HC rejects Vedanta plea to reopen Sterlite plant in TN
STRONG VERDICT Vedanta proceeded with expansion without clearances, the court said
BENGALURU: The Madras high court on Tuesday rejected Vedanta Ltd’s petition to reopen its copper smelting plant in Thoothukudi (Tuticorin), about 610 km from Chennai, in a verdict that upheld the importance of the environment over economic considerations.
Setting a precedent for other polluting industries, the verdict, delivered via video conferencing by Justice TS Sivagnanam and Justice V Bhavani Subbaroyan, said that “economic considerations can have no role to play while deciding the sustainability of a highly polluting industry and the only consideration would be with regard to safeguarding environment for posterity and remedying the damage caused.”
The Sterlite verdict is likely to have far-reaching consequences on the fate of similar establishments across the country and bolster the fight of green activists for stricter compliance with environmental laws. It is also likely to set a precedent for such disputes in the future.
At the heart of the dispute is a 400,000 tonne-capacity Sterlite Copper smelting plant, owned by Vedanta.
The company shut the smelter for maintenance in March 2018 and later extended the closure as locals protested against the pollution caused by the plant. Police fired on the protesters in May that year killing 13 people. Widespread anger against the police action prompted the Tamil Nadu government to shut the plant.
“The verdict comes as an utter shock to the employees of Sterlite Copper and the thousands of small businesses, entrepreneurs, and community members dependent on our continued operations,” Pankaj Kumar, chief executive of Sterlite Copper said after the judgment.
All 10 petitions challenging the state’s closure order of the Sterlite Copper plant and other alleged violations filed by Vedanta were also dismissed.
Vedanta said it will seek legal recourse in the matter.
The court also looked into orders and verdicts passed against the company’s operations in Goa, Maharashtra and Odisha, which it said “is of relevance while adjudging the credibility of the petitioner and its commitment towards (the) environment.” The order came down heavily on Vedanta, stating that the company had proceeded with expansion plans without clearances and also submitted statements that were “tutored” to show that the people living in the surrounding villages were happy with the plant in Thoothukudi.
The verdict also detailed the violations, including improper disposal of hazardous effluents such as copper slag, the occurrence of heavy metals in the soil, fugitive emissions and dumping of solid wastes. “Though this was the factual position, the petitioner seeks to escape from the rigour by contending that there was no such charge against the petitioner,” the court stated. It also pulled up the regulators for failing to do their job and on account of their default, the company, the court stated, cannot be exonerated. The verdict comes at a time when the Centre and many state governments have assured businesses speedy clearances and liberalised laws.