Special Correspondent

The committee was constituted last month by the Government

Three-member committee is headed by Additional Chief Secretary

It was formed to study the Lokayukta’s report

BANGALORE: The three-member officials’ committee, which has been constituted by the State Government to study the Lokayukta’s report on illegal mining and suggest the course of action to be initiated, has sought additional time of one month to complete its task.

This was disclosed to the Legislative Council on Thursday by Home Minister V. S. Acharya, who replied on behalf of Chief Minister B.S. Yeddyurappa to Janata Dal (U) member M.P. Nadagouda during Question Hour.

Dr. Acharya said the Government had constituted a committee headed by Additional Chief Secretary and comprising Principal Secretary, Home, and Secretary, Commerce and Industries, to examine the Lokayukta report. This committee, which was constituted on January 1, had been given a month’s deadline for submitting the report.

However, the committee had now sought extension of time by a month. The Government had agreed for it, he noted.

The Minister said the Government would initiate action with respect to the recommendations by the Lokayukta after the report was submitted by the above committee. He assured the House that the Government would not protect the guilty.

The Opposition members wondered if there was any need to constitute another committee to study the Lokayukta’s report which had made specific recommendations regarding the action to be initiated against guilty. Janata Dal (Secular) member M. C. Nanaiah termed the appointment of an officials’ committee as “delaying tactics” by the Government regarding initiating action against the guilty.

Charging the Government with showing disregard to the Lokayukta, he remarked that the Government should disband the Lokayukta institution itself through a Bill if it did not want to implement its recommendations.

Pointing out that the Lokayukta had also recommended that mining and exports of iron ore should be stopped till action was initiated against the guilty, Mr. Nanaiah expressed concern that the Government was yet to initiate any action in this regard.

Dr. Acharya said that the State Government was committed to putting an end to the illegal mining and pointed out that the Lokayukta had given three months’ time to implement his recommendations.

http://www.hindu.com/2009/02/20/stories/2009022055940400.htm

Chinese mining equipment firm to start production in India

BS reported that Guangxi Liugong Machinery Company Ltd will probably begin commercial production by June 2009.

A company source said that "We will make bulldozers, angle dozers, road rollers, excavators, backhoe and compactors in the first phase with an investment of INR 150 crore. We have already invested INR 100 crore."

Under phase II, the company plans to invest more than INR 350 crore to reach INR 500 crore total investment. The source said that "It will depend on the success of the first phase."

LiuGong is one of the largest manufacturer of equipment used in mines.

http://steelguru.com/news/index/2009/02/20/ODM0MTM%3D/Chinese_mining_equipment_firm_to_start_production_in_India.html

Karnataka registers negative growth

By Team Mangalorean, Bangalore

Bangalore February 20, 2009: Perhaps for the first time, Karnataka has registered a negative growth of 5.7 per cent in the agriculture sector.

A negative growth of 5.7 per cent in the agriculture sector in Karnatakas GDP against the national average growth of 2.6 per cent during 2008-09 has brought down the states overall real growth in gross state domestic product (GSDP) to around 5.5 per cent, which is also below the All India growth rate of 7.1 per cent.

The Karnatakas Economic Survey for 2008-09 which was tabled in the Legislative Assembly on Thursday revealed that in Industry and service sectors, the growth is estimated to be 5.8 per cent and 9.2 per cent as against the all India growth rates of 4.8 per cent and 9.6 per cent, respectively.

The deficiency of pre-monsoon rainfall during April and May in major parts of the state and the serious fluctuations in the south-west monsoon from being initially active in most coastal and south interior parts from June 1 to 9 and tapering off in the second fortnight of June to the first fortnight of July in major portions of northern and southern districts and excess rains in major parts of state causing flash floods from August-end to first fortnight of September affected both the kharif and rabi crops, the Survey said.

The per capita GSDP in real terms (at 1999-2000) prices, is likely to reach Rs 30,151 for the year 2008-09 as against Rs 28,887 in 2007-08, registering an increase of 4.4 per cent, the survey noted.

The per capita income at current prices is estimated to be Rs 46,289 compared to Rs 40,809 during 2007-08, a growth of 13.4 per cent. Food grain production is anticipated to be 109 lakh tons as against the target of 125 lakh tons, it said. Index of Industrial production shows an increase from 226.19 in 2006-07 to 244.13 in 2007-08, the survey said.

Infant mortality rate is 48 per thousand as compared to 57 for all India and maternal mortality rate of 228 per lakh compared to 301 for all India, it said

Foodgrain production is anticipated to be 109 lakh tonnes during 2008-09 against a target of 125 lakh tonnes and production of oil seeds was likely to be 10 lakh tonnes against the targetted 21 lakh tonnes while maize was expected to reach the target of 30 lakh tonnes, the Survey said.

Industry

Even in the services sector, Karnataka's anticipated growth of 9.2% during 2008-09 is below the national average of 9.6%. The only saving grace has been in the industrial sectors, which continued to remain above the national average. The anticipated growth rate in the state's industrial sector was an impressive 5.8% against the all India figure of 4.8%.

Despite the slightly lower growth rate as compared to the national average in the tertiary or services sector, it still continued to remain the driving force in the economy contributing to 56% to GSDP against 27% and 17% by the industrial and agricultural sectors respectively.

The Survey reveals that as many as nine mining leases for major minerals and two prospecting licences had been granted by the mines and geology department during 2008-09 upto the end of November leading to a collection of Rs 311.50 crore revenue. The department has also granted 25 reconnaissance permits for gold, diamond and other associated minerals and 11 quarry leases for ornamental stone, 488 quarry leases for building stone so far.

The per capita GSDP in real terms (at 1999-2000) prices, is likely to reach Rs 30,151 for the year 2008-09 as against Rs 28,887 in 2007-08, registering an increase of 4.4 per cent, the survey noted. The per capita income at current prices is estimated to be Rs 46,289 compared to Rs 40,809 during 2007-08, a growth of 13.4 per cent. Foodgrain production is anticipated to be 109 lakh tons as against the target of 125 lakh tons, it said. Index of Industrial production shows an increase from 226.19 in 2006-07 to 244.13 in 2007-08, the survey said. Infant mortality rate is 48 per thousand as compared to 57 for all India and maternal mortality rate if 228 per lakh compared to 301 for all India, it said.

The Survey points out that the state's human development index (HDI) increased from 0.541 in 1991 to 0.65 in 2001 to notch a seventh rank among all states. But in terms of gender development index (GDI), Karnataka with 0.637 ranks sixth.

