By Bizodisha Bureau, Bhubaneswar, October 4, 2017: The mine lease holders will challenge the Odisha government’s second demand notice issued last week to pay about Rs 3000 crore for alleged excess production violating provisions under Forest (Conservation) Act, mining plan approved by the Indian Bureau of Mines (IBM) and consent to operate granted by the State Pollution Control Board as per the Air and Water Acts.

“We are going to challenge the second notice by the state government seeking compensation which is totally against the spirit of the Supreme Court order. We will file objection on Friday,” Prabodh Mohanty, secretary, Eastern Zone Mining Association (EZMA) on Wednesday told Bizodisha.com.

Based on the Supreme Court order, the state government last month had penalised the lessees Rs 17,576.17 crore as calculated by the apex court appointed central empowered committee (CEC) on excess production beyond what was approved under environment clearance.

In the second notice issued on September 26 last to 23 mine lease holders violating the Forest (Conservation) Act and 151 others for other statutory non-compliances.
The lessees have been allowed 10 days to show cause to the government notice.

The CEC report had said, miners in Odisha illegally extracted 215.5 million tonnes of iron and manganese ore in Odisha between 2000-01 and 2010-11.

Mining companies served with second notice include Tata Steel, Essel Mining & Industries Ltd, Indrani Patnaik, Rungta Mines, Serajuddin & Company and even state run entities like Odisha Mining Corporation (OMC). They need to pay the compensation latest by December 31 this year.