Rs 200 crore fine on Adanis for Mundra misdeeds

Environment minister approves report on violations by the company, including destruction of mangroves and blocking of creeks in the region 

By Soundaram Ramanathan
Last Updated: Thursday 17 September 2015

The Union minister of state for environment and forests on Tuesday approved the imposition of a  Rs 200 crore fine on the Adani group for causing environmental damage in Mundra in Gujarat's Kutch district.

This follows the report of a five-member committee headed by Sunita Narain, director general of the Delhi-based NGO Centre for Science and Environment. The panel was asked to look into complaints of environmental degradation and non-compliance with green regulations by the Adanis in the Mundra region. The report, which was submitted in April this year, was sent to the minister a few days ago for final decision, said senior officials in the ministry

Speaking to Down To Earth earlier, a ministry official had said that he was awaiting the minister's decision so that the signed orders can be uploaded on ministry's website.


The Gautam Adani-led company is developing two major projects in Mundra: Waterfront development project and Mundra Special Economic Zone. The MoEF Committee found several violations. The major ones were cutting of mangroves without necessary permission and blocking of creeks in the region. The report also states that the Adani group has been less than serious about reporting on compliance with the conditions set at the time of clearance. In many cases, non-compliance with conditions for reporting have been noted.

What Sunita Narain panel said

Protect fishers: The committee’s report suggested several measures to safeguard the interests of the local fisher communities, including a plan to provide them with basic facilities and a dedicated fishing harbour. It also recommends the establishment of an environment restoration fund, which will be one per cent of the project cost or Rs 200 crore, whichever is higher. The fund is to be used to remediate any environmental damage sustained, and to strengthen regulatory and monitoring systems.

Cancel North Port plan: The committee also recommends the complete cancellation of the North Port to preserve the area’s ecological balance. Other recommendations include steps to conserve mangroves, manage and dispose of flyash, control salinity, and prepare for disasters that affect coastal zones. The report also stresses on project clearance conditions, and monitoring their compliance post-clearance.


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  • hi, 200 crores is too less


    200 crores is too less !!

    punch into google search--


    capt ajit vadakayil

    Posted by: Anonymous | 7 years ago | Reply
    • rught sir
      this is not enough must be ligal action on theme

      Posted by: Mr. Abdul Razzaq | 4 years ago | Reply
  • It is only recommended, to

    It is only recommended, to collect even this amount it self is a big project, at least 2 to 3 times gov. will change and people forget.

    Posted by: Anonymous | 7 years ago | Reply
  • I would like to bring to the

    I would like to bring to the notice of readers on a similar report which I have submitted to state and central governments -- MoEF in September 2007. Hindu reported the brief in its September 24, 2007 with the title "Greens see red over Reliance project -- RIL accused of closing creeks, uprooting mangroves for locating onshore gas, oil terminal near Kakinada". Let me present few points:

    On a recent visit to Polekurru village in East Godavari district where the terminal is coming up, a team of environmentalists found that some of the last surviving mangroves in the state were destroyed. Thisis notwithstanding the fact that mangroves act as natural barriers blunting the fury of the cyclonic storms and tidal waves. Apart from East Godavari, mangroves are now found only in Krishna and Guntur.

    To their utter shock, the environmentalists also found most of the creeks filled up and one of them diverted towards the Coringa Wildlife Sanctuary, posing a grave threat to it. When the company starts commercial operations for gas and later oil, it could have far reaching consequences for the sanctuary, just over a kilometer from the site, S. Jeevananda Reddy, Convenor of the Forum for Sustainable Development who headed the team, told the Hindu.

    When Dr. Reddy took it up with the local Forest Department officials at Kakinada and Rajahmundry, they confirmed the destruction of mangroves and creeks but expressed their helplessness, as it involves "a big and influential company".

    It is not just the question of losing mangroves and creeks but the livelihood of hundreds of fishermen. "They are worried as the fish catch has come down drastically, also a sure sign of the deterioration of the mangrove ecosystem," Dr. Reddy said.

    He pointed out that both the Centre and the State Governments for the last few years have been emphasising on the need to protect and develop mangroves, especially after the tsunami hit coastal belt.

    In a petion sent to the Government, Dr. Reddy alleged that the company had not been complying with the conditions laid down in Consent For Establishment order of AP Pollution Control Board and in Environmental Clearance given by the Union Environment Ministry.

    It has extended its area of operation for delivering 100 million cubic meters of gas per day and building a terminal for oil too without any assessment of the project. "This is happening because there is no monitoring," he said. ---

    We have seen when they were uprooting the mangroves -- if they are cut people can see later -- to destroy the facts of mangroves presence. Also encroached a road by extending the project construction activities on the other side of the road -- without any permission for these.

    Even though we brought to the notice of both state and central government, they failed to ackonowledge our letter leave taking any action on the RIL. This is the state of affair at state and central environment ministry.

    Dr. S. Jeevananda Reddy

    Posted by: Anonymous | 7 years ago | Reply
  • Dear Sir
    The penalty is much less a company should be punished to responsible people
    We demand that
    And the environment that should wake back same location

    Posted by: Mr. Abdul Razzaq | 4 years ago | Reply