The growth in economy during the 10th plan period, according to the Survey, has lagged behind national average in real terms. The annual average growth in overall GSDP for the 10th plan period was 7.2% against national average of 7.8%.

http://mangalorean.com/news.php?newstype=broadcast&broadcastid=113482

SC notice to MP govt on South Eastern Coalfields' plea

NEW DELHI: The Supreme Court has issued notice to the Madhya Pradesh government, Coal India Ltd (CIL) and a few villagers whose land in the scheduled areas of the state has been acquired by the Centre for coal mining by South Eastern Coalfields Ltd (SECL ), a CIL subsidiary.

The notice was issued on SECL's plea challenging the Madhya Pradesh High Court's judgment that asked the Coal Ministry to issue fresh notification for acquiring tribal land in Kotma Tahsil under the Coal Bearing (Acquisition and Development) Act, 1957.

SECL alleged that the High Court was not justified in reopening the matter when the possession of “the unworked land containing or likely to contain coal deposits'' already stood vested in the state government free of all encumbrances and the compensatio n thereof had been already deposited.

Besides, it also submitted that the High Court order of November 12 last year cannot direct the compensation to be paid under the 1957 Act, when the matter was already settled under the Land Acquisition Act, 1894.

A bench headed by Chief Justice K G Balakrishnan, while issuing notice to around ten parties including the state government and Coal India, also stayed the High Court verdict on conditions that the impugned order would comply with the rehabilitation proc ess. - PTI

http://www.thehindubusinessline.com/blnus/28191291.htm

Madhucon Indonesian mine to start operations soon

Thursday, Feb 19, 2009

Project Monitor reported that Madhucon Projects Ltd is likely to start coal production at its Indonesian mine by April. Initial production will be an estimated 3 million per year.

In 2008, Madhucon floated a subsidiary, PT Madhucon Indonesia, to acquire and operate a coal mine in East Kaliyamandin region in that country, on 30 year lease. Coal produced will be imported at the new Krishnapatnam Port in Andhra Pradesh and will be used to fire the upcoming 540 MW Simhapuri power plant near Krishnapatnam in Nellore district.

Simhapuri Energy Pvt Ltd, a 52:48 JV between Hyderabad based Malaxmi Group and Madhucon Projects Ltd is implementing the 4x135 MW Simhapuri power project for which the INR 990 crore EPC contract was placed on Madhucon Projects in July 2008.

SEPL officials said that construction work had begun and the company was in discussions with suppliers, including international ones, for the BTG package. Phase-I of the project comprising two units of 135 MW each is scheduled to commission in 2010.

SEPL officials added that the plant would need an estimated 2.2 million tonne of coal per year, which would be supplied by Madhucon's Indonesian mine. Most of the power will be supplied to PTC India Ltd for which a PPA had been reached. Besides, SEPL has also entered into an agreement with PTC India Ltd by which it will make available fuel to SEPL that will sell power corresponding to the fuel supplied.

http://www.yourminingnews.com/news_item.php?newsID=24550

Lakes disappear in mining pit

19 Feb 2009, 2351 hrs IST, Dipak Kumar Dash, TNN

FARIDABAD/GURGAON: Once these were the city's favourite picnic spots, big attractions around Delhi Badkhal Lake, Surajkund and Damdama Lake. No

more. All these water bodies have become stone dry. The reason: hectic and indiscriminate mining in the Aravalis. Surajkund and its adjoining lake, Badkhal, dried up a year ago. And now Damdama too has shrivelled up farmhouses are coming up on its dry bed.

The greed of man both for mining stones and grabbing land is causing an ecological disaster in the Faridabad district of Haryana.

The lakes at Surajkund and Badkhal were popular getaways for Delhi-ites and others because of their water bodies. Today, locals play cricket while villagers graze cattle on their dry beds.

The residents of the area who have seen the tourist flow getting reduced to a trickle over the years complain that no effort was ever made to maintain the water flow to the historical Surajkund built in 10th century by King Surajpal of Tomar Dynasty to catch "the rain water from the hills''.

According to ASI officials, since the Kund has dried up, the complex hardly attracts any tourists except during the crafts mela. "The Kund has dried upsince the natural rain water supply chain has been blocked because of constructions. So, the water lost due to evaporation and natural recharge of groundwater was never replenished adequately,'' said a tourism department official, who did not wish to be named.

The Surajkund and Badkhal lakes, of course, have been killed by the unregulated mining all across the Aravalis in Faridabad and Gurgaon prior to Supreme Court imposing a blanket ban. "Since the gaping mine holes were never rehabilitated, the rain water does not reach the water bodies or, for that matter, even Damdama Lake. In many areas, the mining pits have breached the groundwater level and hence slowly these water bodies dried up,'' said Conservator of Forests R P Balwan.

An alarm had been sounded in the hydrological report submitted by the Ministry of Environment in its affidavit before the forest bench of Supreme Court in August last year. It had mentioned that these used mining pits were found "filled with water'' leading to "massive evaporation of groundwater'' about 8.86 lakh ccm of fresh water. The report was prepared by the Chandigarh office of the Central Ground Water Board. It had also mentioned that "mining was mainly carried out below the water table by pumping out of groundwater'' and "dewatering of the mines had affected the groundwater regime, resulting in depletion of groundwater resources''.

"The natural drainage pattern has also altered due to mining and dumping of waste material,'' the report stated.

R K Srinivasan, a researcher with the Centre for Science and Environment, too blames the indiscriminate mining. "Surajkund and Badkhal lakes dried up due to mining, massive quarrying and colonisation. We need to urgently restore the catchment area and to go for large-scale watershed management.''

Experts also point out that the Aravali rocks are predominantly quartzite which don't have porosity. "These rocks also don't have permeability meaning they don't have the capacity to allow flow of water in between grains,'' said an expert. Earlier, when natural sources were active, these factors were not so relevant.

Groundwater board officials warn that the drying up of these lakes doesn't augur well for the water supply to the twin cities. While Faridabad is 100% dependent on groundwater, Gurgaon gets 40% of its supply from under the ground.

http://timesofindia.indiatimes.com/Delhi/Lakes_disappear_in_mining_pit/articleshow/4157450.cms

Hindalco plans to raise Rs25,000 crore for expansion: report

News 19 February 2009

Hindalco Industries Ltd, the flagship of the Aditya Birla Group, which revealed a $1.8 billion third quarter loss at its Novellis unit, is reported to be planning to raise$5 billion (Rs25,000 crore) by pledging assets and future earnings of its units.

Lenders will be repaid from cash receivables from sales, on which they will have the first claim, according to the report quoting its chief financial officer S Talukdar. The fund raising will be completed by 2012 and the money will be used for future expansion, the report said.

''Individual companies will borrow money without recourse to Hindalco. We will securitise cash flows and assets with the lender to raise money," Talukdar told the paper.

Earlier this week, the company said its board had approved a proposal to use US$1.8 billion in its share premium reserve to write off costs relating to its foreign acquisition and domestic expansion.

