Jindal's steel plant gets a show cause notice

Order issued on November 22 gives 15 days to company to respond

GN Bureau | November 26, 2010



Jindal Steel and Power Ltd's (JSPL) proposed integrated steel plant at Angul in Orissa has been issued a showcause notice by the environment ministry for flotuing conditions imposed while granting environmental clearance.

The ministry has given 15 days time to the company to respond to as to why environmental clearance for the six million tonnes per annum (mtpa) integrated steel plant and 1000 MV captive power plant should not be revoked. The order was issued on November 22.

In the notice issued to JSPL, the ministry pointed out that environmental nod to the project was accorded on the condition that no construction activity at the project site shall be initiated till the approval for the 168.232 hectares of forest land is obtained under the Forest (Conservation) Act, 1980.

The total land required for the project was 2160.385 hectares out of which 168.232 hectares was forest land and environment clearance for the project was given in February, 2007.

The ministry's action came in the wake of a show-cause notice issued last year by the division forest officer, Angul forest division who had pointed out violation of the FC Act, 1980 as work had started on non-forest land prior to clearance.

He had directed the company to stop all construction activities such as storage godown, roads, foundation for industrial activities like power plant, stockyard plant mill on the non-forest government land.

"Now, therefore, under Section 5 of the Environment (Protection) Act, 1986 you are hereby directed to showcause within a fortnight as to why the clearance should not be revoked," the ministry's order said.

This is the third project belonging to a high-profile industrial group in the state that has come under the scrutiny of the environment ministry for infringing green norms, the first two being of Vedanta and South Korean steel giant Posco.

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