The Supreme Court on Monday granted permission to Vedanta to carry out maintenance work at its closed Sterlite plant in Tuticorin, Tamil Nadu. The apex court took the decision based on the report of a high-powered committee (HPC) formed by the Tamil Nadu government to inspect the structural and civil safety of the plant.
The HPC had inspected the plant in July 2022 and recommended certain maintenance activities be undertaken for the upkeep of the plant.
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In response to the court’s decision, Vedanta said it has faith in the judiciary and the state and that the measures taken will be in the best interest of the public, the environment, and the larger economic agenda.
“We are happy about today’s proceedings and directions from the Supreme Court. As the court considered the report of the high-powered expert committee and the recommendations of the state government, we look forward to carrying out the upkeep activities at the plant. Our stakeholders have expressed hope and cheer about today’s development at the court and they are waiting for the plant to restart operations,” A Sumathi, chief operating officer, Sterlite Copper, said.
In 2018, the Tamil Nadu government had ordered the closure of Sterlite Copper, located in coastal Tamil Nadu, which produced over 400,000 tonne of copper annually and accounted for 40% of the country’s copper output. The plant employed 5,000 people directly and 25,000 indirectly. The closure came after violent protests against the plant resulted in 13 deaths due to police firing. The government cited the violation of environmental norms as the reason for the closure.
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Parent company Vedanta had challenged the government’s decision, and the National Green Tribunal had allowed the plant to reopen. However, the SC had set aside the tribunal’s order and directed Vedanta to approach the Madras high court for interim relief.
Later the Madras high court as well as the SC refused permission to reopen the plant. Vedanta then filed a plea seeking periodic access to the plant to carry out essential maintenance work. The company cited steep deterioration of the plant and its structures.
In June 2022, Vedanta had put the plant on sale and invited expressions of interest. However, it later retracted the offer and said it was looking to reopen the plant.