C'garh govt issues notice to NMDC over iron ore mine project

The Chhattisgarh Forest Department has issued a show-cause notice to National Mineral Development Corporation asking why clearance for diversion of forest land for its iron ore mining project in the Dantewada district should not be canceled. The notice was issued after a report submitted by the Dantewada district administration asserted the 'gram sabha' held in Hiroli village in Bacheli tehsil on July 4, 2014, for the proposed project was against rules and declared it 'void ab initio' (to be treated as invalid from the outset).

The Dantewada collector had submitted this report to the state government on March 4 this year. Based on the approval granted by the Union Ministry of Environment and Forest and Climate Change in January 2017, the state forest department had given clearance for diversion of 315.813 hectares to carry out non-forestry activities under the Bailadila Iron Ore Project, the notice issued by the forest department said.

"When the incumbent collector's investigation has found the 'gram sabha' (held to seek the consent of villagers for mining) as invalid, no option is left except to nullify the entire process," it said and asked why clearance for diversion of forest land granted by the state government should not be canceled. The NMDC has been told to furnish its reply within a week.

In June last year, the Chhattisgarh government had halted work on the iron ore mining project at Deposit-13 in Bailadila hill range, around 450km from state capital Raipur, after a protest by tribals, who revere one of the hills at the site as a deity. The state government had, at the time, ordered a probe into the 'gram sabha' held in 2014.

The 10 MTPA capacity Bailadila Iron Ore Deposit-13 is being developed by a joint venture company called NCL, formed by NMDC and Chhattisgarh Mineral Development Corporation. A contract for excavation and mine development was awarded to Adani Enterprises Ltd in 2018 when the BJP was in power in the state, officials said.

Speaking to PTI, Pankaj Sharma, NCL Chief Executive Officer, said the firm had not received the notice and so he could not comment at this stage.