Environment Ministry rejects Vedanta's bauxite mining project

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The Union Ministry of Environment and Forests today rejected Vedanta's bauxite mining project in Orissa's Niyamgiri Hills, saying the company had violated laws and the project could not be given the go-ahead unless these were complied with.

"There has been a very serious violation of laws. There has been violation of the Forest Rights Act, 2006, Environment Protection Act, 1966 and Forest Conservation Act, 1980. Therefore, the project cannot go ahead," Minster of State for Environment and Forests Jairam Ramesh told mediapersons.

"The stage II forest clearance for the Orissa Mining Corporation Ltd.(OMC) and Sterlite bauxite mining project on Niyamgiri Hills in Lanjigarh, Kalahandi and Rayagada districts of Orissa cannot be granted. Stage II Forest Clearance therefore stands rejected. Since the forest clearance is being rejected, the environmental clearance for this mine is inoperable," he said.

The Minister said the government was examining penal action against Vedanta and is also considering the issuance of a show cause notice to it for illegal mining.

A four-member committee, set up by the Environment Ministry headed by Mr N C Saxena, a National Advisory Council (NAC) member early this year, investigated alleged violations of environmental laws and submitted its report last week. The committee had advised rejection of the mining project, saying it would endanger the survival of tribals living in the project area.

On the Korean company Posco's steel plant in Orissa, Mr Ramesh said the Government had asked the Gupta panel to submit its report by September-end. He said it was unfair to compare the two projects.

NNN