OMC to make fresh bids with NGT for mining bauxite in Niyamgiri Hills

India’s State-run mining company Odisha Mining Corporation (OMC) has renewed attempts to start bauxite mining operations in the ecologically fragile Niyamgiri Hills, reported sources aware of the matter. The company’s earlier attempts in this regard were turned futile by the opposition put up by local tribals in 2013.  

OMC is known to be gearing up to approach the National Green Tribunal (NGT) with a fresh plea. It has already got a go-ahead from the Odisha state government.

"We have allowed OMC to approach the NGT on Niyamgiri bauxite mining. But before approaching the tribunal, OMC has to seek approval from the sub-divisional committees in Rayagada and Kalahandi districts where the gram sabhas in 12 villages had voted against the mining plan”, a senior government official said.

OMC had filed a petition with the Supreme Court in February this year to reconsider the possibility of holding fresh gram sabhas to decide whether bauxite mining can be done on the top of Niyamgiri Hills; the apex court had dismissed the proposal outright. Again in May 2016, a bench of the apex court refused to entertain any petition in this regard. Instead, the court directed OMC to move appropriate forums against the decision of the gram sabhas held in July-August 2013, whereby the tribal communities had clearly stated that they held religious rights over the region, and mining of bauxite in Lanjigarh located below the top of the Hills would affect those rights.

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The outcome of the gram sabhas had serious repercussions on Vedanta's alumina refinery operations at Lanjigarh. Sourcing bauxite from the nearby mines would have enabled Vedanta to become a globally competitive producer of alumina and aluminium. In the absence of local bauxite sources, Vedanta was forced to procure bauxite from other states. The mining and metal giant also took resort to imports to feed its refinery. However, unable to cope with the rising raw material and logistics cost, the refinery was closed partially.

Any fresh attempt to mine bauxite in the Niyamgiri Hills, if proves successful, will help Vedanta revive its operations at Lanjigarh refinery; but whether they succeed in convincing local people this time- only time will tell.