Posco, Vedanta get Supreme Court nod for Mega Projects in Orissa

The Suprme Court cleared all hurdles in the way of controversial Sterlite (Vedanta) and Posco projects in Orissa. However, it imposed certain conditions to ensure the environment safety and welfare of the tribals affected by the mining projects. Sterlite Industries, the Indian subsidiary of Vedanta Resources Plc. got the final nod to proceed with its controversial Rs. 4,000 crore aluminium project in the Niyamgiri hills.

Sterlite had sought clearance for diversion of 660.749 hectare of forest land for mining purposes to feed its alumina plant. The special forest bench headed by Chief Justice K G Balakrishnan, pronounced the verdict in Sterlite's favour. The court also ruled that 5 per cent of the profit of the company, or Rs 10 crore (whichever is higher), would be spent each year to maintain the ecological balance and for the welfare of the displaced tribal people. A Centrally Empowered Committee would supervise the functioning of the project.

The same bench of the Supreme Court, gave its nod to another controversial steel project from Posco India. Posco is going to invest Rs. 51,000 crore to set up a steel plant in Orissa, which includes a captive minor port in Paradeep. The project covers 1,650 hectares of land including 1,253 hectares of forest land. The same condition that applies to Sterlite, will apply to Posco too. While the Supreme Court cleared the hurdles that came in the way of industrialization, it also took utmost care of the concerns expressed by the environmentalists and displaced tribals.