, .
sundergarh
Expansion of
Bauxite mines
from 3.0 MTPY Revenue I.B,
M/S UAIL to 8.5 MTPY Tikri of
limited at over an area of 15.09.2006 17.10.2006 Kashipur NO.22240/IND.II.PH.168.
Baphlimali, 1338.74 Ha at Block,
Raygada. Baphlimali Hill Raygada
of Kashipur
Block of
Raygada district.
Expansion of
alumina refinery
from 1.0 MTPA Revenue I.B,
M/S UAIL to 3.0 MTPA, Tikri of
limited at CPP from 50 15.09.2006 17.10.2006 Kashipur NO.22236.
Baphlimali, MW to 90 MW Block,
Raygada. at Doraguda in Raygada
the district of
Raygada.
M/S Enhancement of Auditorium
Ghanashyama production up to hall of S.T.
Mishra & sons 7.5 LTPA over 16.09.2006 18.10.2006 school at 22788/ind-II-PH.166.
(p) ltd, an area of Gurumahisani,
Gorumahisani, 349.5Ha at Mayurbhanja.
Mayurbhanja. Gorumahisani
Enhancement of
M/S Gualli production up to Topadihi UP
iron mines, 180000 Tonne of 16.09.2006 18.10.2006 school, No.22792/IND.II.PH-132.
Guali, iron ore covering Keonjhar.
Keonjhar an area of
365.026 Ha
Enhancement of
ore production V.T. center,
SAIL Bolani from 3.44 MTPA OMDC,
Ore Mines, 22.09.2006 19.10.2006 Ind.II.PH.109.
to 5.65 MTPA Thakurani,
Keonjhar. covering an area Keonjhar.
of 3108.09 Ha.

21
PENDING PROJECTS WITH MOEF FOR
ENVIRONMENTAL CLEARANCE
PENDING INDUSTRIAL PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Status


The proposal has been examined. Additional information sought on
21.01.2006 & 15.02.2006 and partial information received on
15.02.2006. NOC still awaited. Reminder sent on 01.03.2006.
Project No: J-11011/7/2006-
Information has been received. Project was considered in the EC(I)
IA.II(I)
meeting held on 19.04.2006. Additional information sought on
Project Name:6.0 MT Integrated
01.05.2006. Reminder sent on 12.05.2006 and 12.06.2006.
steel Plant 06/01/2006
Information is received. The project authorities did not attend the
District:Jaipur, Kalingnagar
meeting. Project authorities have been requested on 26.07.2006 to
Village:Chandia,
provide additional information to all the Expert Committee
Company:M/s Tata Steel Ltd.
members. The proposal was re-considered in the EC(I) meeting
held on 23.08.2006. File processed & submitted for final orders on
08.09.2006.
Project No: J-11011/144/2006- The proposal has been examined. Additional information sought on
IA.II(I) 27.04.2006 has been received. The proposal was considered in
Project Name:250,000 TPA EC(I) meeting held on 21.06.2006. After detailed deliberations, the
aluminium Smelter Plant Expert Committee (Industry) decided to reconsider the proposal for
12/04/2006
District:Jharsuguda environmental clearance after submission of additional information
Village:Bhurkamunda and comments of the Wildlife section of the Ministry followed by
Company:M/s Vedanta site visit by the sub-committee of the Expert Committee (Industry).
Aluminium Ltd. Additional information sought on 08.08.2006.