Hindalco had acquired Canadian aluminium product maker Novelis in 2007 for $5.9 billion and has also announced investment of $4 billion (Rs19800 crore) over three years to expand capacity in India.

Novelis has reported a net loss of $1.8 billion in the third quarter ended 31 December 2008 owing largely to a goodwill loss of $1.5 billion, a fallout of the ongoing global meltdown.

''The impact of the loss posted by Novelis on Hindalco Industries would be felt at the end of the current fiscal when Hindalco consolidates its earnings. The impact should, however, be limited as Hindalco has initiated steps to offset the $1.5-billion loss of the total $1.8-billion loss incurred by Novelis. The remaining $300-million loss would impact Hindalco's profitability,'' the company said in an earlier release.

Hindalco's net sales and revenues at Rs4,117 crore in third quarter of FY 09 were lower as compared to Rs4,539 crore for the corresponding period in FY 08. The steep reduction in aluminium and copper LME led to fall in the overall sales revenue; this was mitigated by the rupee depreciation against the US dollar. Despite lower sales realisations and higher export sales due to lower domestic demand, the net profit at Rs545 crore was marginally higher than Rs543 crore in the corresponding year's comparable quarter. Higher metal production consequent to the Hirakud brownfield expansion, profit improvement measures and higher other income have been the drivers.

The revenue in aluminium business rose by 14 per cent to Rs1,980 crore vis-à-vis Rs1,736 crore in the corresponding period in the previous year on the back of the highest ever metal volumes. However the unprecedented 25 per cent fall in LME and spiraling input cost squeezed the margin, despite gains from weaker rupee. The shrinkage in domestic demand for downstream products resulted in an adverse product mix.

In the copper business, revenues stood at Rs2,139 crore lower by 24 per cent vis-à-vis Rs2,806 crore in Q3FY08 as a result of the 46 per cent lower LME. The profit before interest and tax rose by 23 per cent to Rs. 116 crore from Rs. 94 crore in the corresponding quarter last year despite a 33 per cent fall in TcRc, mainly due to better by-product realisation, operational efficiencies and forex translation impact.

Meanwhile, Hindalco has incorporated a joint venture company, Hydromine Global Minerals GMBH Limited, in British Virgin Island for development and operation of bauxite mines in the Minim Martap and Ngaoundal regions of the Adamaoua province in Cameroon (Africa). Hindalco and Dubai aluminium holds 45 per cent equity each and the balance 10 per cent is with Hydomine, USA.

The expansion of the Muri alumina refinery from 110,000 tpa to 450,000 tpa has been completed and production is being ramped up in a phased manner.

Phase II of the expansion of the smelting capacity at Hiracud from 100,000 tpa to 143,000 tpa was completed on time. Work on expansion to 155 ktpa is in progress and is expected to be completed by August 2009. The power generation capacity has been raised from 267.5 mw to 367.5 mw and all the units have been commissioned.

The allotment of the lease for bauxite mines for expanding the alumina refinery capacity at Belgaum, Karnataka from 350 ktpa to 650 ktpa is still awaited.

Aditya Aluminium, the integrated aluminium project, encompassing 1 to 1.5 million tpa alumina refinery, 260,000 to 359,000 tpa aluminium smelter and 750 to 900 mw captive power plant is progressing as planned. The Mahan aluminium project with a smelter capacity of 359 ktpa and CPP of 900 mw is also on track.

Plant location of the proposed Jharkhand aluminium smelter with a capacity of 359 ktpa and a CPP of 900 MW has been shifted from Latehar to Sonahatu block which is 20 km from Muri and 55 km from Ranchi.

The construction of Utkal alumina refinery with a proposed capacity of 1.5 mtpa is currently underway, it said.

Hindalco's joint venture, Hindalco Almex Aerospace Limited, for the manufacture of high-strength aluminium alloys for applications in the aerospace, sporting goods and surface transport industries has been commissioned in November 2008 and production has started.

The transport sector remained the largest consumer for aluminium products in 2008, the company said in a release. With the downturn expected in transport, building and construction sectors, producers have announced production cutbacks up to 5.05 million tonnes per annum.

Global refined copper consumption during 2008 grew by about 0.6 per cent. The forecast is that the demand would either remain flat or decline during 2009 until the economic environment improves. Over all concentrate market is expected to be steady or slightly surplus during CY 2009.

http://www.domain-b.com/companies/companies_h/Hindalco/20090219_hindalco.html

Mining – International

Australian High Commissioner calls on steel and mines minister

Thursday, February 19, 2009

Report by Orissadiary correspondent; Bhubaneswar: Australian High Commissioner John McCarthy on Wednesday called on the state steel and mines minister Pradip Amat at the State Secretariat and held discussions on the effects of global meltdown on mining and industries in the State.

During the discussion, Amat said that the Orissa Mining Corporation is supplying minerals at tender prices for domestic consumption. As a result there is continuity in supply of raw materials.

Admitting that the industries have decreased their production due to the economic meltdown, he, however said that the effects have not been severe. The state government is stressing on value addition of minerals. In case of providing mining leases stress is being given on value addition and own use, the minister pointed out.

To a query of McCarthy about the standing of the state government on National Mineral Policy, Amat said that the state has given proposals to the Centre for necessary amendments.

http://www.orissadiary.com/Shownews.asp?id=10922

Baker Lake hunters, elders oppose uranium mine

“Like part of their spirit.”

JOHN BIRD

Joan Scottie was on the front lines 20 years ago when the community of Baker Lake said an historic "no" to uranium mining - and she's still fighting the same battle today.

But this time, key Inuit organizations have switched sides.

"I'm frustrated with our aboriginal organizations," Scottie said. "They are the ones who are supposed to represent us. Instead, they are getting revenue in millions of dollars from the mining companies for our hunting grounds."

"We are the ones who are going to get the negative consequences if something happens."

In a letter to the Nunavut Impact Review Board for the Baker Lake Concerned Citizens Committee, Scottie said the committee opposes uranium mining in the Kivalliq region because:

once one mine is opened it will be politically impossible to stop the development of others;
mining activity will harm the Beverly and Qaminirjuaq caribou herds "upon which our culture as Caribou Inuit is based;"
it will damage human and community health and infrastructure, and traditional activities;
"there are very serious moral issues associated with uranium mining, nuclear power, nuclear weapons, and the storage of radioactive waste for countless generations to come."

There have been numerous development proposals and exploratory ventures, but so far, uranium has not been mined in Nunavut.

In 2007, NTI changed from a policy opposing uranium mining to supporting it when "carried out in an environmentally and socially responsible way and the uranium that results from the mining shall be used only for peaceful and environmentally friendly purposes." It also requires Inuit participation, limited environmental impacts and the protection of human health.

