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The Supreme Court's Central Empowered Committee on Forests issued a report on 21
September 2005 recommending the revocation of environmental clearances given to
Vedanta Alumina Ltd's 1 million tonne aluminium refinery in the Niyamgiri
forests in Lanjigarh, Orissa. The CEC found that Vedanta had falsified
information to obtain clearances (received one year ago, on 22 September 2004)
from the Ministry of Environment and Forests (MoEF). The CEC also found that the
firm had destroyed more than 10 hectares of forest land and begun construction
work onsite without obtaining separate and necessary clearances under the Forest
Conservation Act. Vedanta is a UK-based mining company owned by NRI billionaire
Anil Agarwal.
The refinery project is integrally dependent on the availability of 3 million
tonnes of bauxite ore from the densely forested Niyamgiri hills. Referring to
the Niyamgiri forests as "an ecologically sensitive area," the CEC recommended
to the Supreme Court to consider revoking the environmental clearance granted to
M/s Vedanta, and directing them to stop further work on the project.
Hinting at complicity of the Union Ministry of Environment and the Orissa
Government in the violations, the CEC has written that "The casual approach, the
lackadaisical manner and the haste with which the entire issue of forests and
environmental clearance for the alumina refinery project has been dealt with
smacks of undue favour/leniency and does not inspire confidence with regard to
the willingness and resolve of both the State Government and the MoEF to deal
with such matters keeping in view the ultimate goal of national and public
interest."
Environmentalists, tribal activists and human rights proponents have welcomed
the CEC report and expressed the hope that the Rs. 4000 crore project in the
adivasi-dominated Niyamgiri region will be abandoned.
Tamilnadu groups in the meantime have said they will petition the Supreme Court
and other appropriate authorities to order investigations into collusion by the
State Pollution Control Boards and the Union Environment Ministry to favour
Vedanta group companies, including Sterlite and MALCO, despite violation of
environmental regulations.
Vedanta also operates a controversial copper smelter in Tuticorin through its
subsidiary Sterlite Industries India Ltd. Till date, the Tuticorin complex
operates without requisite clearances and consent. As against a permitted annual
production of 40,000 tonnes of blister copper, the company was openly
manufacturing more than 1,70,000 tonnes of copper anodes. Further, it has
constructed a new smelter, refinery, cathode rod plant and captive power plant -
all without clearances from the MoEF or consent from the Tamilnadu Pollution
Control Board. The Supreme Court Monitoring Committee (SCMC) on Hazardous Wastes
visited Tuticorin on 21 September, 2004 and observed the violations. The SCMC
had recommended that the TNPCB stop construction work and close the Sterlite
operation in Tuticorin. The TNPCB has not acted on those directions.
MALCO - another Vedanta subsidiary - operates an aluminium smelter and refinery
in the Mettur dam area. In July 2003, a report by Justice (Retd) Akbar Kadri,
chairman of the Indian People's Tribunal investigating human rights violations
by the company, found the company guilty of endangering the environment and
public health. The company dumps "Red Mud" - a toxic by-product of bauxite
processing - on the banks of the Mettur reservoir that supplies drinking and
irrigation water to seven districts of Tamilnadu.
Chennai-based Human Rights Tamilnadu Initiative and Tuticorin-based Veeranganai women's movement have said that the CEC's report demonstrates clearly the modus operandi of Vedanta/Sterlite, and the company's reach within state and central governments. They feel that the Tuticorin smelter is an even more blatant violation that reveals the extent to which corruption has set in amongst our environmental regulators. "We demand that the illegal Tuticorin smelter be shut down immediately and a CBI enquiry initiated to investigate the complicity of the Tamilnadu Pollution Control Board and the Union Ministry of Environment in
condoning the illegal expansion and endangering environment and public health," they said.
Nityanand Jayaraman
Nityanand Jayaraman is Chennai-based independent journalist covering issues of corporate crime. Working through a voluntary collective called Corporate Accountability Desk, he volunteers support for a number of campaigns against pollution and corporate crime.
Citizen Direct is India Together's channel for publishing
reports from citizens who have detailed information about specific civil
society concerns and matters, by virtue of their participation,
association, or independent observation. These reports are therefore
as witnessed and understood by the authors themselves; India
Together accepts no liability or responsibility for them.
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SC committee says no to Vedanta refinery
Nityanand Jayaraman
6 October 2005
6 Oct 2005
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