PENDING MINING PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Status


Additional information sought by Ministry received on
25.11.2005. Legal opinion sought on P.H. and NOC received.
Project No: No.J-
Expert Committee (Mining) considered the project on 27-29
11015/221/2005-IA.II(M)
March 2006. Clarifications as desired by the Expert Committee
Project Name:Lanjigarh Bauxite
sought on 13.04.2006 on impact of mining on bio diversity,
Mine of M/s Orissa Mining
13/06/2005 written commitment owning the commitments made by M/s
Corporation Ltd., Districts
Vedanta during public hearing for their implementation, output
Kalahandi and Raigarh
from the springs / streams, details of conveyor system for
District:Raigarh
transportation of ore, AAQ, commitment from the competent
Company:
authority regarding availability of water and power and refilled
in questionnaire. Response awaited.
Project No: No.J-
11015/388/2005-IA.II(M)
Additional information sought by Ministry received on
Project Name:Narayan OC Iron
10.01.2006. Expert Committee (Mining) reconsidered the project
& Mn. Mine, ML Area: 349.254
on 27-28 April 2006. Clarification sought from the proponent on
ha Prod. Capacity: 0.6 MTP (Iron 31/10/2005
water table, working depth and valley floor , revised
Ore)7800 TPA (Mn.)
questionnaire and public hearing. Response received on
District:Sundergarh
06.06.2006.
Company:M/s Aryan Mining &
Trading Corp.
Project No: No.J- 29/11/2005 Project was received incomplete without PHR and NOC. PHR
11015/412/2005-IA.II(M) and NOC received on 26.06.2006.
Project Name:Muhulsukha
Manganese Ore Mine
District:Keonjhar
Company:M/s Aryan Mining
Trading Corporation Pvt. Ltd.
Project No: No.J-
11015/419/2005-IA.II(M)
Project Name:Ispat Sukinda Project was received incomplete without PHR and NOC. PHR
Chromite Mine 19/12/2005 and NOC received on 16.06.2006. Additional Information is
District:Jajpur awaited.
Company:M/s Balasore Alloys
Ltd.
Project No: J-11015/38/2006-
IA.II(M) Expert Committee (Mining) considered the project on 17-19th
Project Name:Ostapal Chromite May 2006. Clarification sought by the Expert Committee
Mines 14/02/2006 received on 22.06.2006. Proposal is likely to be re-considered in
District:Jajpur the forthcoming meeting of the Expert Committee (Mining)
Company:M/s Fero Alloys scheduled for 22-23 August 2006.
Corporation Ltd.
Project No: J-11015/41/2006-
IA.II(M) Additional information sought by Ministry received along with
Project Name:Patabeda Iron Ore the project. Proposal is likely to be considered in the
15/02/2006
Mine forthcoming meeting of the Expert Committee (Mining)
District:Sundergarh scheduled for 18-19th September, 2006.
Company:M/s M.G. Mohanty
Project No: J-11015/411/2006-
IA.II(M)
Project received incomplete on 28.11.05. NOC and Public
Project Name:Maliparbat Bauxite
Hearing received on 15.02.2006. Expert Committee (Mining)
Mining 15/02/2006
considered the project on 17-19th May 2006. Clarification
District:Koraput
sought by the Expert Committee received on 13.06.2006.
Company:M/s Hindalco
Industries Ltd
Project No: No.J-11015/49/2006-
IA.II(M)
Additional information sought by the ministry received along
Project Name:Malangtoli Iron
with the project. Proposal is likely to be considered in the
Ore Mine 07/03/2006
forthcoming meeting of the Expert Committee (Mining)
District:Keonjhar
scheduled for 18-19th September, 2006.
Company:M/s Orissa Sponge Iron
Ltd
Project No: No.J-11015/75/2006-
IA.II(M)
Project Name:Raikela Iron Ore Additional information sought by the ministry received along
10/04/2006
Mine with the project.
District:Sundergarh
Company:M/s. S.N. Mohanty
Project No: No.J-
11015/103/2006-IA.II(M) Additional information sought by the Ministry received on
Project Name:Malda Manganese 29.06.2006. Proposal is likely to be considered in the
05/05/2006
Mine forthcoming meeting of the Expert Committee (Mining)
District:Sundergarh scheduled for 18-19th September, 2006.
Company:M/s Tata Steel Ltd.

23
Project No: No.J-
11015/106/2006-IA.II(M)
Project Name:Roida 'C' Iron & Proposal was considered in the meeting of the Expert Committee
Manganese Ore Mining 05/05/2006 (Mining) held on 18-20 July 2006. Clarification sought by the
District:Keonjhar Expert Committee (Mining) received on 01.08.2006.
Company:M/s IDCOL Kalinga
Iron Works
Project No: No.J-
11015/134/2006-IA.II(M)
Proposal was considered in the meeting of the Expert Committee
Project Name:Utkal Coal Mining
31/05/2006 (Thermal) held on 11-12 July 2006. Clarification sought by the
Project
EC(Thermal) received on 28.08.2006.
District:Angul
Company:M/s Utkal Coal Ltd.
Project No: No.J-
11015/158/2006-IA.II(M)
Project Name:Gonua Iron & Additional information sought by Ministry received alongwith
12/06/2006
Manganese Mine the project.
District:Sundergarh
Company:M/s S.N. Mohanty
Project No: No.J-
11015/184/2006-IA.II(M)
Project Name:Naibaga Katupali
Additional information sought by the Ministry received on
Iron and Manganese Mining 27/06/2006
11.07.2006.
Project
District:Keonjhar
Company:M/s T.P. Mohanty
Project No: No.J-
11015/202/2006-IA.II(M)
Project Name:Talchar West UGP
12/07/2006 Additional information sought by the Ministry awaited.
District:Sambalpur
Company:M/s Mahanadi
Coalfields Ltd.
Project No: No.J-
11015/201/2006-IA.II(M)
Project Name:Jagannath UGP Proposal was considered in the meeting of the Expert Committee
12/07/2006
District:Angul (Thermal) on 7-8th August, 2006.
Company:M/s Mahanadi
Coalfields Ltd.
Project No: No.J-
11015/203/2006-IA.II(M)
Additional information sought by the Ministry received on
Project Name:Utkal D Coal
03.08.2006. Proposal is likely to be considered in the
Mining Project 12/07/2006
forthcoming meeting of the Expert Committee (Thermal)
District:Angul
scheduled for 12-13th September, 2006.
Company:M/s Orissa Mining
Corporation Ltd.

PENDING THERMAL PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Status


Project No: J-13011/5/2006- Considered by the Expert Committee on 21.3.2006. The
IA.II(T) 18/02/2006 Committee sought additional information/ clarifications. Based
Project Name:4x125 MW on the information received, the project was considered in the

24
Captive Power Project meeting of the EC(T) on 14th June, 2006. The proponent could
District:Jajpur not clarify all the issues. Based on the clarifications now
Company:M/s Jindal Stainless received, the project was further considered by the EC(T) on 8th
Ltd. August, 2006. Clarification regarding land use of ash pond area
is awaited from the proponent.
Project No: J-13011/10/2006-
IA.II(T)
Project Name:675 MW (5x135
Considered by the Expert Committee on 9th May, 2006. The
MW) Captive Power Plant for
Committee had sought additional information. Based on the
proposed Aluminium Smelter of
07/04/2006 information received, the project was considered by the EC(T) on
2,50,000 TPA Plant
12th July, 2006. The proponent could not clarify all the issues.
District:Jharsuguda
Further clarifications are awaited from the proponent.
Village:Bhurkamunda/Brundamal
Company:M/s Vedanta Alumina
Ltd.

