Vedanta Alumina signed an agreement in 2003 to develop bauxite mines in Niyamgiri hills for its Lanjigarh refinery, but faced opposition over forest and environmental clearances. The Supreme Court revoked clearances in 2011 due to violations. Vedanta claims the refinery employs 7,000 and benefits nearby villages, while critics argue it impacts local tribes and the environment. With the mines still in dispute, Vedanta may shut down the refinery without an alternate bauxite source. The case highlights the need for clearer environmental policies to balance development and conservation.

1. VEDANTA LANJIGARH- A STEP
FORWARD OR A STEP BACKWARD
PRESENTED BY:
1. MEENAKSHI KUMAR
2. NITIN GERA
3. NIKHIL NIRANJAN
4. PIYUSH DWIVEDI
5. PIYUSH KUMAR SINGH
6. PRASANJEET ROUT

2.  Vedanta Alumina signed the joint venture agreement with the
OMC in 2003 for developing bauxite mines at the Niyamgiri hill
near Lanjigarh for use in its one-million-tonne alumina refinery
being set up at a cost of Rs.4,000 crores.
 The plant got in production by taking all clearances in 2005.
 The state opposition alleges that the company was yet to obtain
forest clearance for its project as per the Forest (Conservation)
Act, 1980. This is supported by CEC report.
 Environmental clearances revoked by MOEF and the case is
under jurisdiction of the Supreme Court of India.
 Vedanta is planning to shut down the plant in absence of bauxite
mines.
CASE- INTODUCTION

3.  Vedanta Resources plc is listed on the London Stock
Exchange, and continues to be a part of the FTSE 100 Index. It is
a globally diversified natural resources group with wide-ranging
interests in aluminium, copper, zinc, lead, silver, iron ore, oil and
gas and power in countries like australia, south
aftrica, zambia, india etc.
 VAL is based in eastern India and operates a 1mtpa alumina
refinery at Lanjigarh. At Jharsuguda, VAL operates 500ktpa
aluminium smelter and an associated 1,215MW captive power
plant. VAL also has a 1.25mtpa aluminium smelter project at
Jharsuguda.
VEDANTA- AN INTODUCTION

4. Environmental issues:
 Impact on water regime
 Disposal of Toxic effluents
 Impact on wildlife
Environmental acts violated:
 Forest Rights Act 2006
 Violation of Forest Conservation Act
 Violation of Environment Protection Act
Environmental perspective

5.  The supreme court of india in 2007 stated that “If M/s. SIIL is
agreeable to the a fore stated Rehabilitation Package then they
shall be at liberty to move this Court by initiating a proper
application. This Court is not against the Project in principle. It only
seeks safeguards by which we are able to protect nature and sub
serve” development. This in accordance with The Indian Forest
Act, 1927 and The Companies Act, 1956.
 As per the CEC report The Supreme Court of India instructed
Vedanta Aluminium Limited to stop its expansion on the ground
that it has not fulfilled the environmental clearances in 2011. This is
in accordance of violation of Forest (Conservation) Act, 1980
Court Verdict

6.  As per OMC agreement with Vedanta was limited only to mining at
Niyamagiri hills, which is sub-judice currently. Regarding supply of
bauxite from other sources, it is the look out of the government and
Vedanta. It is unable to supply the bauxite as there is no other mines
available for mining.
 VAL pointed out that the MoU included supply of additional bauxite
apart from that lying in the Niyamgiri mines. So it was incumbent on
the state to arrange the material from other sources. However, the
state has not made any attempt in this regard though it possessed
more than half of the country’s bauxite reserves.
Government perspective

7.  Vedanta set up one-million-tonne alumina refinery at a cost of
Rs.4,000 crores near Lanjigarh as per the MoU signed by Vedanta
and state government. Nearly 7000 people are employed in this
project.
 In this project 121 families were physically displaced. These have all
been resettled in the Niyamgiri Vedanta Nagar Resettlement
Colony, with 76 family members being employed with the company
as permanent employees.
 Vedanta is involved in various CSR activities in nearby villages of
Lanjigarh
Vedanta perspective

8. 1. POLICY PARALYSIS
2. SETBACK TO FDI e.g. ARCELOR MITTAL
AND POSCO (A KOREAN COMPANY) PROJECT
SLOWDOWN.
3. WASTAGE OF RESOURCES.
Global Perspective

9.  Union Minister for Environment and Forests and Secretary of
MoEF, must be held accountable for this travesty of environmental
clearance mechanisms of India. The environmental clearance
methods must be more vigilant.
 Government should suggest some remedy to Vedanta Aluminium
Limited for it’s project by supplying an alternate bauxite mining
area.
 Policy paralysis to be stopped to increase FDI’s.
Conclusion