Bauxite mining in Visakhapatnam mired in controversies

Bauxite mining issue in the dense hilly terrains of Visakhapatnam has witnessed several twists and turns ever since the powers-that-be allowed a Dubai-based company to make an aerial survey of bauxite blocks in the region in 2001.

Each time the move had triggered a ruckus those in power have announced to make a re-look at the proposal. However, what intrigues many is the fact that despite so many controversies the agreements signed with Jindal South West Aluminium Limited and Anrak Aluminium Limited during 2005-07 to supply bauxite ore by APMDC have not been cancelled.

GO suspension

Even the State government recently announced the suspension of GO Ms. No. 97 – which give clearance to APMDC to mine in Jerella area instead its withdrawal – a demand being raised consistently by the Opposition parties and the tribal activists.

Industry sources said Eastern Ghats have bauxite reserves of two billion tonne – the largest in the world. Odisha has 60 per cent of the reserves and the remaining are in Andhra Pradesh.

World leader

China is the world leader by producing 50 million tonne as against less than two million tonne in India. Despite endowed with rich deposits, the mining has not taken off in a big way due to controversies. China, which started alumina production in mid-1990s depends on Indonesia, Malaysia and India (for low grade bauxite from Gujarat) to meet its raw material requirement.

“Bauxite mining per se in a Scheduled Area is ultra vires the Constitution. Hence, under no circumstances, it should be allowed through APMDC,” said former Union Tribal Welfare Minister V. Kishore Chandra Deo.

Those supporting mining wonder why the government is not able to take a firm decision – to allow or disallow mining to put an end to ambiguity over the issue.

Huge investment

“We have already invested Rs.7,800 crore on our alumina refinery in Makavarapalam mandal, about 100 km from Visakhapatnam. Since 2012 it is lying idle for failure of APMDC to keep its promise to supply bauxite ore,” a senior official of Anrak said.