PENDING RIVER VALLEY & HYDROELECTRIC PROJECTS AS ON 30th


SEPTEMBER

Project Details Received On Status


Considered by E.C. on 17.5.06 & project authority has been
Project No: J-12011/11/2006-IA.I
asked to sumite revised EIA report as only two season's
Project Name:Ong Dam Project
ecological data have been considered and area of Chattisgarh
District:Bargarh 04/05/2006
State also comming under submergence. Comments of
Company:Water Resources
Chattisgarh Govt. regarding proposed R & R package also sought
Department , Govt of Orissa
letter issued on 31.5.06, reply is still awaited.

PENDING INFRASTRUCTURE & MISCELLANOUS PROJECTS AS ON 30th


SEPTEMBER

Project Details Received On Status


Project No: 11-28/2006-IA.III
Project Name:CRZ clearance for diversion of 0.25
hectare of Forest land in Borhampur Division of
ganjam District for construction of Light House at
Parayagi, Orissa 29/05/2006 Under Consideration
District:Ganjam
Village:xxx
Company:Directorate of Light House & Light
Ships

25
PENDING PROJECTS WITH MoEF FOR
FOREST CLEARANCE

PENDING MINING PROJECTS AS ON 30th SEPTEMBER 2006


Project Details Received On Status
File No:8-ORA104/2006-FCD
Area:211.348 ha
SIR IS AWAITED SINCE
Description:TEMPORARY WORKING PERMISSION IN
21 August 2006 08.09.2006. Placed before
SERENDA-BHADRASAHI MINES IN KEONJHAR FOREST
FAC meeting on 30.08.2006.
DIVISION IN FAVOUR OF M/S ORISSA MINING
CORPORATION (OMC) LIMITED
File No:8-ORA099/2006-FCD
Area:137.02 ha
SITE INSPECTION
Description:COAL MINING IN VILLAGE RAIJHARAN,
2 August 2006 REPORT AWAITED SINCE
NANDICHOR AND SIMILISAHI IN CHHENDIPADA
08.08.2006.
TAHASIL BY M/S ORISSA MINING CORPORATION
LIMITED
File No:8-ORA100/2006-FCD
Area:85.55 ha
Placed before FAC meeting
Description:DIVERSION OF FOREST LAND IN SIDHAMATH 3 August 2006
on 30.08.2006.
RESERVE FOREST IN FAVOUR OF DR. SAROJINI
PRADHAN FOR IRON AND MANGANESE ORE MINING
TWP GRANTED FOR A
File No:8-ORA105/2006-FCD PERIOD OF 6 (SIX)
Area:64.7242 ha MONTHS OVER
Description:TEMPORARY WORKING PERMISSION IN ALREADY BROKEN UP
21 August 2006
GANDHAMARDAN BLOCK 'A' MINES IN KEONJHAR AREA VIDE LETTER
FOREST DIVISION IN FAVOUR OF M/S ORISSA MINING DATED 14.09.2006 Placed
CORPORATION LIMITED before FAC meeting on
30.08.2006.

PENDING OTHER PROJECTS AS ON 30th SEPTEMBER 2006

Received
Project Details Status
On
File No:8(27)1/99-FCE
Area:8.67 ha NULL dsds
Description:IRON ORE BASED INDUSTRIES OF IPICOL

PENDING RAILWAY LINE PROJECTS AS ON 30th SEPTEMBER 2006


Project Details Received On Status
File No:8-22/1996-FC
Area:48.25 ha
Description:LANJIGARH- Information of field status awaited from Nodal officer on
1 February 1996
JUNAGARH BG 9.05.2006
RAILWAY LINE (56
KM)

26
PENDING ENCROACHMENTS PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Status


File No:8-ORC071/2006-FCD
Area:5.028 ha UNDER PROCESS. REFERENCE FILE
6 July 2006
Description:REGULARIZATION OF NO. 8(29)5/2000-FCE
ENCROACHMENT
File No:8-ORB070/2006-FCD
SITE INSPECTION REPORT AWAITED
Area:0.08 ha
6 July 2006 SINCE 08.08.2006. REFERENCE FILE
Description:REGULARIZATION OF
NO. 8(29)10/2001-FCE
ENCORACHMENT
File No:8-ORA072/2006-FCD
Area:214.212 ha SITE INSPECTION REPORT AWAITED
6 July 2006
Description:REGULARIZATION OF ON 18.07.2006
ENCROACHMENT
File No:8-ORA074/2006-FCD
SIR AWAITED SINCE 18.07.2006.
Area:504.5639 ha
6 July 2006 (492.5985 + 11.9654 = 504.5639 ha forest
Description:REGULARIZATION OF
land)
ENCROACHMENT
File No:8-ORC069/2006-FCD
Area:14.551 ha UNDER PROCESS. REFERENCE FILE
6 July 2006
Description:REGULARIZATION OF NO. 8(29)14/2002-FCE
ENCROACHMENT
File No:8-ORC075/2006-FCD
Area:26.5985 ha
6 July 2006 UNDER PROCESS
Description:REGULARIZATION OF
ENCROACHMENT
File No:8-ORA073/2006-FCD
Area:65.241 ha
6 July 2006 UNDER PROCESS
Description:REGULARIZATION OF
ENCROACHMENT
File No:8-ORA076/2006-FCD
Area:385.53 ha
6 July 2006 SIR AWAITED SINCE 18.07.2006.
Description:REGULARIZATION OF
ENCROACHMENT

