Khammam: Kolkata-based diversified conglomerate ITC Limited’s ambitious plan to expand its paper manufacturing capacity has received a massive jolt after a local gram sabha has refused to clear the a
Khammam: Kolkata-based diversified conglomerate ITC Limited’s ambitious plan to expand its paper manufacturing capacity has received a massive jolt after a local gram sabha has refused to clear the allotment of r eserve forest land to the paper major. ITC paper arm or Paperboards and Specialty Papers Division had proposed to double its paper manufacturing capacity from five to 10 million tonnes with an investment of close to Rs 3,500 crore. The proposed expansion required 1,100 acres of forest land, which falls under the Sarapaka Gram Panchayat in the Paloncha Division in Khammam district. Though Andhra Pradesh State Wildlife Board has last month recommended allotment forest land, the concurrence of local gram sabha appears to be crucial under forest administration laws.The Union environment ministry accorded its clearance on March 23, 2013. The project comes under the scope of the Cabinet Committee on Investments, which was set up to expedite projects involving more than Rs 1,000 crore of investment. However, a meeting of Sarapaka Gram Sabha — attended by all villagers — has unanimously refused to part with the forest land for the ITC plant, amid allegations that the paper maker had not fulfilled its earlier promise of providing jobs to locals and address the issue of pollution caused by its unit. According to Panchayat (Extension to Scheduled Areas) Act, 1996 and other forest laws, forest land cannot be alienated or alotted to any one without the consent of the gram sabha of forest dwellers. In its application for forest clearance to the project, Andhra Pradesh Industrial Infrastructure Corporation — the nodal agency of the state government — had estimated total investment to be around Rs 6,000 crore. Of this, Rs 1,500 crore would be invested in the first phase. APIIC also claimed the project would provide direct employment to 1,600 people and indirect jobs to 4,500.
