The intractable environment minister Jairam Ramesh has softened his stand towards industry and admits to be working overtime to arrive at a workable compromise on the Lavasa hill city.
He held two meetings on Monday with Ajit Gulabchand, chairman of the Hindustan Construction Company Ltd (HCCL), which is constructing the township project.
“We are trying to find a negotiated solution without minimising the environmental integrity of the process,” Mr Ramesh admitted.
The ministry of environment and forests (MoEF) had issued a stay order on all construction work at Lavasa with HCCL having sought a reprieve against the order from the Mumabi high court.
After studying the report of its three-member panel, Mr Ramesh had insisted construction work could not continue, but he had offered a window of opportunity by stating that if they were willing to pay a hefty fine and adhere to stricter environmental norms, the MoEF would consider okaying the project.
The HCL had claimed they were losing several thousand crores each month and were keen for the project to go forward.
“Now we are trying to see how best the conditions can be fulfilled,” Mr Ramesh said.
Mr Gulabchand had earlier told the press that major policy confusion between the state and Central government were responsible for this impasse. But Mr Ramesh categorically stated, “He ( Gulabchand) did not mention these confusion to me.”
A similar softening is seen towards granting green clearances for the South Korean Posco’s $12 billion steel plant on which the MoEF is set to give a decision on January 31.
Ministry sources expect the minister to give approval to the plant in order to send out a business friendly signal to worried investors from around the globe.