MoEF contradicts own rules, says Vedanta

Standards not consistent, rules changed midway, it contends.

You are not going by your own rules, Vedanta Aluminium Ltd (VAL) intends to tell the Union ministry of environment and forests (MoEF) tomorrow.

Also, it plans to say MoEF is applying to VAL a different standard than the one being held for other companies.

Vedanta intends to say so in reply to the MoEF showcause notices of August 31 on its Orissa alumina refinery project and the operation of bauxite mines in Jharkhand.

On Orissa, the MoEF wants an explanantion on how Vedanta began expanding its refinery at Lanjigarh in Kalahandi district from a capacity of a million tonnes per annum (mtpa) to six mtpa, and the captive power unit from 75 Mw to 300 Mw, without taking environmental clearance. The clearance for the initial limits was given in September 2004 and the ministry wants to know why these should not be revoked and the refinery ordered closed.

As for Jharkhand, the MoEF notice says 11 of 14 Vedanta mines there, supplying bauxite to it, are without environmental clearance.

Vedanta says the Orissa notice contradicts the Environmental Impact Assessment (EIA) notification of 2006.

“According to (this) notification, any project proponent who wishes to undertake capacity expansion work without any change in process or technology does not require environmental clearance and the same applies to VAL, as the company is using the same technology and processes for our capacity expansion work. We will raise this point in our response to the MoEF showcause notice, which we will submit to the ministry on Wednesday,” Mukesh Kumar, chief operating officer of VAL at Lanjigarh told Business Standard.

As for the Jharkhand mines, VAL says the ministry is not in conformity with its own circular dated July 2 this year, according to which all mines in existence for over 20 years do not need environmental clearance and only need renewal of mining leases.

TWO SIDES

WHAT MOEF SHOW-CAUSE NOTICE SAYS...

# On Orissa, the MoEF want an explanantion on how Vedanta began expanding its refinery at Lanjigarh without taking environmental clearance

# As for Jharkhand, the MoEF notice says 11 of 14 Vedanta mines, supplying bauxite to it, are without environmental clearance

WHAT VEDANTA REPLIES...

# Vedanta says the Orissa notice contradicts the Environmental Impact Assessment notification of 2006

# For Jharkhand, VAL says the ministry is not in conformity with its own circular, according to which all mines in existence for over 20 years do not need environmental clearance

“The mines in Jharkhand which are supplying bauxite to us have been in operations before 1994 and hence they do not need any environmental clearance. Four of these mines are working under deemed extension. Apart from VAL, these mines are also supplying bauxite to Hindalco Industries and many other refractory and cement units,” said Kumar.

MoEF’s latest circular on these issues, dated August 19, says a number of project proponents have started work on capacity expansion of their existing projects without prior environmental clearance. The ministry has asserted that all projects need to have prior environmental clearance for undertaking capacity expansion work.

VAL has already invested Rs 9,000 crore so far on the Lanjigarh refinery project. It has finalised a plan to source more bauxite from Gujarat and will be signing a pact with the Gujarat Mineral Development Corporation within a day or two for supply of 0.5 million tonnes of bauxite over the next three to four months to Lanjigarh.