An independent committee, mandated by the Indian government to examine Vedanta Resources plc’s proposed bauxite mines in the State of Orissa, has recommended the project be rejected.

The committee was created to investigate the project under the provisions of the Forest (Conservation) Act 1980, after the Ministry of Environment and Forest (MOEF) “found several instances of violation of environmental laws”.

The four-member committee said that the company “has repeatedly violated the law”, and that “allowing it further access to the proposed mining lease area at the cost of the rights (of local tribes), will have serious consequences for the security and well being of the entire country”.

Vedanta’s proposals included the ‘diversion’ of 660ha of forest land for the Lanjigarh bauxite mines in the Kalahandi and Rayagada Districts.

In its report, the committee said: “Mining operations of the intensity proposed in this project, spread over more than 7km2, would severely disturb this important wildlife habitat. The entire Niyamgiri hills will suffer major ecological damage if mining is allowed in the proposed mining lease area.”

In addition, the resources would have “limited relevance” to Vedanta’s Orissa refinery, according to the report, as the ore deposit would only provide four years worth of ore under the planned six-fold expansion of the plant.

The report noted that mining at the proposed site will provide only 3Mt/y of ore out of the refinery’s total bauxite requirement of 18Mt/y after its ongoing expansion from 1Mt/y of alumina to 6Mt/y (for which, according to the committee, “they have already nearly completed the work even before getting permission”).

Non-government groups have vigorously lobbied against the project.

In 2003, Vedanta signed a Memorandum of Understanding with the Orissa government for construction of an alumina refinery, a power plant and related mining development at Lanjigarh in Kalahandi district. Vedanta was later given clearance to build the plant while the mining component remained under review.