Companies to shell out 2% of project or 10 year impact cost

NEW DELHI: Under fire for clearing projects close to wildlife sanctuaries and national parks, the environment ministry is looking to introduce mitigation measures. To start with, those establishing industries next door to any protected area will have to set aside 2% of the total project amount or the cost of mitigation of the impact the activity has on the site and wildlife conservation plans for the next 10 years.

The Prakash Javadekar-led ministry has decided this will apply to all new industrial, mining and developmental activities and even linear projects.

This is a key recommendation made by an expert committee of the standing committee of the National Board of Wild Life (NBWL) that has been accepted by the ministry. In an October 28 advisory, the ministry has said all user agencies and authorities sending project proposals to the NBWL standing committee should henceforth implement the recommendations.

In the case of projects in the vicinity of sanctuaries and national parks, the chief wildlife warden will propose an impact mitigation and wildlife conservation plan for 10 years keeping in view the assessed impact. For new project proposals, the levy will be payable by user agencies. Projects for expansion, capacity augmentation or plant optimization--which arguably have a lower impact on flora and fauna and their habitat compared with a new project—may be treated more leniently.

In these cases, the agency would have to pay 2% of the project cost or cost of impact mitigation and wildlife conservation plan for 10 years, whichever is less. For new projects, the higher amount will have to be paid.