27
PENDING PROJECTS WITH STATE
GOVERNMENT FOR FOREST CLEARANCE
PENDING IRRIGATION PROJECTS AS ON 30th SEPTEMBER 2006
Project Details Received On Status
File No:8(22)5/2002-FCE
Area:3.387 ha.
NULL
Description:KANKANDAJORE MINOR IRRIGATION
PROJECT, BANKI
File No:8(22)1/2001-FCE
Area:3.008 ha. NULL
Description:KRUPASAGAR MINOR IRRIGATION PROJECT

PENDING MINING PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Status


File No:8-ORA023/2005-FCD
Placed before FAC meeting on
Area:660.749 ha.
30.08.2006. INFORMATION
Description:LANJIGARH BAUXITE MINING PROJECT
28 February 2005 AWAITED FROM STATE
IN NIYAMGIRI RF AND NIMAGIRI PROPOSED RF OF
GOVERNMENT VIDE ORDER
RAYAGADA DISTRICT IN FAVOUR OF ORISSA
DATED 08.09.2006
MINING CORPORATION (OMC)
File No:8-31/2003-FC
Area:56.98 ha.
14 February 2003 EDS 11.09.2003
Description:MINING LEASE OF CAT'S EYE MINERAL
IN FAVOURING NAVYUG MINERALS LIMITED
File No:8-14/2004-FC
Area:8.13 ha. APPLICATION OF UA IS
Description:TWP IN F/O BUDHARAJA IRON & 10 March 2004 PENDING WITH STATE
MAGANESE ORE MINES FOR ONE YEAR OVER MINING DEPARTMENT
8.13HA ALREADY BROKEN UP FOREST AREA
File No:8-ORA047/2005-FCD
Area:294.5 ha.
Description:TEMPORARY WORKING PERMISSION 12 May 2005 EDS ON 13/05/2005
FOR SULAPAT IRON MINE OF SHRI BIRATCHANDRA
DAGARA IN RAIRANGPUR FOREST DIVISION
File No:8(21)34/2004-FCE
Information sought from state
Area:14.739 ha.
govt on 14.7.2004, reminded on
Description:DIVERSION OF FOREST LAND IN 13 April 2004
14.7.2004 and 19.4.2005, still
FAVOUR OF M/S PATNAIK MINERALS PVT LIMITED
not received
FOR MANGANESE MINES
File No:8(21)4/2001-FCE
Area:0.55 ha. NULL
Description:BANGUR CHROMITE MINES OF 0MC LTD
File No:8(21)43/2004-FCE Regional office has requested
Area:12.14 ha. the state govt to furnish
NULL
Description:GRAPHITE MINE IN GANJAUDHAR BY information last reminded on
SH. J.N. AGARWAL 19.4.2005

28
File No:8(21)12/2001-FCE
Area:18.23 ha.
NULL
Description:ASBESTOS & PYROXEMITE MINING BY
BL NEWATIA
File No:8(21)44/2004-FCE regional office requested the
Area:2.841 ha. state govt to furnish information
NULL
Description:GRAPHITE MINE BY SH. TILAK RAJ on 24.8.2004 and reminded on
MEDIRATTA 11.10.2004 and on 19.4.2005
File No:5-ORC006/2004-BHU
Area:11.565 ha.
Description:TWP OVER ALREADY BROKEN UP AREA 6 October 2004
FOR MINING OF IRON AND MANGANESE ORE IN
FAVOUR OF SHRI B K MOHANTY

PENDING ROAD LINE PROJECTS AS ON 30th SEPTEMBER 2006


Project Details Received On Status
File No:8(26)2/02-FCE
Area:1.457 ha.
NULL
Description:DAITARI-BANSPANI RLY LINK ROAD,
PALASPANG-BAMEBARI

PENDING OTHER PROJECTS AS ON 30th SEPTEMBER 2006


Project Details Received On Status
File No:8-14/1999-FC
Area:32 ha.
20 January 1999 CASE IS SUBJUDISED
Description:SWERAGE TREATMENT SYSTED & UTILIATIM
SYSTEM
File No:8(21)16/2002-FCE
Area:0.188 ha.
NULL
Description:EXPLORATION/DRILLING PROGRAMME FOR
GRAPHITE ORE

PENDING ENCROACHMENTS PROJECTS AS ON 30th SEPTEMBER 2006


Project Details Received On Status
File No:8(29)13/2000-FCE
Area:4.667 ha.
NULL
Description:REGUL. OF ENCROACHMENT IN ANGUL
DISTRICT
File No:8(29)2/2001-FCE
Area:10.666 ha. NULL
Description:REGULARISATION OF ENCROACHMENT
File No:8(29)10/2001-FCE
REFERENCE FILE NO. 8-
Area:0.08 ha. NULL
70/2006-FC
Description:REGULARISATION OF ENCROACHMENT

29
APPROVED PROJECTS WITH MoEF FOR
ENVIRONMENTAL CLEARANCE

APPROVED MINING PROJECTS AS ON 30th SEPTEMBER

Approved
Project Details Received On
On
Project No: J-11015/411/2006-IA.II(M)
Project Name: Maliparbat Bauxite Mining 15/02/2006 07/09/2006
Agency:M/s Hindalco Industries Ltd

