With environmental clearances holding up major projects in power, coal and other sectors, the Prime Minister asked a panel under Planning Commission?s member BK Chaturvedi, to look at solutions to address the environmental concerns while speeding up the pace of major projects.
?We need to strike a balance between environmental clearances and pace of work on major projects,? Chaturvedi said on Tuesday at the Economic Editors? Conference.
While efforts are on to balance out the environmental concerns with prospects of economic activity, the ministry of environment has put road blocks for major global payers like Vedanta and Posco. On Monday, most members of a government-appointed panel to review environmental clearances for the project in Orissa, recommended scrapping clearances given to the South Korean company for setting up a steel plant in the state.
In a similar case, the environment ministry has ordered Vedanta Resources to immediately halt all construction work aimed at expanding its aluminum refinery in Orissa, saying the company never got the required environmental clearances. The ministry also asked the Orissa government to take legal action against the London-based mining giant.
The stringent action taken by the environment ministry is affecting India?s image as an investment-friendly nation. There are also concerns whether this can make the country FDI-unfriendly. This has led to intervention by Prime minister in the matter. The Plan panel is preparing a note on the issue and its recommendations will be soon sent to Cabinet Committee of Economic Affairs.
BK Chaturvedi added the panel is looking at major infrastructure projects and how getting clearances can be streamlined. ? Although Navi Mumbia airport projects been delayed, but it will soon get the clearances, he said?. The Plan panel is also looking at road sector projects to speed up the process of getting clearances.