In the face of global climate change caused by greenhouse gases, the argument that nuclear power is a "clean" alternative to coal and oil for electricity production is finding renewed support worldwide, and uranium prices are expected to rise.

In February 2008, NTI signed a deal with Kaminak Gold giving NTI a million shares in a joint uranium mining venture 300 km west of Rankin Inlet.

The deal includes $50,000 a year royalties for NTI before production commences, and 25 per cent participating interest or a 7.5 per cent net profits royalty in any mine that is developed.

Scottie, also a member of the local Community Lands and Resources Committee, said neither NTI nor Kivalliq Inuit Association have provided financial or logistical support so elders, youth and hunters and trappers can be heard in NIRB screenings and reviews on proposed uranium mining.

She requested $5,000 last fall from NTI, and through Edwin Evo, the local representative for KIA. She also invited Evo to speak to the Hunters and Trappers Organization.

She has yet to hear back from either organization or from Evo himself, she said.

"Evo should resign," she said, "because he is not working for the beneficiaries."

Evo directed all questions to KIA president Jose Kusugak, who was unavailable at press-time.

At KIA's annual general meeting in Rankin Inlet last October, Kusugak presented Areva Resources with a congratulatory plaque for being "a really good example of how companies should do consultation work."

Areva told the KIA annual meeting it did 22 Inuit Qaujimajatuqangit interviews in Baker Lake and Chesterfield Inlet last year, and occasionally flies people by helicopter to the sites of outpost camps where they were born.

"I'm sure" the uranium mining development companies "do consult with KIA and NTI," Scottie said. "But they shouldn't be taking action until they have consulted with us, the people, the hunters - not just with the political organizations."

She said the Baker Lake hamlet council did come up with $1,000 in emergency funds recently to help people respond to a NIRB screening on the proposed Areva Kiggavik project.

During blizzard conditions, she was able to get about 50 people out to the Hunters and Trappers office to fill in the NIRB forms, with an additional 20 elders showing up the following day for discussion and response.

Many of the elders were surprised to hear about the feasibility study, she said. "There are a lot of things happening without the elders' knowledge."

Among the elders, all but one opposed the uranium development. Among the hunters, opposition was 68 per cent, and for the youth it was just over 60 per cent.

"A lot of people think it's just me talking," she said. "But it's the people out there that give me strength when they start talking."

"You have to listen to the elders. Some of this land is very sacred to them. It's not just hunting and fishing grounds; some of it is like part of their spirit."

NIRB is looking at two proposed uranium mining developments in the Baker Lake area," said Jeff Rusk, the board's director of technical services.

One is a 45-day screening process under section 12.4 of the Nunavut Land Claims Act of AREVA Resources Inc.'s Kiggavik uranium mining and milling project.

The other is a more extensive environmental impact review process under Section 12.5 of the land claims act of the Uravan-Garry Lake project.

http://www.nunatsiaq.com/news/nunavut/90220_1916.html

Indigenous-mining dialogue group not a silver bullet: ACF

LARINE STATHAM

20/02/2009 2:10:00 PM

A group set up to bridge the gap between Aboriginal Australians and uranium mining companies has been criticised as being a tool to rob native title holders of their land.

Former national ALP president and Aboriginal leader Warren Mundine has also come under scrutiny following his decision to become a board member of the Australian Uranium Association - the industry body responsible for establishing the dialogue group that Mr Mundine is now part of.

Jillian Marsh, an Adnyamathanha custodian, is one such critic who knows first hand how desperately Aboriginal people need an independent body they can turn to for impartial advice and information.

But she does not believe the dialogue group, co-convened by ten uranium industry experts and indigenous community leaders, is the answer.

"Isn't it a conflict of interest what (Mr Mundine) is doing?"

"There is just too many people working across too many boards and that is what concerns me," she said.

"And they are not closely enough connected with the communities who are dealing with this stuff on the ground."

The Beverley Uranium Mine site, based 520km north of Adelaide, rests at the northern end of the Flinders Ranges on the traditional lands of Ms Marsh and her ancestors.

"I went all around that country with my parents ... and now to see what is happening under native title and to see our lands just being ripped out in front of us," she said.

"Not having the right to say no to this, not being able to stop this destruction from going on, it makes me feel really sick.

"The way that money is being used to bribe Aboriginal people is really unethical," she said.

"We never talk about how these decisions split families up and divide communities.

"The native title process is failing them."

Holding its first dialogue group meeting this week, AUA executive director Michael Angwin said it was "too early" to speculate what deals might done with native title holders to secure future mining sites.

"We regard this group as a key stakeholder group ... to whom we can go to for advice on the bigger issues affecting our industry," he said.

Australian Conservation Foundation nuclear-free campaigner Dave Sweeney said indigenous communities had "been a major impediment for the uranium industry for a very long time".

"This is an absolutely cynical attempt on the part of the industry to reposition itself as an industry that listens, cares and is concerned," he said.

Mr Sweeney conceded some ACF members held biased viewpoints, but said "by the same coin" he was also concerned the information passed on to Aboriginal communities by the dialogue group might not be entirely balanced.

"No trader calls out 'bad fish'," he said.

"This information will be slanted.

"It is a group that is comprised of and paid for by Australian explorers and producers of uranium.

"It is not some balanced, measured, disinterested, impartial body, it is an industry advocacy group that is trying to facilitate the expansion of the uranium industry in Australia."

Mr Angwin, a former Rio Tinto executive, was open about the fact that discussions with indigenous community leaders would likely benefit the industry, but denied the group was borne out of any frustrations in gaining access to future mine sites or locations suitable for low-level nuclear waste.

"The impetus for this group came from a series of discussions which identified a series of common ideas," he said.

"If people have the right information... they'll come to good decisions and that's what we really want here - for people to make informed decisions based on evidence and not fear.

"If Aboriginal communities decide they don't want to be engaged with uranium, then so be it."

However, Mr Sweeney said Aboriginal people had no right of veto under the current native title system and that development applications were "profoundly weighted in favour of business".

"A lack of consent is not sufficient to stop development proceeding," he said.

"They act as if Aboriginal people have the right to say no and that this is an even playing field, but that is totally misleading."

As the chief executive of Native Title Services Corp, Mr Mundine said it was likely that most future mine developments would be established on indigenous land.

"I'm (part of the dialogue group) for the indigenous people, to put their viewpoints forward," he said.

Mr Sweeney said he questioned whether or not Mr Mundine would represent solely the interests of Aboriginal Australians during discussions, given his "unashamed support for the promotion of the industry" in the past.

"If you sit on the board, then you have nailed your colours to the mast," he said.

"It's no surprise, as he has for a long time pushed this barrow."

Mr Mundine said the ALP during its 2007 national conference scrapped its policy opposing the establishment of new uranium mines.

"And so this is an opportunity for development of the industry here for larger mining activity to happen," he said.