30
APPROVED PROJECTS WITH CENTRAL
GOVERNMET FOR FOREST CLEARANCE

APPROVED MINING PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Approved On


File No: 8-41/2003-FC
Area:81
1 April 2003 13 September 2006
Description: MINING LEASE TO M/S
GHANSHYAM MISHRA & SONS

31
IN-PRINCIPAL PROJECTS

IN-PRINCIPLE MINING PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Approved On


File No: 8-ORA100/2006-FCD
Area:85.55
Description: DIVERSION OF FOREST LAND IN
3 August 2006 21 September 2006
SIDHAMATH RESERVE FOREST IN FAVOUR OF DR.
SAROJINI PRADHAN FOR IRON AND MANGANESE
ORE MINING
File No: 8-113/2000-FC VOL-I
Area:133.112
Description: SECOND RENEWAL MINING LEASE TO
19 June 2006 14 September 2006
ORISSA MINING CORPORATION LIMITED IN
KURMITAR IRON ORE MINES UNDER BONAI
FOREST DIVISION

IN-PRINCIPLE OTHER PROJECTS AS ON 30th SEPTEMBER 2006

Project Details Received On Approved On


File No: 5-ORB013/2005-BHU
Area:0.99
Description: DIVERSION OF .99HA OF LAND FOR 17 May 2005 13 September 2006
CONSRTUCTION OF ALL INDIA RADIO AT
DEOGARH

32
REJECTED PROJECTS

REJECTED IRRIGATION PROJECTS


Project Details Rejected On Reason Of Rejection
File No:8-173/1984-FC
Area:52.42 ha. 16 July 1984 REJECTED ON MERRIT.
Description: BHALUDHAR MINOR IRRIGATION PROJECT
File No:8-56/1992-FC
Area:26.96 ha. 19 May 1994 REJECTED ON MERRIT
Description: CHIKIMA MIP
File No:8-22/1998-FC
Area:638 ha. 3 December 1998 REJECTED REF. 8-3/1994-FC
Description: SUKTEL IRRIG PROJECT
File No:8-148/FCE
Area:16 ha.
31 July 2000 REJECTED ON MERIT
Description: AMKHOL NALLA MINOR IRRIGATION
PROJECT

REJECTED MINING PROJECTS


Project Details Rejected On Reason Of Rejection
File No:8B-12/5/92-FCE
Area:0.9 ha. 19 August 1994 REJECTED ON MERIT
Description: SOFT STONE QUARRY BY BALARAM SAHOO
File No:8-280/FCE
Area:2.367 ha. 8 December 1997 REJECTED ON MERIT
Description: GRAPHITE MINING BY ANTARYAMI MISHRA
File No:8-111/1997-FC
Area:129.206 ha. 27 August 1998 REJECTED ON MERRIT
Description: MINING LEASE TO OMC
File No:8-37/1996-FC
Area:181.013 ha. 23 October 1998 REJECTED ON MERRIT
Description: MINING LEASE TO TISCO
File No:8-355/FCE
Area:0.22 ha. 22 May 2000 REJECTED ON MERIT
Description: PROSPECTING WORK BY K.B. PAHI
File No:8-169/FCE
Area:19.96 ha. 27 November 2001 REJECTED ON MERIT
Description: NISHIKHAL MINING LEASE OF OMC
File No:8(21)2/2001-FCE
REJECTED ON MERIT AS
Area:3.797 ha.
9 December 2002 PART OF ELEPHANT
Description: KATASAHI & KOLHA RUDKOLA MN. MINES OF
CORRIDER
SN PAUL

33
File No:8-13/2002-FC
Area:45.148 ha. 1 October 2003 REJECTED ON MERRIT
Description: MINING LEASE TO BC SAHU
File No:8(21)5/99-FCE Case rejected, Based on
Area:13.86 ha. appeal reply furnished to the
20 December 2004
Description: BLACKSTONE QUARRY BY M/S JS ministry vide ref even no
CONSTRUCTION LTD. dated 20.12.2004.

REJECTED OTHER PROJECTS


Project Details Rejected On Reason Of Rejection
File No:8-62/1982-FC
REJECTED ON MERRIT,
Area:71.55 ha. 20 May 1982
FILE NOT IN SECTION
Description: RESETTLEMENTS OF VILLAGERS
File No:8-221/1986-FC
Area:100 ha.
2 October 1987 REJECTED ON MERRIT.
Description: RELEASE OF FOREST LAND FOR RAISING
CAPATIVE PLANTATION
File No:8-256/1986-FC
Area:31 ha.
10 December 1987 REJECTED ON MERRIT.
Description: RELEASE OF FOREST LAND FOR RAISING
CAPATIVE PLANTATION
File No:8-300/1987-FC
Area:98.74 ha.
21 December 1987 REJECTED ON MERRIT.
Description: RAISING OF COFFEE PLANTATION BY M/S
ASHOK AGRO INDUSTRIES
File No:8-201/1986-FC
Area:200 ha.
13 October 1988 REJECTED ON MERRIT
Description: RUBBER PLANTATION BY ORISSA FOREST
CORPORATION LIMITED
File No:8-248/1986-FC
Area:51 ha.
5 November 1988 REJECTED ON MERRIT.
Description: RAISING OF CAPTIVE PLANTATION BY
TITAGHUR PAPER MILLS
File No:8-318/1988-FC
Area:911.09 ha. 1 April 1989 REJECTED ON MERRIT.
Description: FOREST LAND FOR RUBBER PLANTATION
File No:8-205/1991-FC
Area:187.65 ha.
17 July 1992 REJECTED ON MERRIT
Description: BRACKISH WATER FISHERES & PRAWN
CULTURE
File No:8-360/FCE
Area:4.7 ha.
18 January 1999 REJECTED ON MERIT
Description: RE-ESTABLISHMENT OF SAW MILLS AT
KULUNGA
File No:8(27)1/2000-FCE
Area:1.497 ha. 29 February 2000 REJECTED ON MERIT
Description: M/S REXON STRIPS LTD. IN VILLAGE KUMKELA

