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LATEST NEWS UPDATES | River water nod to 45 companies

River water nod to 45 companies

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published Published on Jun 28, 2010   modified Modified on Jun 28, 2010


The Orissa government today confirmed that at least 45 companies had been allowed to draw water from rivers, seeking to balance the demand for industry and that of farmers who fear their source of irrigation might dry up.

The state government has so far signed memoranda of understanding with 86 companies, of which 45 have been given the right to draw water. Many of the companies deal in power generation, for which water is essential.

Among the companies are CESC, Vedanta and Sterlite Energy, which have been allowed to take out water from rivers such as the Brahamni and Mahanadi and the Hirakud reservoir.

Some small and medium-scale industries are also drawing water from rivers and rivulets without informing the government.

However, the BJD government has maintained there is no scarcity of water.

“Taken together, only 11.2 per cent of the total river water is allocated for industries,” industries minister Raghunath Mohanty told the Assembly today.

Mohanty said it was the priority of the government to provide water first for drinking, agriculture and power generation. Giving water to industries was fourth on the government’s priority list, he added.

The minister said the ground water level had slightly depleted, but added that there was no cause for concern.

But farmers have long expressed apprehension about a looming water scarcity with investors like Posco and Jindal gearing up to start operations in the state. The companies argue that water was an integral part of any industry.

For the last two years, Orissa has seen farmer protests, especially in the command area of Hirakud, the largest reservoir in the state.

“If all the industries which have signed MoUs with the government are allowed to draw water from rivers and reservoirs, all irrigation channels will dry up and agriculture will be badly affected,” said Lingaraj, leader of the Western Orissa Farmers’ Forum.

Opposing the government’s policy on water allotment to industries, a committee was formed on Sunday.

According to information available with the government, 26 steel industries are drawing 68.82 cusecs of water, four aluminium plants are taking out 54.9 cusecs, one cement unit 1.77 cusecs and an independent power plant 1 cusec.

Mohanty said action had been initiated to collect nearly Rs 500 crore from the 14 industrial houses which have not yet paid their water taxes.


The Telegraph, 29 June, 2010, http://www.telegraphindia.com/1100629/jsp/frontpage/story_12623498.jsp


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