"We need to ensure that indigenous people receive the benefits that they so rightly deserve in the social and economic areas."

Mr Sweeney said he did not believe education, employment and infrastructure should be linked to mining operation approvals.

"They are citizenship entitlements," he told AAP.

"What does that say to those Aboriginal people who do not have access to the potential of a uranium mine?

"Do you only get out of the poverty trap if you've got a uranium mine on your country?"

"For the industry to say `we are the silver bullet, we will solve (Aboriginal dislocation)'; it flies in the face of reality and the lived Aboriginal experience," Mr Sweeney said.

"It is a cynical PR exercise."

The federal government last year granted the approval of a six-fold expansion of the Beverley Uranium Mine.

It is understood native title processes between the Beverley Uranium Mine operator, Heathgate Resources and the Adnyamathanha elders are ongoing.

http://www.independentweekly.com.au/news/local/news/general/indigenousmining-dialogue-group-not-a-silver-bullet-acf/1439732.aspx

Boost for mining research

Posted 3 hours 0 minutes ago

The University of Tasmania's search for new mining resources has been boosted. (ABC News: Sally Glaetzer)

The University of Tasmania Centre handling research into new ore deposits has received more Federal government funding.

The Australian Research Council has granted the university almost $10 million in funding until 2013.

The university centre started 19 years ago in Tasmania and now undertakes research worldwide in collaboration with mining companies.

Professor Ross Large, the director of the ARC Centre of Excellence in Ore Deposits at the university, says the recurrent funding is very welcome.

"Several years ago we started a big initiative in geo-metallurgy with a number of mining companies," Professor Large said.

"We'll be able to take that research to the next level now with new international collaborations and also getting more into the environmental impact end of the mining industry," he said.

http://www.abc.net.au/news/stories/2009/02/20/2497115.htm

Foreign mining firms seeking prospects

By Riza T. Olchondra
Philippine Daily Inquirer
First Posted 02:53:00 02/20/2009

Filed Under: Mining and quarrying, World Financial Crisis

Foreign investors are taking advantage of the global financial lull to scout for mining projects in the Philippines, an official of the Mines and Geosciences Bureau (MGB) said Thursday.

Junior companies, contractors, suppliers and financiers from Australia, China, Korea and Japan have been visiting the country seeking investment leads, MGB Deputy Director Edwin Domingo said in an interview.

He said that a delegation from the Japan Mining Engineering Center, composed of government and industry representatives, were briefed on mining prospects last week.

Earlier this week, a delegation of mining companies and suppliers organized by the Australian Trade Commission (Austrade), the Australian government’s trade and investment development agency, also started scouting for investments.

“Yesterday morning, we met with about 30 Chinese investors at the DTI [Department of Trade and Industry] and in the evening we met with Korean investors in Manila,” Domingo said.

“It’s just a first scan, but it shows that they are interested in doing the small steps while there is a financial lull,” he said. “Anyway, it could take anywhere from two to 12 years before a project can go into production.”

Domingo said the activities indicated that companies had taken stock of their financial situation or had become more comfortable with their situations now than in September, when there was a lot of uncertainty in mining-related financing.

“Industry people say the global financial situation may start improving after a year or two,” he said. “By the time the market starts to pick up, investors that have done their homework and are ready to at least start construction will be in a good position.”

Domingo added that existing investors such as BHP Billiton and OceanaGold of Australia were still “moving” on their projects.

He said OceanaGold might announce by June its final decision on its $320-million Didipio gold and copper project in the northern province of Nueva Vizcaya.

Oceanagold has spent about $120 million and has not found a partner to help fund the remainder of the project cost, Domingo said.

“They are reviewing their position, so let’s see,” he said. “They might announce how much they want to scale back or if they find a partner, who knows, they might bring it back up to their original plan.”

MGB Director Horacio Ramos had said last month that “instead of having bigger operations, [OceanaGold] wants to cut back on their expenditures and lower their production level so that they can proceed with the project.”

The government has said it is revising its investment target of $600 million to $1 billion for mining in 2009 but has not made a final estimate.

The Chamber of Mines of the Philippines has said investments has potential to reach more than $1 billion as fast-growing economies like China drive up mineral demand in the second half. With editing by INQUIRER.net

http://business.inquirer.net/money/topstories/view/20090220-189968/Foreign-mining-firms-seeking-prospects

Hwange Colliery Company to resume underground mining

Business Reporter

Hwange Colliery Company is set to resume its underground mining operations suspended last month after equipment broke down, the public relations manager Mr Burzil Dube, said yesterday.
"Underground mining operations have been at halt for over a month, due to the breaking down of a continuous miner machine. Last night we received spare parts from a South African company, Joy Mining Machinery", he said from Hwange.
Mr Dube said underground mining was scheduled to start next week.
He said HCCL was still facing a shortage of foreign currency, which was affecting production.
Despite the shortages, he said the company was planning to produce at least 60 percent of its normal capacity this year.
The shortage of foreign currency has handicapped the coal-mining giant's operations as it is failing to recapitalise to enable it to meet demand for its products.
The Reserve Bank of Zimbabwe recently granted the company permission to sell coal and related products in foreign currency in a bid to improve capacity utilisation and ensure availability of coal.
However, hospitals, schools and other social centres using coal will still buy it in local currency.

http://www.chronicle.co.zw/inside.aspx?sectid=1936&cat=8

OZ Minerals near deal on Martabe mine

Sarah-Jane Tasker | February 20, 2009

Article from: The Australian

OZ Minerals is close to announcing the sale of its Martabe gold mine in Indonesia, which is tipped to go to a vehicle headed by former OZ Minerals director Owen Hegarty.

The possible sale follows a $2.6 billion bid for the debt-laden miner by China's Minmetals.

Announcing the surprising takeover earlier this week -- a move that has kept the company from going into administration -- OZ Minerals said it was moving ahead with the sale of Martabe and its Golden Grove polymetallic mine in Western Australia, which could add further upside to Minmetals' 82.5c a share offer.

Minmetals' offer will increase if the aggregate net sale proceeds from those two assets exceed $425 million.

Its shares are still trading below the offer price, closing at 65c yesterday.

The Melbourne-based miner has a February 27 deadline set by its banks to sort out its financial issues, which include finalising the asset sales, but OZ has sought another extension to allow the Minmetals offer to proceed.

If its request for an extension is granted, it would not have to get both the asset sales done before next Friday's deadline, but the Martabe deal is still expected to be announced before then.

One analyst said it was likely the shareholders could achieve some small upside, as it was possible the asset sales would go above $425 million.

The company said it would not comment on market speculation, but earlier this week chief executive Andrew Michelmore said the sale process for both assets had been competitive, with Martabe having eight companies sign confidentiality agreements to review the asset.

