Govt directs closure of 7 iron ore mines

Steel producers are likely to face the music in the coming months as the procurement of iron ore may get difficult due to the mineral's shortage on mushrooming NGO initiatives.

The Ministry of Environment and Forests has denied renewal of temporary environment clearances to seven mines and asked them to close down immediately thanks to initiatives taken by the Goa Foundation to protect wildlife in sanctuaries.

Another 25-30 mines are also unlikely to get environmental clearance from the government.

In March 2005, the Supreme Court had directed the government to initiate closure of all units operating in violation of the environmental law.

However, a majority of Goan iron ore mines obtained temporary relief from the Ministry of Environment and Forests on the grounds that the decision of the State Pollution Control Board was pending.

Now, the State Pollution Control Board has rejected applications of seven mines with a cumulative capacity of 5 lakh tonnes.

The decision for another 100 mines is pending and if they are not allowed to operate, Goa's ore production would fall by 10 million tonnes, approximately half of the state's total industrial output.

According to an industry estimate, iron ore mining contributes about $2 billion to the exchequer.

"All of the 110 mines in Goa will be closed down immediately if the State Pollution Control Board and the environment ministry do not permit them to operate," said Haresh Melwani, a miner in Goa.

The Goa Foundation, the organisation which sent miners running to the Supreme Court for relief, is, however, adamant on driving away miners out of the state.

The organisation held that mines should operate outside the radius of 10 km of all four national wildlife sanctuaries. The state's miners demanded the radius to be reduced to a kilometre. Interestingly, almost all of the mines exist within the 10 km radius.

Goa contributes about 45 per cent to the total 90 million tonnes of exported iron ore.

"Goa's iron ore industry is unsustainable as it is destroying the environment. Hence, they should be closed down," said Claude Alvares, director, Goa Foundation.

R Anand Kumar, advisor to the Ministry of Environment and Forests, however, preferred not to comment on the issue.

India produces about 45 million tonnes of steel using iron ore and shredded scrap as feedstock. The imports of shredded scrap, a substitute for the mineral, have dried up due to lack of availability.

ORE DEAL

Seven miners directed to shut shop on grounds of environmental protection. As a consequence, steel producers to face shortage

The decision for another 100 mines is pending and if they are not allowed to operate, Goa's ore production would fall by 10 million tonnes

NGO Goa Foundation holds mines should operate outside the 10 km radius of the state's wildlife sanctuaries