Odisha demands approval of its DPR for utilisation of NPV

Bhubaneswar: Odisha today asked the Forest and Environment Ministry to approve its detailed project report for inclusive growth of mineral bearing regions by utilising a part of the funds collected as additional NPV (Net present value).

In a letter to Union Minister of Environment and Forest M Veerappa Moily, Chief Minister Naveen Patnaik said “I would request you to kindly intervene in the matter and approve the state government’s DPR for inclusive growth of mineral bearing areas by utilising the funds from NPV.”

Stating that his government has submitted a DPR for using 50 per cent of additional NPV for inclusive growth in mineral bearing areas, Patnaik said Odisha’s request was in keeping with the recommendations of the Central Empowered Committee which was accepted by the Supreme Court and MoEF.

“The proposed activities would help the local population, mostly tribal persons, living in the mineral bearing areas that are affected by diversion of forest land for mining,” Patnaik said.

He said that the MoEF declined to permit use of a portion of funds collected as additional NPV for inclusive development of mineral bearing areas through tribal welfare activities.

Patnaik said the CEC had recommended that a part of the additional NPV of about 50 per cent to be realised from mining lessees might be used through a special purpose vehicle for specific tribal welfare and area development work to ensure inclusive growth of mineral bearing areas.

“Hon’ble Supreme Court in their orders dated 7.5.2010 in IA No 2746-48 of 2009 had asked the state government to comply with the recommendation of the CEC that is acceptable to the government,” he said.

“The MoEF had agreed to the constitution of the SPV for the above purpose in a meeting of the CEC held on 25.05.2010 and another meeting taken by the D G (Forest) on 24.06.2010.

“The Memorandum of Association of the SPV has been approved by the MoEF by the letter no 7-34/2010-FC dated 28.9.2011,” Patnaik pointed out seeking Moily’s immediate intervention.