SC dismisses Vedanta’s plea to reopen its unit in Tamil Nadu citing ‘serious violations’

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New Delhi, Feb 29,2024: The Supreme Court on Thursday refused to grant permission to Vedanta, to reopen its Sterlite copper smelting plant in Tamil Nadu’s Tuticorin saying the company has committed ‘repeated breaches’ and ‘serious violations.’
A bench of Chief Justice DY Chandrachud, Justice JB Pardiwala, and Justice Manoj Misra dismissed the special leave petition filed by Vedanta Limited against the Madras High Court order which dismissed a batch of pleas by the company against the closure of its copper plant in Tuticorin and the orders of Tamil Nadu Pollution Control Board (TNPCB).
The Supreme Court said, “. Although the unit has been contributing to the productive assets of the nation and providing employment and revenue in the area, the well-settled principles of environmental jurisprudence must be remembered.” Reminding the company of the principles of sustainable development, The apex court held that the health and welfare of the residents of the area are of utmost concern, and in the ultimate analysis, the state government is responsible for preserving and protecting their concerns.

The Supreme Court held that “After capable evaluation, we have concluded that the special leave petition by the industrial unit does not warrant interference under Article 136. The special leave petition stands dismissed.”

The court was hearing the Vedanta’s plea where it challenged the Madras High Court orders which had refused to grant renewal permissions for their plant at Tuticorin.

The Tamil Nadu Government had ordered the closure of the unit because the company was violating environmental norms. The Madras High Court had agreed to look into all aspects of the matter to decide on both the closure and renewal of the plant. The petitioner consented to this. If the orders were set aside, the government and board could ask the high court to send the case back for a fresh decision, but the petitioner agreed to let the high court decide everything.

The High Court after long deliberations rejected Vedanta’s plea challenging the Tamil Nadu government decision which had refused.to renew the Sterlite copper plant’s permission to operate.

On the Pollution Board’s behalf, Senior Advocate CS Vaidyanathan emphatically argued that the facility had been closed due to extensive pollution in the surrounding area. Despite recommendations from several committees urging the company to take corrective actions, these measures were not implemented, he alleged.

The High Court ultimately ruled against the Indian multinational mining company, holding that the company had committed many violations.



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