Commercial Coal Mining: "Any violation in eco-sensitive zone will be stopped", Supreme Court allows AG to prove why auction need not be stayed

While hearing a plea to stop the commercial coal mining process in Jharkhand, the Supreme Court today asserted its only primary consideration was to see that the environment is not adversely impacted..The Bench of Chief Justice of India SA Bobde and Justices AS Bopanna and V Ramasubramanian was hearing a plea filed by the Jharkhand government..By way of background, shortly after Prime Minister Narendra Modi started the process of auctioning coal blocks for commercial mining, the Government of Jharkhand had moved the Supreme Court to postpone the auction..The plea challenging the process of commercial mining states that there is a need for fair assessment of the social and environmental impact of commercial mining "on the huge ‘tribal population’ and vast tracts of ‘Forest lands’ of the State and its residents which are likely to be adversely affected.".Today, the Court sought to know whether any party would lead evidence or cross-examine witnesses. When the parties answered in the negative, the Court decided to list the case for hearing..The Bench was keen to understand what impact the project would have on eco-sensitive zones. It thus considered appointing an expert committee to submit a report analysing the environmental impact the project will have..While the Bench mulled over names for the committee, Attorney General KK Venugopal read out a report stating that the mining sites were at a distance of 20 to 70 kms from eco-sensitive zones..To this, CJI Bobde observed,."The whole issue of looking at forests is wrong. We don't want to stop the development of the country, but will not lead to erosion of the natural resources. You attach economic value to timber, but not the forest. The distance of 70, 79 or 20 kms is dangerously close isn't it?".Senior Advocate Dr Abhishek Manu Singhvi submitted that the affidavit filed by the State shows that the elephant corridor and all animal corridors are within 20 km of all the seven areas where commercial coal mining will be carried out.."Distance from economic sensitive zone of elephant corridor is within 19 kms. If the commercial mining is allowed, then how will the Court make it irreversible? The core area and buffer area are both important," submitted Singhvi..CJI Bobde pointed out that a committee will have to table a report within a month "to satisfy the conscience of the Court". When he mooted that commercial mining be stayed in Jharkhand till then, AG Venugopal took objection to it, on economic grounds.."But after this, bidding will be impacted across the country. Some other states will say that their land is closer to forests etc," said the AG..CJI Bobde replied,"If such facts are brought to our notice, then we will stop that too. Don't jump the gun.".The AG further alleged that the Jharkhand Chief Minister wanted the "highest revenue from the bid" and that it had "nothing to do with environment."."Centre's attempt to have industrialization, jobs and development will be impacted by such an order", AG Venugopal added..When the Court insisted on safeguarding environmental concerns, the AG sought some time to place on record material which will "avoid the long drawn process of a committee report.".The Court accepted the AG's request, and the case will now be heard on Friday..The plea categorically notes that the Mineral Laws Amendment Act, 2020 lapsed on May 14, and thus, the process of auction has begun in the face of the "legal vacuum" created in the absence of the amendment act..The petition, which is accompanied by a letter for urgent listing, states this in the backdrop of the August 2019 decision of the Union Cabinet to allow 100% Foreign Direct Investment (FDI) in Coal Mining..The Mineral Laws Amendment Ordinance, 2020, promulgated in January, permitted foreign companies to participate in commercial coal mining through auctions. This provision was retained in the Mineral Laws (Amendment) Act, 2020, which was repealed within sixty days of its passing. Thus, the petitioners contend that the provision allowing foreign companies to take part in mining has also lapsed..After the Act lapsed in May, Section 11A of the Mines and Minerals (Development and Regulation) Act, 1957 was restored as it stood before the January Ordinance and the subsequent Act..The Centre’s decision to start the process for auctioning 41 coal blocks for commercial mining is open for domestic as well as global firms under the 100% FDI route and is aimed at making India self-reliant in the energy sector..The plea challenging the Centre's decision questions what happened between August 2019 - when Union Cabinet decided to allow 100% FDI in commercial coal mining - and March 13, 2020 that necessitated the Mineral Laws (Amendment), 2020, to be a temporary law..Further, it questions whether the flip-flop policy on a strategically and economically important ingredient of the energy basket of the country - that too within such a short span of time - would boost investors' confidence, especially in the post-COVID-19 scenario.