He added that the diversified miner had made good progress on the Golden Grove sale.

"We are talking to one party in particular, but a number of parties were interested," he said.

Citi values Martabe at $235 million and Golden Grove at $265 million.

http://www.theaustralian.news.com.au/business/story/0,28124,25079820-5005200,00.html

Other News – India

Campaign against SEZs, corridor

Staff Reporter

VISAKHAPATNAM: A campaign is being launched to enlighten fishermen on the impact of the proposed coastal corridor from Visakhapatnam to Kakinada and the Special Economic Zones on their livelihood.

Announcing this at a media conference here on Thursday, coordinator of Praja Udyama Aikya Vedika Nalla Suresh said that the campaign would cover various coastal villages in Srikakulam, Vizianagaram, Visakhapatnam and East Godavari districts from Friday to February 26. He said that the successive Governments were depriving fishermen of their rights in the name of development.

He said that SEZ s would be separate entities unto themselves where no laws were applicable. Setting up of ship breaking units would lead to loss of precious fish and prawn wealth. The demands of the Vedika include: abolition of the 2005 SEZ Act, withdrawal of the 2008 CMZ and revival of the 1991 CRZ notification, provision of rights to traditional fishermen on natural water resources, abolition of G.O. no. 373 and other G.O.’ s that were meant for promoting the Coastal Corridor and displacement of poor, Scheduled Castes and Scheduled Tribes in the name of development.

Matsyakarula Aikya Vedika leader Ganta Papa Rao, who was present at the press conference, said that ‘Ganga putrula garjana’ would be held against displacement of the fishermen community in Hyderabad on February 27.

Earlier, Mr. Suresh released a poster brought out against SEZs, corridor.

http://www.hindu.com/2009/02/20/stories/2009022058410200.htm

Fresh fires in Nilgiri reserve forests

Special Correspondent

Satellite data show thermal anomalies indicating fires at several places

THIRUVANANTHAPURAM: Fresh fires of varying intensities have broken out in the core areas of the Nilgiri Biosphere Reserve during the last two days.

Last week, fires had occurred at several places inside the Nagarahole and Bandipur National Parks of Karnataka, the Mudumalai Tiger Reserve of Tamil Nadu and the Wayanad Wildlife Sanctuary of Kerala.

This time, satellite data show thermal anomalies indicating fires at several places in Mudumalai and Bandipur. A few of them are again located at the common border point among Kerala, Karnataka and Tamil Nadu.

Fresh fires have also occurred in Nagarahole, this time in the northern border area.

Fires also broke out in the Periyar Tiger Reserve in Kerala on Wednesday. According to data received on Thursday, fires continued to burn in the Periyar Tiger Reserve. During the past few days fires have broken out in forests at Thenmala and Attappady besides Wayanad in Kerala. Protected areas on the southern end of the peninsula, both on the Tamil Nadu and Kerala side, continue to be free of major fires as the forests are still humid. However, the situation might change in the coming days unless precautionary measures are taken.

Department blamed

Kalpetta Correspondent writes:

Wildfires that broke out at three places in the Wayanad Wildlife Sanctuary was put out on Wednesday night by forest personnel. Large acres of forest were destroyed.

The fires occurred at the Chethalayam waterfalls, Kurichiad and the Vandikkadavu sections of the Kurichiad forest range.

Forest wealth in about 100 acres was destroyed in fires at Nanthara and Banur in the Gundra range in the Bandipur Tiger Reserve and in 1,000 acres in the Metkoppe, Veerahosanahalli and Avarahally forest ranges under the Nagarhole National Park in Karnataka recently.

Both sanctuaries are adjacent to the Wayanad sanctuary. Following the wildfires and the drought-like situation in these sanctuaries, herds of animals have begun migrating to the Wayanad forests in search of fodder and water.

Environmentalists allege that the Forest Department had failed to take necessary measures to curb wildfires in the sanctuary this year.

They say that fire lines have been put up only on the State border.

http://www.hindu.com/2009/02/20/stories/2009022059750600.htm

Lahari to invest Rs 1,500cr SEZ

BS Reporter / Chennai/ Hyderabad February 20, 2009, 0:27 IST

Lahari Infrastructures Limited, a subsidiary of city-based Lahari Group, will be investing about Rs 1,500 crore in a multi-services special economic zone (SEZ) in Ranga Reddy district of Andhra Pradesh in phases.

The company has entered into a joint development agreement with the Mumbai-based Hiranandani Group for executing the project, wherein Lahari will own 30 per cent of the built-up space while the rest will be held by the latter, Lahari Group chairman G Hari Babu told mediapersons.

Christened Hiranandani Upscale, the 250-acre SEZ will have 15 million sft of space for 31 services including research and development, IT/ITeS, free trade, warehousing and education.

“All the required clearances including fire and aviation approvals are already in place except building permission, which is expected by this month end, from the Hyderabad Urban Development Authority. The first phase of the project, involving 2 million sft of built-up space with an investment of Rs 400 crore, will be completed by the first quarter of 2011. We plan to add 1.5 million sft every year for the next 10 years,” Hari Babu said.

http://business-standard.com/india/news/lahari-to-invest-rs-1500cr-sez/10/30/349539/

Rehabilitation of tigers in Sariska tiger reserve

16:30 IST

Rajya Sabha

The Government has taken number of measures to increase the number of tigers after Wildlife Institute of India reported decline in the number of tigers in many tiger reserves including central India. Rehabilitation of the tigers in Sariska is one of the major step in this direction. As per the recovery plan suggested by the Wildlife Institute of India, in all 5 tigers are required to be translocated to Sariska Tiger Reserve. A male tiger and a tigress have been reintroduced in Sariska Tiger Reserve from the Ranthambhore Tiger Reserve of Rajasthan in June/July 2008, based on the said recovery strategy. This is a collaborative initiative between the National Tiger Conservation Authority, Rajasthan Forest Department and the Wildlife Institute of India.

As per the findings of the recent all India estimation of tiger using the refined methodology, the total country-level population of tiger is 1411 (mid value); the lower and upper limits being 1165 and 1657 respectively. The details are at Annexure-I. The recent assessment of tiger population is based on determining spatial occupancy of tigers throughout potential tiger forests and sampling such forests using camera traps in a statistical framework. This assessment is not comparable to the earlier total count using pugmarks owing to several shortcomings in the latter. The new findings indicate a poor status of tiger population in areas outside tiger reserves and protected areas. The tiger population, by and large, in tiger reserves and protected areas of such States are viable, while requiring ongoing conservation efforts. The steps taken by Government of India to protect tigers are Annexure-II.