34
File No:8-69/2000-FC
Area:124.38 ha. 31 October 2001 REJECTED ON MERRIT
Description: CONST. OF ALUMINA REFINERY

REJECTED TRANSMISSION LINE PROJECTS


Project Details Rejected On Reason Of Rejection
File No:8-76/1985-FC
DELIBERATE
Area:81.9 ha. 14 December 1987
VIDATION OF FC ACT
Description:220 KV DC BRAJARAJ NAGAR TO RAIGARH T/L

REJECTED REHABILITATION PROJECTS


Project Details Rejected On Reason Of Rejection
File No:8-304/1985-FC
REJECTED ON
Area:123.79 ha. 18 November 1985
MERRIT
Description: REHABILITATION OF PEOPLE DUE TO JONK MIP

35
APPROVAL LETTERS ISSUED BY MoEF
DURING SEPTEMBER 2006

ENVIRONMENTAL CLEARANCE LETTERS

Nil- -- Nil -- Nil

FOREST CLEARANCES LETTERS

Diversion of 518.77 ha (approved area 56.00 ha + 25.00 ha) of broken up forest land
for renewal of mining lease of Gorumahisani iron ore mines in favour of M/s
Ghanshyam Misra and Sons Private Limited in Rairangpur Forest Division of
Mayurbhanj District in Orissa.

IN-PRINCIPLE FOREST CLEARANCES LETTERS

Diversion of 85.55 ha of forest land in Sidhamath Reserved Forest in favour of Dr.


Sarojini Pradhan for iron and manganese ore mining in Keonjhar District of
Orissa.

Diversion of 133.112 ha of forest land in Bonai Forest Division for Iron Ore
mining in Kurmitar iron ore Mine of M/s Orissa Mining Corporation (OMC) in
Sundergarh District of Orissa.

36
F. No. 8-41/2003-FC
Government of India
Ministry of Environment & Forests
(F.C. Division)
Paryavaran Bhawan,
C.G.O. Complex, Lodhi Road,
New Delhi-110003
Dated : 13th September 2006
To

The Secretary (Forests),


Government of Orissa,
Bhubaneshwar.

Sub: Diversion of 518.77 ha (approved area 56.00 ha + 25.00 ha) of broken up forest land for
renewal of mining lease of Gorumahisani iron ore mines in favour of M/s Ghanshyam
Misra and Sons Private Limited in Rairangpur Forest Division of Mayurbhanj District
in Orissa.

Sir,
The final approval for diversion of 56.00 ha of broken up forest land was granted vide this
office letter of even no. dated 13.07.2005. Subsequently, on the request of the State Government vide
letter No. 10F(Cons)70/2002/14868/F&E dated 20.08.2005 and user agency’s letter No.
GMS/BBS/28/05-06 dated 27.09.2005, the final approval was modified vide this office letter of even
no. dated 10.10.2005 and the user agency was allowed to retain 25.00 ha of broken up forest land in
addition to already approved broken up forest area of 56.00 ha, subject to certain conditions. The
compliance of these conditions has been received vide your letter No. 10F(Cons)70/2002/14536/F&E
dated 25.08.2006.

2. After careful consideration of the proposal of the State Government, and compliance of
various conditions, the Central Government hereby conveys its approval under Section-2 of the Forest
(Conservation) Act, 1980 for diversion of 81.00 ha of broken up forest land (56.00 ha already
approved + 25.00 ha) for renewal of mining lease on Gorumahisani iron ore mines in favour of M/s
Ghanshyam Misra and Sons Private Limited in Rairangpur Forest Division of Mayurbhanj District in
Orissa, subject to fulfilment of following conditions :-

(i) Legal status of the forest land shall remain unchanged.


(ii) The final approval issued vide letter of even no. dated 13.07.2005 stands modified to the
extent that the user agency shall be allowed to retain 25.00 ha of broken up forest land in
addition to already approved broken up forest area of 56.00 ha, making total diverted broken
up forest land as 81.00 ha.
(iii) The remaining broken or unbroken up forest land shall be surrendered by the user agency to
the State Forest Department. Rehabilitation and reclamation of broken up area shall be done
at the project cost in consultation with the State Forest Department.
(iv) The State Government shall deposit Net Present Value (NPV) and all the other funds realized
from the user agency for the entire diverted forest land, with the Ad-hoc Body of
Compensatory Afforestation Fund Management and Planning Authority (CAMPA), in
Account No. CA 1585 of Corporation Bank (A Government of India Enterprises), Block-11,
Ground Floor, C.G.O. Complex, Phase-1, Lodhi Road, New Delhi-110003, as per the
instructions communicated vide letter No. 5-2/2006-FC dated 20.05.2006.
(v) An undertaking from the user agency may also be obtained stating that in case the rates of
NPV are revised upwards pursuant to the Supreme Court orders in future, the
additional/differential amount shall be paid by the user agency.

