Majority Report of the Committee Constituted to ... - Forest Rights Act
Majority Report of the Committee Constituted to ... - Forest Rights Act
Majority Report of the Committee Constituted to ... - Forest Rights Act
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<strong>Majority</strong> <strong>Report</strong> <strong>of</strong> <strong>the</strong> POSCO Enquiry <strong>Committee</strong><br />
(Dr. Urmila Pingle, Dr. Devendra Pandey, Dr. V. Suresh)<br />
Executive Summary<br />
1. The Government <strong>of</strong> Orissa and Pohang Steel Company (POSCO), Republic <strong>of</strong><br />
Korea signed a Memorandum <strong>of</strong> Understanding (MOU) on June 22, 2005 for<br />
setting up an Integrated Steel Plant <strong>of</strong> a <strong>to</strong>tal capacity <strong>of</strong> 12 million <strong>to</strong>nnes per<br />
annum in Orissa at Paradeep, in Jagatsinghpur district. By establishing an Indian<br />
Company as POSCO- India, it would develop and operate <strong>the</strong> Steel Plant <strong>to</strong><br />
produce a <strong>to</strong>tal <strong>of</strong> 12 MT starting 4MT in first Phase with a proposed investment<br />
<strong>of</strong> Rs 51,000 crores or 12 billion US$. The integrated steel plant includes captive<br />
power plant and a captive minor port. The plant would be located on <strong>the</strong><br />
northwestern bank <strong>of</strong> <strong>the</strong> Jatadharmohan river creek 12 km south <strong>of</strong> <strong>the</strong> Paradeep<br />
Port requiring a <strong>to</strong>tal <strong>of</strong> 1620.496 hectares <strong>of</strong> land <strong>of</strong> which 1253.225 hectares is<br />
forest land and would affect 8 villages <strong>of</strong> three Gram Panchayats <strong>of</strong> Erasama<br />
block, Kujang Tahsil. The MOU also envisaged that <strong>the</strong> company would develop<br />
and operate , (i) Mining Project in areas allocated by <strong>the</strong> government <strong>of</strong> Orissa /<br />
Government <strong>of</strong> India (ii) Transportation Project which includes a dedicated<br />
railway line, road and Port (iii) Integrated <strong>to</strong>wnship and (iv) Water Supply<br />
infrastructure or <strong>the</strong> Water Project<br />
2. After <strong>the</strong> MOU, POSCO-India commissioned studies on rapid environment impact<br />
assessment (REIA) <strong>of</strong> steel plant (only for 4 MT) along with captive power plant<br />
and separately for captive minor port. The studies were completed in two-three<br />
months along with survey for demarcating CRZ areas during August <strong>to</strong> November<br />
2005 and got environment management plan (EMP) prepared through M/s M.N.<br />
Dastur & Company (P) ltd. The Ministry <strong>of</strong> Environment and <strong>Forest</strong>s,<br />
Government <strong>of</strong> India gave CRZ and Environment Clearance for <strong>the</strong> Captive Minor<br />
Port on 15 may 2007 and that <strong>of</strong> Integrated Steel Plant with Captive Power Plant<br />
on 19 July 2007. The Ministry also granted in-principle (stage I) clearance for<br />
diverting 1253.225 ha forest land for <strong>the</strong> project on 19 September 2008 under<br />
<strong>Forest</strong> Conservation (FC) <strong>Act</strong> 1980 stipulating a set <strong>of</strong> conditions for compliance<br />
before final clearance.<br />
3. In <strong>the</strong> mean time <strong>Forest</strong> <strong>Rights</strong> <strong>Act</strong> 2006 for <strong>the</strong> Scheduled Tribes (ST) and o<strong>the</strong>r<br />
Traditional <strong>Forest</strong> Dwellers (OTFD) became operational from January 2008. The<br />
Ministry <strong>of</strong> Environment and <strong>Forest</strong>s (MoEF) issued circular on 3 Aug 2009 <strong>to</strong> all<br />
<strong>the</strong> States/UT mandating compliance with <strong>Forest</strong> <strong>Rights</strong> <strong>Act</strong> (FRA) 2006 where<br />
proposals for diverting forest land for non-forestry purpose are processed. State