- Community consent issues delay forest clearance approval
- FAC raises ecological concerns, seeks more state reports
The Union Environment Ministry has delayed a decision on Vedanta Limited’s proposal to divert over 700 hectares of forest land in Odisha’s Rayagada and Kalahandi districts for its Sijimali bauxite mine. The delay stems from unresolved issues including community consent, compensatory afforestation, and ecological impact, as per government records.
During a meeting held on 25 August, 2025, the Forest Advisory Committee (FAC) noted that Odisha government reports failed to address concerns raised by local villagers and ongoing legal petitions in the Orissa High Court.
Displacement and legal challenges
The project proposes the diversion of 708 hectares within a 1,548-hectare lease area. If approved, the mine would supply raw material for Vedanta’s six million tonnes per annum alumina refinery at Lanjigarh. However, it would also displace around 100 families in Malipadar (Rayagada) and Tijamali (Kalahandi).
A major legal hurdle emerged when the Odisha High Court, in March 2025, questioned the authenticity of Gram Sabha resolutions endorsing the project. The court directed that affected communities must be genuinely consulted before any clearances are granted.
Critical environmental and habitat concerns
The FAC highlighted that the proposed mine lies in a notified elephant habitat and is prone to soil erosion. It asked the state government to submit a detailed erosion management plan and seek advice from Project Elephant.
Further complications arose with the compensatory afforestation plans. Some of the land identified for afforestation overlaps with areas allocated for other mining projects. The panel directed Odisha to verify whether these sites are free of encroachment, and to submit site-specific reports.
It was also observed that 8.08 hectares fall within the Dubna-Sakradihi mining project area, raising questions about land conflict. Additionally, signs of shifting cultivation and village pathways were identified across several proposed sites.
Vedanta’s response and commitments
- Vedanta has stated that mining would be conducted on unvegetated hilltops, while valleys would be developed as green belts. The company also committed to:
- Funding a site-specific wildlife conservation plan for a 10-km impact zone, valued at INR 34.44 crores (~$3.91 million).Contributing over INR 107 crores (~USD 12.14 million) for compensatory afforestation efforts
Next steps
This would be Vedanta’s first bauxite mine in Odisha, which holds around 311 mnt of reserves. However, the project remains on hold until all legal, environmental, and social concerns are addressed and reviewed by the Forest Advisory Committee.
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