Annexure-I

Forest occupancy and population estimates of tiger as per the refined met

hodology

State	Tiger km²	Tiger Numbers
State	Tiger km²	No.	Lower limit	Upper limit
Shivalik-Gangetic Plain Landscape Complex
Uttarakhand	1901	178	161	195
Uttar Pradesh	2766	109	91	127
Bihar	510	10	7	13
Shivalik-Gangetic	5177	297	259	335
Central Indian Landscape Complex and Eastern Ghats Landscape Complex
Andhra Pradesh	14126	95	84	107
Chattisgarh	3609	26	23	28
Madhya Pradesh	15614	300	236	364
Maharashtra	4273	103	76	131
Orissa	9144	45	37	53
Rajasthan	356	32	30	35
Jharkhand**	1488	Not Assessed
Central Indian	48610	601	486	718
Western Ghats Landscape Complex
Karnataka	18715	290	241	339
Kerala	6168	46	39	53
Tamil Nadu	9211	76	56	95
Western Ghats	34094	412	336	487
North East Hills and Brahmaputra Flood Plains
Assam*	1164	70	60	80
Arunachal Pradesh*	1685	14	12	18
Mizoram*	785	6	4	8
Northern West Bengal*	596	10	8	12
North East Hills, and Brahmaputra	4230	100	84	118
Sunderbans	1586	Not Assessed
Total Tiger Population		1411	1165	1657

* Population estimates are based on possible density of tiger occupied landscape in the area, not assessed by double sampling.

** Data was not amenable to population estimation of tiger. However, available information about the landscape indicates low densities of tiger in the area ranging from 0.5 to 1.5 per 100 km².

Annexure-II

Steps taken by the Government of India for protection and conservation of tigers

Legal steps

Amendment of the Wild Life (Protection) Act, 1972 for providing enabling provisions for constitution of the National Tiger Conservation Authority and the Tiger and Other Endangered Species Crime Control Bureau. The punishment in cases of offence within a tiger reserve has been enhanced. The Act also provides for forfeiture of any equipment, vehicle or weapon that has been used for committing any wild life offence.

Administrative steps

2. Strengthening of antipoaching activities, including special strategy for monsoon patrolling, by providing funding support to Tiger Reserve States, as proposed by them, for deployment of antipoaching squads involving ex-army personnel / home guards, apart from workforce comprising of local people, in addition to strengthening of communication / wireless facilities.

3. 100% Central Assistance provided to 17 Tiger Reserves as an additionality for deployment of Tiger Protection Force, comprising of ex-army personnel and local workforce.

4. Constitution of the National Tiger Conservation Authority with effect from 4.09.2006, for strengthening tiger conservation by, interalia, ensuring normative standards in tiger reserve management, preparation of reserve specific tiger conservation plan, laying down annual / audit report before Parliament, constituting State level Steering Committees under the Chairmanship of Chief Ministers and establishment of Tiger Conservation Foundation.

5. Constitution of a multidisciplinary Tiger and Other Endangered Species Crime Control Bureau (Wildlife Crime Control Bureau) with effect from 6.6.2007 comprising of officers from Police, Forest, Customs and other enforcement agencies to effectively control illegal trade in wildlife.

6. Approval accorded for declaring eight new Tiger Reserves.

7. The revised Project Tiger guidelines have been issued to States for strengthening tiger conservation, which apart from ongoing activities, interalia, include funding support to States for enhanced village relocation/rehabilitation package for people living in core or critical tiger habitats (from Rs. 1 lakh/family to Rs. 10 lakhs/family), rehabilitation/resettlement of communities involved in traditional hunting, mainstreaming livelihood and wildlife concerns in forests outside tiger reserves and fostering corridor conservation through restorative strategy to arrest habitat fragmentation.

8. A scientific methodology for estimating tiger (including copredators, prey animals and assessment of habitat status) has been evolved and mainstreamed. The findings of this estimation/assessment are bench marks for future tiger conservation strategy.

9. An area of 26749.097 sq. km. has been notified by 14 Tiger States (out of 17) as core or critical tiger habitat under section 38V of the Wildlife (Protection) Act, 1972, as amended in 2006 (AP, Arunachal, Assam, Karnataka, Kerala, Jharkhand, MP, Maharashtra, Mizoram, Rajasthan, Tamil Nadu, Uttarakhand, Orissa and West Bengal). Three tiger States (Bihar, Chhattisgarh and UP) have taken a decision for notifying the core or critical tiger habitats (4264.282 sq.km.). The State of Madhya Pradesh has not identified / notified the core /critical tiger habitat in its newly constituted tiger reserve (Sanjay National Park and Sanjay Dubri Wildlife Sanctuary).

10. Memorandum of Understanding developed for better/concerted implementation of conservation inputs through tiger reserve States.

Financial steps

11. Financial and technical help is provided to the States under various Centrally Sponsored Schemes, viz. Project Tiger and Integrated Development of Wildlife habitats for enhancing the capacity and infrastructure of the States for providing effective protection to wild animals.

International Cooperation

12. India has a Memorandum of Understanding with Nepal on controlling trans-boundary illegal trade in wildlife and conservation, apart from a protocol on tiger conservation with China.

13. A Global Tiger Forum of Tiger Range Countries has been created for addressing international issues related to tiger conservation.

14. During the 14^th meeting of the Conference of Parties to CITES, which was held from 3^rd to 15^th June, 2007 at The Hague, India introduced a resolution along with China, Nepal and the Russian Federation, with directions to Parties with operations breeding tigers on a commercial scale, for restricting such captive populations to a level supportive only to conserving wild tigers. The resolution was adopted as a decision with minor amendments. Further, India made an intervention appealing to China to phase out tiger farming, and eliminate stockpiles of Asian big cats body parts and derivatives. The importance of continuing the ban on trade of body parts of tigers was emphasized.

Creation of Special Tiger Protection Force (STPF)

15. The policy initiatives announced by the Finance Minister in his Budget Speech of 29.2.2008, interalia, contains action points relating to tiger protection. Based on the one time grant of Rs. 50.00 crore provided to the National Tiger Conservation Authority (NTCA) for raising, arming and deploying a Special Tiger Protection Force, the proposal for the said force has been approved by the competent authority for 13 tiger reserves. Advisory has been sent to Uttar Pradesh, Rajasthan and Uttarakhand for initiating steps for deploying in Dudhwa, Ranthambhore and Corbett tiger reserves, with 100% Central assistance during the current financial year.

Minister of State for the Ministry of Environment and Forests Shri S Regupathy replied in a written question by Shri Krishan Lal Balmik in Rajya Sabha today.

**************

http://pib.nic.in/release/release.asp?relid=47690

Forest cover in the country

16:53 IST

Rajya Sabha

As per State of Forest Report (SFR) 2005,The forest cover in the country is 20.6 % of geographical area. If the tree cover, which is 2.79 % of geographical area is also included, then the total forests and tree cover comes to 23.39%.

