Modi seeks PM’s help to get forest clearance for Margo-II coal block

NEW DELHI: The Manmohan Singh government appears to be in a bind over increasing electricity generation capacity and protecting the environment. The latest complainant is Gujarat chief minister Narendra Modi, who is seeking PM’s intervention to secure forest clearance for the Margo-II coal block in the Hasdeo coalfield of Chhattisgarh, setting the stage for yet another tussle between environmental concerns and economic development.

The Margo-II coal block has been allocated to the Gujarat-government-owned Gujarat Mineral Development Corporation (GMDC). It has been issued a prospecting licence by the Chhattisgarh government, subject to forest clearance by the environment ministry. The Hasdeo coalfield is among the nine that has been taken up by the environment ministry for identification of no-go and go areas for coal mining from the point of view of forest clearances. Indications are that a large part of this coalfield would fall in the no-go areas.

Environment minister Jairam Ramesh said 35% of the mines are in the no-go areas. Such mines are unlikely to get clearances. Mr Ramesh said if projects impact natural forest reserve then previously provided clearances would be withdrawn. He has given the results of the assessment to the PM; the Prime Minister’s Office will take a final decision. The clearance for Margo-II coal block is pending with Forest Advisory Committee. In his letter to the prime minister, Mr Modi has referred to the Centre’s committee which studied the possibility of mining in the Hasdeo Arnad coalfield in Chhattisgarh. Mr Modi said the Margo-II block would provide fuel for the 1,800 mw project of Wardha Power Company at Nariyara in the Bilaspur district.

Mr Modi said the power project “has achieved all the critical milestones such as environmental clearances, financial closure, land acquisition and also received water allocation. The project has commenced construction and has invested sizeable amounts of money till date”. Without the coal block, the project would be stuck. “A delay in clearance will jeopardise the future of the power project being development by Wardha Power Company for the benefit of Gujarat.”