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(vi) The other conditions stipulated in final approval dated 13.07.2005 for 56.00 ha shall also be
applicable to 25.00 ha of forest land diverted vide the current order and allowed to be retained
by the user agency.

Yours faithfully,

(Pankaj Asthana)
Assistant Inspector General of Forests

Copy to :-

1. The Principal Chief Conservator of Forests, Government of Orissa, Bhubaneshwar.


2. The Nodal Officer, Forest Department, Government of Orissa, Bhubaneshwar.
3. The Chief Conservator of Forests (Central), Regional Office, Bhubaneswar.
4. User Agency.
5. Guard file.
6. Monitoring Cell.

(Pankaj Asthana)
Assistant Inspector General of Forests

38
F. No. 8-100/2006-FC
Government of India
Ministry of Environment & Forests
(F.C. Division)
Paryavaran Bhawan,
C.G.O. Complex, Lodhi Road,
New Delhi-110003
Dated : 21st September 2006

To
The Secretary (Forests),
Government of Orissa,
Bhubaneshwar.

Sub: Diversion of 85.55 ha of forest land in Sidhamath Reserved Forest in favour of Dr.
Sarojini Pradhan for iron and manganese ore mining in Keonjhar District of Orissa.

Sir,
I am directed to refer to your letter No. 10F(Cons)23/2005/11994/F&E dated 20.07.2006
whereunder the above mentioned proposal was submitted seeking prior approval of the Central
Government in accordance with Section-2 of the Forest (Conservation) Act, 1980, and to say that the
above proposal was examined by the Forest Advisory Committee (FAC) constituted under Section-3
of the Act.

2. After careful consideration of the proposal of the State Government, and on the basis of
recommendations of the FAC, the Central Government hereby agrees in-principle for diversion
of 85.55 ha of forest land in Sidhamath Reserved Forest in favour of Dr. Sarojini Pradhan for
iron and manganese ore mining in Keonjhar District of Orissa, subject to fulfilment of following
conditions : -

(i) The Compensatory Afforestation shall be raised and maintained over equivalent non-forest
land, i.e., over 85.55 ha, at the cost of the user agency. The user agency shall transfer the cost
of afforestation to the State Forest Department.
(ii) The CA scheme submitted by the State Government shall be revised to be in tune with the
difficult topography of the area which requires higher investment and longer maintenance
period.
(iii) The non-forest land identified for raising Compensatory Afforestation shall be transferred and
mutated in the name of State Forest Department and shall be declared as Reserved/Protected
Forest under Indian Forest Act, 1927 or any other relevant Act of the State.
(iv) The user agency shall construct 4 feet high RCC pillars with forward and backward bearings
to demarcate the area.
(v) The user agency shall raise, fence and maintain a safety zone around the mining area, and will
also raise and maintain the plantation over an area, one and half times in extent of the safety
zone at the project cost.
(vi) The State Government shall charge Net Present Value from the user agency, for the entire
diverted forest land, as directed by Hon’ble Supreme Court and as per the guidelines issued
vide Ministry of Environment and Forests letters No. 5-1/98-FC (Pt-II) dated 18th September
and 22nd September 2003.
(vii) An undertaking from the user agency shall also be obtained stating that in case the rates of
NPV are revised upwards, the additional/differential amount shall be paid by the user agency.
(viii) The State Government shall deposit all the above-mentioned funds with the Ad-hoc Body of
Compensatory Afforestation Fund Management and Planning Authority (CAMPA), in
Account No. CA 1585 of Corporation Bank (A Government of India Enterprises), Block-11,
Ground Floor, C.G.O. Complex, Phase-1, Lodhi Road, New Delhi-110003, as per the
instructions communicated vide letter No. 5-2/2006-FC dated 20.05.2006.

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(ix) The permission granted under FC Act shall be co-terminus with the mining lease granted
under MMRD Act or any other relevant Act or for 20 years, whichever is less.
(x) Tree felling shall be done in a phased manner to coincide with the phasing of area to be put to
mining with a view to minimizing clear felling. The felling will always be carried out under
strict supervision of State Forest Department.
(xi) Other standard conditions as applicable to proposals related to mining shall apply in the
instant case also.

After receipt of the compliance report from the State Government on fulfilment of the
conditions mentioned above, the proposal will be considered for final approval under Section-2 of the
Forest (Conservation) Act, 1980. Transfer of forest land shall not be effected till final approval is
granted by the Central Government in this regard.

Yours faithfully,

(Pankaj Asthana)
Assistant Inspector General of Forests

Copy to :-

1. The Principal Chief Conservator of Forests, Government of Orissa, Bhubaneswar.


2. The Nodal Officer, Forest Department, Government of Orissa, Bhubaneswar.
3. The Chief Conservator of Forests (Central), Regional Office, Bhubaneswar.
4. User Agency.
5. Guard File.
6. Monitoring Cell of FC Section.

(Pankaj Asthana)
Assistant Inspector General of Forests

40
F. No. 8-113/2000-FC
Government of India
Ministry of Environment & Forests
(F.C. Division)
Paryavaran Bhawan,
C.G.O. Complex, Lodhi Road,
New Delhi-110003
Dated : 14th September 2006

To
The Secretary (Forests),
Government of Orissa,
Bhubaneshwar.

