Reopening of Sterlite Copper Plant stands rejected as Supreme Court refused to recall its earlier decision

Vedanta Law Insider

Umamageswari Maruthappan

The Supreme Court refused to recall its order rejecting Vedanta Group’s plea for reopening of the Sterlite Copper smelting plant at Thoothukudi, Tamil Nadu.

A three-judge Bench headed by Justice Rohinton Nariman, on 2nd December 2021, passed an order against the Vedanta Group refusing the giant company to reopen its Sterlite Plant at Thoothukudi.

The Vedanta Ltd. filed an interim plea before the Apex Court challenging the ordering passed by the Madras High Court in August 2019 and requesting it to allow Sterlite Copper Plant to operate on an experimental basis for 2, 4 or 6 weeks.

Case Background:

The Tamil Nadu State Government decided to close down the Vedanta Group-run Sterlite Copper smelting plant following environmental hazards. Accordingly, on 28th May 2018, the department of forests and Environment passed an order directing the shut down of the Sterlite plant permanently.

Prior to this, a protest by the residents around the Sterlite plant was carried out and on 22nd May, the 100th day of the protest, a fire shot was carried by the police due to which 13 protesters succumbed to death.

The protest and the aftermath compelled the State Government to close down the Plant immediately. The incidence was widely criticized by people across the state and country.

Before reaching the Madras High Court, the matter came up to National Green Tribunal which ordered for reopening of the Plant in December 2018.

However, the Supreme Court had set aside the NGT’s order ruling that NGT ha no jurisdiction over the matter. The Apex Court directed the case to be heard by the Madras High Court.

The claims of the State Government was that the plant had caused severe environmental degradation and requires a permanent closure.

After hearing both the parties, the Madras High Court in August 2020 upheld the order of the State Government thereby refraining the Vedanta Group from operating the Sterlite Plant.

Condemning the adverse effects of running the Plant, the High Court also commented that Thoothukudi is the only district in Tamil Nadu to be placed in the list of Most polluted cities, 2019.

The matter then went to the Apex Court where the petitioner argued that closure of the Plant led to a sharp rise in unemployment as around 4000 direct employees and more than 2 lakhs of indirect employees lost their job.

The Mining giant also sought the intervention of the Top Court in adjudging the allegations against the company by allowing it to run for a few months as an experimentation. The plea also contented that there was no such reported cases of pollution and that closing the industry would ultimately cause a loss in the production of copper.

“The plant accounted for 36% of the country’s copper need. Its closure has made us a net importer of copper. This huge national wastage can be curbed by allowing the plan to run on an experimental basis,” Senior Advocate AM Singhvi, Counsel for the petitioner, told the Court.

Responding to the petition, Senior Advocates K. V. Vishwanath and C. S. Vaidyanathan, Counsels for the state of Tamil Nadu and the State Pollution Control Board made their stand against opening of the Plant.

“The wealth of the country is being destroyed! Drinking water is being contaminated! People are suffering from cancer and other serious diseases! The health status of hundreds of villagers has been brought on record as to how they have suffered on account of this plant! The plant is a chronic defaulter! They have no regard for the law!,” the counterplea stated.

The Supreme Court ruled against the petitioner, the Vedanta Group, refusing to grant permission to open the Sterlite Plant.

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