CAG pegs Odisha's outstanding NPV dues at Rs 25 cr

A sum of Rs 97.80 cr was to be realised towards NPV for the diversions

The Comptroller and Auditor General of India (CAG) has pulled up the state government for non realization of net present value (NPV) of Rs 24.77 crore towards diversion of forest land for non-forestry purposes.

The report of CAG on the economic sector for 2012-13, stated that test check of records in 11 forest divisions from January to March 2013 revealed that the Ministry of Environment and Forests (MoEF) had approved 1,348 hectares of forest land from November 2002 to April 2009 in favour of 10 user agencies for non-forestry purposes.

A sum of Rs 97.80 crore was to be realised towards NPV (net present value) at revised rates for the diversions. However, only Rs 73.04 crore was realised from the user agencies.

“Balance amount of Rs 24.77 crore was neither realized nor was the project approval cancelled despite the passage of four to 11 years,” the CAG said in its observation.

Under the provisions of Forest (Conservation) Act, 1980, the forest land may be diverted for non-forestry purposes to the user agencies on payment of NPV of forest land before final (Stage-II) approval was accorded by the MoEF.

As per the circular issued in May 2010 by the Principal Chief Conservator of Forest, Odisha, NPV is to be charged for the entire forest area included in mining lease irrespective of area approved under FC Act 1980.

The state government in February 2014 had stated that out of Rs 24.77 crore, Rs 2.44 crore has already been deposited by one user agency and in the remaining 10 cases, the defaulting user agencies are being pursued by the concerned divisional forest officers (DFOs) and the state Forest and Environment department for early deposit of the NPV of Rs 22.33 crore.

The state government has stated that steps will be taken against the defaulting user agencies in case of further delay in depositing NPV, the report added.