Shah Commission urges Odisha to control mining irregularities  

Probe panel expects to end hearing by Apr 5

Barely
two days after confirming illegal mining in Odisha, the Shah Commission of inquiry said that the state government needs to exercise control over
irregularities in mining activities.

When asked, if the state government is at fault with respect to illegal mining, Justice
Shah, Chairman of the commission said, “I don't say that. I only want to state
that you ought to have control from time to time on whether the lessees
obtained environment clearance or forest clearance or whether they have
exceeded the particular target (of production).”

On
political patronage behind illegal mining, he said, “At present, I may tell you
that political patronage is very difficult to find out. There would not be
evidence behind that. Without evidence, it would not be justifiable for a judge
to comment.”

Regarding
delay in grant of environment clearance for mining, Shah said, “We would
consider it because that depends on circulars issued by the Central government
from time to time. We would interpret these circulars.”

Commenting
on the state government's view recommending ban on iron ore exports, he said,
“The state government has a stand that may not be accepted by the Central
government. But that has to be decided in a distinct manner. The state
government's main view is that iron ore has to be preserved and conserved for
the future. It cannot be exploited and exported.”

Meanwhile,
the panel probing into large scale mining of iron ore and manganese ore without
lawful authority expects to complete hearing for illegal mining in Odisha by
April 5.

“We
are making efforts to ensure that all hearing in Ahmedabad with respect to
Odisha is completed by April 5. Of the total of 186 lessees, only 35 are
remaining to be heard. The seven member committee will complete its physical
verification of boundaries of mines within 45 days,” sad U. V. Singh, one of the
panel members and additional principal chief conservator of forests, Karnataka.

Earlier,
the state government through its counsel U. Lalit reiterated its stand for ban
on iron ore exports to ensure long-term sustainability for the mining sector
before the probe panel. The state government counsel also pitched for royalty
hike. Substantiating the government's plea for royalty revision of iron ore,
Lalit argued that the mine owners had earned super normal profits during the
unprecedented boom in the iron ore market without proportionate royalty
increase.

The
state government also apprised the commission, that to lessen burden on
available infrastructure, it had imposed cap on iron ore production from Joda
at 40 million tons per annum (MnTPA) and 12 MnTPA for the Koira sector. Both
Joda and Koira are the two most prolific iron ore mining circles in Odisha,
contributing around 80 per cent to the state's total ore output.

Lalit
further said, the state government favoured competitive bidding for minerals to
ensure transparency. The state government also stood by its resolution to
reserve all balance mineral bearing areas in favour of its mining PSU – Odisha
Mining Corporation (OMC).