Jayaswals Neco unit gets nod to resume work

The Maharashtra Pollution Control Board (MPCB) has given a conditional assent to Jayaswals Neco Limited to restart its furnace unit at Hingna MIDC here and work is expected to resume in a few days.

Operations at the unit had to be suspended after MPCB issued a closure notice last week alleging violation of air and water pollution norms.

The Maharashtra State Electricity Distribution Company Limited (MSEDCL) had also been pulled up by the MPCB and asked to cut power supply to the unit.

Highly placed sources on Wednesday said that MSEDCL was now permitted to provide electricity to the unit so that it could restart operations.

The conditional permission has been granted under section 33 (A) of the Water (Prevention and Control of Pollution) Act, 1974 and under section 31 A of the Air (Prevention and Control of Pollution) Act.

The board has also instructed the company to put adequate pollution control systems in place by March 31, 2007. Sources said that Neco had never bothered to renew mandatory documents such as "consent to establishment" and "consent to operate" from the MPCB.

The company has also been directed to submit a bank guarantee of Rs 5 lakh before the end of the current financial year.

Neco has six units at the Hingna complex and MPCB had indicated that the remaining five units were also under its scanner.

The board has now asked the company to furnish a bank guarantee of Rs 20 lakh along with an assurance that necessary formalities to satisfy norms will be undertaken in these units within the next three months. A warning to take stern action has also been issued in case the company fails to comply with regulations.

Neco will now have to submit monthly reports on the steps initiated to fulfill legal requirements. After MPCB had issued the closure notice, director of Neco, Arvindkumar Basantlal Shaw (Jayaswal) had urged the board for leniency and sought eight months to put necessary pollution control systems in place.

A personal hearing at the Mumbai head office of MPCB saw the present conditional orders being issued.

Chief general manager of Neco, M Mohan said that the permission to resume work was a New Year gift for his 700 employees. The six units of Neco include its cupola furnace unit, induction furnace, spray painting units and a sand blasting unit.

Vidarbha Janandolan Samiti, a non-governmental organisation, had filed a complaint with MPCB alleging inadequate air and pollution control systems in the Neco unit. The NGO had sought action against the company as the units posed health hazards for residents of Hingna and Butibori.

The MPCB had subsequently issued a notice on November 21, 2006 asking Neco to suspend production. However, the company did not comply with the notice.

On December 2, the regional officer of MPCB, V M Motghare directed MSEDCL to cut power supply to the unit and operations were suspended from December 23.