Question : EXPANSION PLAN OF IREL



(a) the current status of the proposed expansion plan of Indian Rare Earths Ltd. (IREL) for exploitation of raw sand at Manavalakurichi;

(b) the funds allocated and spent so far in this regard; and

(c) the details of action taken/proposed to be taken by the Government in this regard?

Answer given by the minister


MINISTER OF THE STATE IN THE MINISTRY OF PRIME MINISTER`S OFFICE AND MINISTRY OF THE STATE IN THE MINISTRY OF PERSONNEL,PUBLIC GRIEVANCES AND PENSIONS (SHRI PRITHVIRAJ CHAVAN)

(a) Expansion plan of Indian Rare Earths Limited (IREL) for exploitation of raw sand at Manavalakurichi (MK) is held up for want of clearance from Ministry of Environment and Forests (MoEF) and renewal of mining leases by the Tamil Nadu government.

(b) Funds amounting to Rs.11 crore and Rs.45.50 crore were allocated for the project in the X and XI Plan respectively,but no amount has been spent so far.

(c) MoEF in their Terms of Reference (ToR) meeting held on 25.11.2008 have rejected the Manavalakurichi expansion project on the ground that expansion of industrial activity is not permissible in Coastal Regulatory Zone (CRZ) area. An appeal has been filed with National Environment Appellate Authority on 04.02.2009 for reconsideration of the decision.

IREL is actively pursuing with the State Government authorities for land acquisition and renewal of mining leases.