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OMC to cough up whopping Rs 2k crore towards penalty fixed by SC

 It is expected that the State Government will recover over Rs.20,000 Crore from the erring mining companies including State PSU, Odisha Mining Corporation (OMC) while implementing the orders of the Supreme Court.

Over Rs.2000 crore will be recovered only from OMC alone, which will be major financial burden for the State PSU, said sources.
This is being worked out in the Directorate of Mines as Chief Secretary AP Padhi has asked the officials to adhere to strict implementation of Supreme Court Order and stick to the time line provided in the judgment.
While notices will be issued to the mining lease holders for recovery of Rs.17,576.16 crore for excess extraction of minerals in violation of environmental clearance, State PSU OMC will bear a major burnt of over Rs.2000 crore, said sources.
Sources said OMC will cough up Rs.17001.24 crore and Rs.484.97 crore for Iron Ore and Manganese Ore respectively making a total of Rs.17576.16 crore penalty as per CEC recommendations.
Since this amount does not include mining without forest clearance (FC), a fresh evaluation will be made for mineral extracted without the said statutory clearance.
Further demand notices will be issued for 100 per cent recovery of the cost of minerals from lessees who have violated the mining plan and are operating their mines with consent to operate required under Air and Water Acts. The amount will be more than Rs.2,000 crore.
Accordingly, Director Mines is in touch with the Deputy Directors Mines in this regard as they will be raising demand on the pricing formula adopted by CEC for recoveries from erring mining lease holders.
These notices are to be issued soon as the Deputy Directors and Mining officers are working out the fresh demands in this regard.
State Government has also decided to make recovery under Section 21(5) for mining in forest areas without forest clearances.
Joint meetings are being held among Forest and Mining officials to work out details of violation of FCA and also mineral exploration.
There are 16 cases of FCA violations and the pricing formula adopted by CEC will be adhered to in this case also.
As many as 102 mines have been closed. The restarting of mining activities will be considered only after compliance with statutory requirements and full payment of compensation and other dues within 31 December,2017.
However, it was noted that the working mines have not been disallowed from working until the payment of demand if fully made by 31 December, 2017 as has been stipulated by the apex Court.


Précis 2017
From asking his party men to ‘live a simple life and serve the people’ to taunting the BJP for its ‘crocodile tears’, Chief Minister and BJD supremo Naveen Patnaik has not only become politically invincible, he seems to be so in the coming years too.


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* Tata Steel Bhubaneswar Literary Meet from Jan 11
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