(MENAFN- NewsBytes)
Sterlite violence: Vedanta sticks with plan to expand copper plant
26 May 2018
Vedanta Resources have decided to go ahead with their expansion plan for the Sterlite copper plant in Thuoothukudi, just days after 13 people were killed and over 100 injured after police opened fire on anti-Sterlite protesters.
The company's decision comes after the Madras HC stayed the construction of the expansion, and after the Tamil Nadu Pollution Control Board cut power to the smelter.
Why the TNPCB shut down the Sterlite copper plant
Plant closure
On Thursday, the Tamil Nadu Pollution Control Board (TNPCB) ordered the immediate shut down of the Sterlite copper plant, and cut its power. After inspection, officials discovered that Vedanta had undertaken activities to resume production, despite a temporary closure order effective since March.
However, P Ramnath, the chief executive of Vedanta's copper business in India denied the allegations.
Vedanta needs to regain trust of already outraged locals
Expansion
Ramnath admitted that Vedanta needed to regain the trust of the locals before expansion plans could go head and that it would require a "huge effort", but added that he was "confident" that the company would "overcome these issues".
Locals had, for a while, been demanding the closure of the plant owing to pollution and health risks, but the protests turned violent on Tuesday.
Vedanta looking to double plant's capacity to meet India's demands
Sterlite plant
Prior to closure, the Sterlite copper plant was producing around 400,000 tonnes of copper annually.
Normally, around 250,000 tonnes of the output was used for domestic consumption, making up for 36% of domestic demand, while the rest was exported to countries like China.
Vedanta is looking to double the smelter's capacity to meet India's copper demand, which is expected to grow at 10% annually.
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