Green panel finds fault with Posco’s steel plant

New Delhi/Bhubaneswar, Oct 18: With major differences emerging between the members of a key government panel looking into green clearances of Posco steel plant in Orissa, the fate of this single largest FDI projects continues to hang in the balance.

On Monday, the panel submitted two reports to the environment ministry.

A majority view of the four-member panel was of the opinion that the environmental clearances to the Posco steel plant and a captive port be scrapped forthwith, while the leader of the team felt otherwise.

The environment minister, Mr Jairam Ramesh, said “Both reports say there are weaknesses and infirmities in the way the Forest Rights Act is being implemented and there is room for significant improvement.” He added the panel was united in recommending a fresh environment impact assessment for the project.

The Orissa Chief Minister, Mr Naveen Patnaik, however, chose to react cautiously on the recommendations.

“I have not received the report as yet. I will give my comment only after I go through it. The state government will certainly examine the document after which the next course of action will be taken,” the chief minister said in Bhubaneswar.

Three months ago, the ministry ordered Orissa government to stop work at the Posco site after a previous study highlighted alleged irregularities in implementation of forest laws. The ministry set up four-member committee headed by former tribal affairs secretary, Mr Meena Gupta, to probe the matter.

The Forest Advisory Committee (FAC) is scheduled to meet on October 25 to discuss the reports and make recommendations to the environment ministry. Mr Ramesh has also asked the environmental and Coastal Regulatory Zone divisions of the ministry to examine the reports and give their views on it.

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