Centre rejects Vedanta's Niyamgiri mining proposal

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Saumya
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Centre rejects Vedanta's Niyamgiri mining proposal

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NEW DELHI: The Union environment and forests ministry on Tuesday rejected the clearance for Orissa Mining Corporation to mine Niyamgiri hills for Vedanta's aluminium refinery in Lanjigarh.

The rejection is the most drastic of the measures taken by the government, which has generated the impression that noose could be tigthening around Anil Agarwal's $1.7 billion operations in Orissa. The MoEF has decided to slap a showcause notice on the aluminium czar, asking why his refinery unit should not be denied the right to expand its plant from one million tonnes per annum to 6 million tonnes per annum. Another showcause notice has been served on Agarwal, asking why his plant should not be shut down for infringement of the Environment Protection Act.

And if this was not enough, the government, in a move that could possibly choke other supplies of raw material for its refinery, has decided to investigate whether other mines Vedanta buys bauxite from have environmental clearance. The Forest Advisory Committee (FAC) had reported on Monday that 11 of the 14 did not.

That apart, the ministry will also investigate what penal actions it can initiate against Vedanta and its officials for falsifying information given to the government for clearance as well as infringing Forest Conservation Act and Environment Protection Act provisions.

Read more: Centre rejects Vedanta's Niyamgiri mining proposal - India Business - Business - The Times of India
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