Odisha: Mining penalty to be spent in affected areas

BHUBANESWAR: The State Government on Saturday decided to utilise the mining penalty collected from defaulting miners on improvement of social infrastructure in eight mineral-bearing districts affected by excess mining activities.The State Government has received Rs 8,290 crore as compensation towards excess mining without statutory clearance from about 72 mining by December 31, the last date for payment of fines as ordered by the Supreme Court. The money has been deposited in Odisha Mineral Bearing Area Development Corporation (OMBADC), a special purpose vehicle created by the State Government in April 2014 following the apex court order to carry out developmental activities in mineral rich regions of the State.

As per the order of the Supreme Court, the penalty collected from miners will be utilised in the district affected by mining activities. The funds will be spent to improve social infrastructure such as  provision of housing, drinking water, sanitation, livelihood promotion, irrigation, skill development for alternative livelihood and supplementary income. Besides, environmental upgradation, construction of roads, anganwadi centres, power supply infrastructure, health  services and other activities would also form part of the action plan, Chief Secretary Aditya Prasad Padhi said after a high level meeting.

The State Government has identified 691 villages under 30 blocks spread across eight districts for overall development under OMBADC. The eight districts are Angul, Dhenkanal, Jajpur, Jharsuguda, Koraput, Keonjhar, Mayurbhanj and Sundargarh.Padhi said the State Government has submitted a status report on collection of penalty to the Central Empowered Committee (CEC). The State will submit a detailed action plan for utilisation of  funds in the mining affected districts to the apex court on January 17, the next date of hearing on the illegal mining case. 

The next course of action of the State depends on the directive of the court, he added.
In August last year, the State Government had sanctioned projects worth `900 crore which include 29,829 housing units, 196 drinking water projects, 855 hectare block plantation, 842 km of avenue plantation, 3600 hectare of assisted natural regeneration and 9800 seedling plantation in towns of the mining affected areas.