India: Goa auctioned mines will require fresh environment, other clearances - HC

Goa mines cannot avail the centre's amendments transferring old environment and forest clearance to new lessees, the High Court of Bombay at bench of Goa said on 26 April.

The Government of India, through two amendments, had extended earlier clearances allotted to the mine - first for two years, and then for the life of mine. Since as many as 20 clearances and permits are needed to operationalise a mine, the government believed a seamless transfer would not disrupt the production and availability of iron ore, the key steel raw material. This provision under Section 8A and B was to apply to all valid approvals and permits.

Goa’s decision to extend this clause to some mines in the state had been challenged ironically by Goan miner Sociedade de Fomento Industrial which accused it of “misrepresentation” in its notice inviting tenders. Fomentos’ petition was based on the NIT of Block -VI or the Cudnem block won by JSW Steel on Tuesday for a premium of 96.65%.

The High Court order, highlighting the word ‘valid’, said it could not be expected to endorse a claim that clearances specifically cancelled by the Ministry of Environment and Forest in deference to or in compliance with the Supreme Court observations and directions, were still valid in the first place to be transferred. “Without Parliament having ever stated so, the state virtually seeks to read the amendment to Section 8B as some sort of legislative overruling of the decision in Goa Foundation -I and Goa Foundation F-II," said the HC. NGO Goa Foundation was also a party to the case.

In a scathing order reminding the state of reasons why the Supreme Court accused the state government of allowing “rapacious and rampant exploitation’ of Goa's natural resources”, the HC clarified that fresh ECs will have to be obtained even by the successful bidders to Block -VII (JSW Steel ) and by other blocks to the SC’s orders in GF-I and GF-II apply.

~ By Meera Mohanty