All lands with a forest cover (canopy density) of 40% and above are classified as dense forests. The details of dense forest area in the country, State wise, is given at Annexure-A

The Government is continuously making efforts through policy level initiatives as well as by supporting the Afforestation activities in the States for achieving the national goal. As per the National Forest Policy, 1988 the national goal should be to have a minimum of one-third of the total land area of the country under forest or tree cover.

The proportion of dense forest cover in the country can be increased by two ways. First, by the improvement and enrichment of open forests through assisted natural regeneration and plantations. This does not require any additional land in the States. The second way is by bringing land outside the forest areas under forest or tree cover in the States.

For achieving these two objectives, the Ministry has been operating its flagship scheme titled “National Afforestation Programme” to support afforestation activities in the States with peoples’ participation. In addition, under the National Mission for a ‘Green India’, which is one of the recently announced ‘Eight National Missions’ by Government of India, the Ministry is proposing to treat 5 million ha. of degraded forests with 40% less than crown cover, and to additionally afforest 18 million ha. of other available lands, such as, degraded land, wasteland, community lands, public lands, land with Defence, Railways, Surface Transport and other Government Departments. The implementation period of the Mission would be eight years starting from 2009-2010.

Annexure

State / UT	Geographic Area (Km²)	Dense Forest Cover (Km²)
Andhra Pradesh	275,069	24,329
Arunachal Pradesh	83,743	52,388
Assam	78,438	12,831
Bihar	94,163	3,114
Chhattisgarh	135,191	38,728
Delhi	1,483	54
Goa	3,702	1,150
Gujarat	196,022	6,138
Haryana	44,212	526
Himachal Pradesh	55,673	8,928
Jammu & Kashmir	222,236	10,529
Jharkhand	79,714	11,622
Karnataka	191,791	22,098
Kerala	38,863	9,660
Madhya Pradesh	308,245	41,082
Maharashtra	307,713	28,384
Manipur	22,327	6,464
Meghalaya	22,429	7,146
Mizoram	21,081	6,306
Nagaland	16,579	5,838
Orissa	155,707	28,194
Punjab	50,362	723
Rajasthan	342,239	4,470
Sikkim	7,096	2,410
Tamil Nadu	130,058	12,440
Tripura	10,486	5,030
Uttar Pradesh	240,928	5,979
Uttarakhand	53,483	18,398
West Bengal	88,752	6,079
Andaman & Nicobar	8,249	6,005
Chandigarh	114	9
Dadra & Nagar Haveli	491	130
Daman & Diu	112	2
Lakshadweep	32	15
Pondicherry	480	17
Total	3,287,263	387216

Minister of State for the Ministry of Environment and Forests Shri S Regupathy replied in a written question by Dr. Murli Manohar Joshi and Shri Raj Mohinder Singh Majitha in Rajya Sabha today.

http://pib.nic.in/release/release.asp?relid=47696

Public Private Panchayat Partnerships Promoted for Convergence of Schemes at Grassroots Level

18:21 IST

Rajya Sabha

The Ministry of Panchayati Raj (MoPR) is attempting to develop and promote Public-Private-Panchayat Partnership in which the Panchayats will facilitate convergence of extant schemes of State and Central Government, together with initiatives of Panchayats, financial institutions and promotional bodies. This will help develop a holistic and integrated partnership between decentralized rural production units and larger corporate entities.

The Ministry is playing the lead role in taking the benefits of rapid economic development to the rural areas of the country through the Rural Business Hubs (RBH) Scheme. While addressing the first Conference of Chief Ministers on the subject “Poverty Alleviation and Rural Prosperity through Panchayati Raj”, the Prime Minister had stated that “Panchayat Raj” is the medium to transform rural India into 700 million opportunities. The key instrument for integrating economic reforms with institutional reforms in the countryside is Gandhiji’s goal of “Poorna Swaraj” through “Gram Swaraj”. As a follow up, the Ministry of Panchayati Raj organized a National Presentation on RBH in November 2004 which was attended by 1000 representatives of Panchayats and 200 representatives of Confederation of Indian Industry (CII). A Joint RBH Council under the Co-Chairmanship of the Minister of Panchayati Raj and the then President of CII was set up at the national level. State RBH Councils have been set up in 15 States. The objective of RBH initiative is to promote RBHs across the country by bringing to the attention of business houses, both in the public and private sectors, the unique products of skills in each development block deriving from local resource endowment. In consultation with State Government and Panchayats, the Ministry of Panchayati Raj has identified local resources and skills in more than 1000 development blocks of the country.

This initiative by the Ministry of Panchayati Raj and Confederation of Indian Industries (CII), Rural Business Hub Scheme works on win-win relationship between rural producers and members of industry, facilitated by the Panchayats. It aims to foster and permeate economic growth into and for rural India. The concept is based on “participatory development model “ and draws inspiration from many successful models such as Thai experience of One-Tambon-One Product (OTOP) model, OITA prefecture model of Japan and TVEs model of China, etc.

Pilot projects based on this model can be partly funded by the Ministry of Panchayat Raj under the Central Sector Scheme on Rural Business Hubs that was approved in August, 2007. The allocation for this scheme for the 11th Plan period is Rs.24.90 crores and allocation for 2008-09 is Rs.2.00 crores. Under the Scheme, MoPR can provide limited financial support to the pilot projects for availing services of professional facilitators and to bridge the critical gaps in infrastructure.

The salient features of RBH Scheme are:

• It seeks to link rural producers with the wider market through a marketing partner and developing this as an integrated business relationship benefiting both sides and therefore, sustainable.

• Panchayats, the grass-roots democratic institutions, may prepare plans based on local resource endowments, felt needs of people and relative absorptive capacity and implement them. The PRIs can also partner with commercial entities and NGOs for developing the rural business hubs.

• The RBHS are based on economic activity that is appropriate for the area;

• It is suited for agriculture/horticulture/handloom/handicrafts related activities, where production is decentralized;

• It helps generate rural employment and developing livelihood opportunities.

Under the RBH scheme, any economic activity can be promoted that can improve incomes in the area. This can even include embroidery, stitching of garments, etc.

The scheme is applicable for all areas of the country including Uttar Pradesh. However, under the Central Sector Scheme on RBH, funding support is available only in districts covered under BRGF. Except in the seven North East States where all districts are covered. So far, 169 MoUs have been signed between the Panchayats and business partners for setting up RBH5. Of these, nine are located in U.P.

This information was given by Minister of Panchayati Raj, Shri Mani Shankar Aiyar, in written reply to a question in Rajya Sabha today.

SP/AS

http://pib.nic.in/release/release.asp?relid=47717

News & Views !!

Feb 20, 2009

20/02/09

Mining – India

Illegal mining: panel gets one more month to complete task