Sub: Diversion of 133.112 ha of forest land in Bonai Forest Division for Iron Ore mining in
Kurmitar iron ore Mine of M/s Orissa Mining Corporation (OMC) in Sundergarh
District of Orissa.

Sir,
I am directed to refer to your letter No. 10F(Cons)61/2006/9866/F&E dated 13.06.1996
whereunder the above mentioned proposal was submitted seeking prior approval of the Central
Government in accordance with Section-2 of the Forest (Conservation) Act, 1980, and to say that the
above proposal was examined by the Forest Advisory Committee (FAC) constituted under Section-3
of the Act.

2. After careful consideration of the proposal of the State Government, and on the basis of
recommendations of the FAC, the Central Government hereby agrees in-principle for diversion
of 133.112 ha of forest land in Bonai Forest Division for Iron Ore mining in Kurmitar iron ore
Mine of M/s Orissa Mining Corporation (OMC) in Sundergarh District of Orissa, subject to
fulfilment of following conditions : -

(i) The Compensatory Afforestation shall be raised and maintained over equivalent non-forest
land, i.e., over 104.31 ha, at the cost of the user agency. The user agency shall transfer the
cost of afforestation to the State Forest Department.
(ii) The non-forest land identified for raising Compensatory Afforestation shall be transferred and
mutated in the name of State Forest Department and shall be declared as Reserved/Protected
Forest under Indian Forest Act, 1927 or any other relevant Act of the State.
(iii) Penal Compensatory Afforestation shall be raised over degraded forest land twice in extent to
the forest land involved in violation of Forest (Conservation) Act, 1980, i.e., over 2.454 ha (2
x 1.227) at the cost of the user agency.
(iv) The user agency shall construct 4 feet high RCC pillars with forward and backward bearings
to demarcate the area.
(v) The user agency shall raise, fence and maintain a safety zone around the mining area, and will
also raise and maintain the plantation over an area, one and half times in extent of the safety
zone at the project cost.
(vi) The State Government shall charge Net Present Value from the user agency, for the entire
diverted forest land, as directed by Hon’ble Supreme Court and as per the guidelines issued
vide Ministry of Environment and Forests letters No. 5-1/98-FC (Pt-II) dated 18th September
2003 and 22nd September 2003.
(vii) An undertaking from the user agency shall also be obtained stating that in case the rates of
NPV are revised upwards, the additional/differential amount shall be paid by the user agency.
(viii) The State Government shall deposit all the above-mentioned funds with the Ad-hoc Body of
Compensatory Afforestation Fund Management and Planning Authority (CAMPA), in
Account No. CA 1585 of Corporation Bank (A Government of India Enterprises), Block-11,

41
Ground Floor, C.G.O. Complex, Phase-1, Lodhi Road, New Delhi-110003, as per the
instructions communicated vide letter No. 5-2/2006-FC dated 20.05.2006.
(ix) The permission granted under FC Act shall be co-terminus with the mining lease granted
under MMRD Act or any other relevant Act or for 20 years, whichever is less.
(x) Tree felling shall be done in a phased manner to coincide with the phasing of area to be put to
mining with a view to minimizing clear felling. The felling will always be carried out under
strict supervision of State Forest Department.
(xi) No objection from local bodies/Gram Sabha shall be submitted before final approval.
(xii) Other standard conditions as applicable to proposals related to mining shall apply in the
instant case also.

After receipt of the compliance report from the State Government on fulfilment of the
conditions mentioned above, the proposal will be considered for final approval under Section-2 of the
Forest (Conservation) Act, 1980. Transfer of forest land shall not be effected till final approval is
granted by the Central Government in this regard.

Yours faithfully,

(Pankaj Asthana)
Assistant Inspector General of Forests

Copy to :-

7. The Principal Chief Conservator of Forests, Government of Orissa, Bhubaneshwar.


8. The Nodal Officer, Forest Department, Government of Orissa, Bhubaneshwar.
9. The Chief Conservator of Forests (Central), Regional Office, Bhubaneshwar.
10. User Agency.
11. Guard File.
12. Monitoring Cell of FC Section.
13. PS to IGF (FC).

(Pankaj Asthana)
Assistant Inspector General of Forests

42
Environmental Protection Group, Orissa
epgorissa@gmail.com

Environment Protection Group, Orissa, is an informal forum,


where a number of individuals with rich experience and
expertise in different fields have joined together with an aim
to safeguard the state’s rich biological diversity, its people, its
economy and diverse culture of various ethnic groups,
especially tribals, from the clutches of existing ‘development
paradigm based on extractive mining and industrialization’.

During various informal discussions a felt need for and


interactions with many groups/forums/individuals it was
felt need of proper, authenticate information at right time.
Keeping this, EPG, Orissa has decided to bring an update on
Mining at a regular interval. This is the first Step towards
strengthening of the voices of people/groups/forums

N.B:
• The news items which are reproduced in this e-magazine were published in
Bhubaneswar/ Kolkata editions of various newspapers during the period May
2006.
• Information on Environmental Clearances, Forest Clearances, Pending Projects
and Rejected Projects etc. have been downloaded from the website of MoEF,
Govt. of India. (http://www.envfor.nic.in)
• EPG ORISSA has tried its level best to place the information as published in the
newspapers and websites.
• To proceed in a legal manner (based on the information provided in this
magazine) please collect the original news items and MoEF orders.
• This magazine is only for private circulation.
• EPG ORISSA is not liable for any legal proceedings.

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