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2010 Supreme(Mad) 269
IN THE HIGH COURT OF JUDICATURE AT MADRAS
K.K. Sasidharan, J.
Neyveli Lignite Corporation Ltd., rep. By its Chairman-cum-Managing Director, Neyveli 607 801. S.A. District
Versus
G. Chinnadurai and Others
W.P. No. 21102 of 2000
Decided On : 22nd January, 2010
N. Nithiyanandam, for N.A.K. Sarma for Petitioner
T. Mohan and N. Sankaravadivel, for Respondents
Ratio:
The order of the High Court and the Supreme Court to the Loss of Ecology (Prevention and Payment of Compensation) Authority to take up any claim or case would confer it the jurisdiction to entertain and decide that claim.
Headnote:(A)Environmental (Protection) Act, 1986(29 of 1986)-Sec.2(9), 3(3), 5-Environment-Ecology-Pollution-Compensation-Loss of Ecology (Prevention and Payment of Compensation) Authority-Jurisdiction-Petitioner had been collecting the slurry generated in its mining operation in a pond which escaped in a heavy rain and formed as a sediment over the nearby agricultural lands-Respondents complained of damage to the quality of the land and claimed compensation-Petitioner offered Rs.27/- per cubic meter of slurry collected which was accepted by most of the affected persons-Respondents filed a petition before the Loss of Ecology Authority and prayed for more compensation-Authority refused to entertain the claim by saying that it would not accept individual complaints-When the respondents approached the High Court, the High Court directed the authority to entertain the claim and adjudicate upon it-Authority fixed the compensation at Rs.30 per cubic meter which was challenged by the petitioner who contended that the Authority had no jurisdiction to decide the claim of the respondents and the amount fixed was on a higher side-Respondents resisted the contention of the petitioner-Held, the public authorities should act in a responsible manner and not to take up everything to the Court and thus become a cause for piling up of court cases-The direction by the High Court and the Supreme Court would empower the Authority to entertain the claims-Amount fixed by the authority was only a meager-Petition dismissed with cost of Rs.25,000 to be paid to each of the respondents.
(B)Environmental (Protection) Act, 1986(29 of 1986)-Sec.2(9) -Environment-Ecology-Pollution-Compensation-Loss of Ecology (Prevention and Payment of Compensation) Authority-Jurisdiction- The order of the High Court and the Supreme Court to the Loss of Ecology (Prevention and Payment of Compensation) Authority to take up any claim or case would confer it the jurisdiction to entertain and decide that claim.
Section 2(9) clearly shows that an order of the High Court or Supreme Court would confer jurisdiction on the tribunal. In any case, the Corporation was more on technicalities than solving the problem of the claimants. Because of the unreasonable attitude of the Corporation, respondents 1 to 5 were compelled to approach the Loss of Ecology Authority on two occasions, one to this Court on an earlier occasion as petitioners and in the present writ petitions as respondents. In spite of the order passed by the sixth respondent as early as in August 2000, the Corporation has not paid the amount. Para 48
This writ petition filed by Neyveli Lignite Corporation, a top performing Central Public Sector Undertaking accredited with the status of “Navaratna” and is likely to be elevated to the status of “Maharatna”, challenging the order passed by the Loss of Ecology Authority re-fixing the compensation for removal of fly ash slurry from Rs. 27 to Rs. 30, is a classic example as to how State themselves contribute for the delay in disposal of cases by adding cases to the Himalayan arrears in Courts by filing worthless proceedings involving negligible amount, on flimsy grounds.
The facts:
2. The petitioner Company was incorporated in the year 1956 and it was established after a detailed techno-economic survey which revealed availability of abundant lignite in and around Neyveli which would be useful for generating electricity to meet the ever-growing demand for power in the Southern States of the country. Neyveli Lignite Corporation (hereinafter referred to as ‘the Corporation’), through its two Thermal Power Stations, with an installed capacity of 2070 m.w. supplies power to the four southern states and in particular to the State of Tamil Nadu and Pondicherry.
3. The lignite mined is carried through conveyor belts from the mine areas to the Thermal Power Stations, where the lignite is fed into the boilers and burnt as fuel to operate the generators and in turn to generate power under thermal process. The burnt lignite, being residue is collected in the form of ash. Water is thereafter introduced to make it into a slurry form. The slurry is let out through pipes and pumped into ash ponds. The ash pond is so designed that solid particles settle at the bottom and clear water flows out. The sides of the ash pond are protected by a bund. The inner walls of the bund have been additionally strengthened to avoid the escape of ash slurry from the pond.
4. There was heavy rain fall in the Cuddalore-Neyveli area during the first week of November, 1998 and more particularly during the night of 3.11.1998 and 4.11.1998. Because of the unprecedented and continuous down pour accompanied by strong winds, the earthen bund of the “D” ash pond of Thermal Power Station-I breached. The ash slurry escaped from the pond and spread to the adjacent lands of Gangaikondan and Ammeri Panchayats.
5. Since the spread of slurry was substantial and it affected about 150 acres of land, intimation was given to the District Collector and the revenue administration. The officials of the Corporation took immediate remedial measures. The breach was blocked soon after and action was taken to divert the flow of slurry away from the agricultural lands. Out of the total area of about 5423 acres, about 150 acres were affected by the spread of slurry. Initially, the villagers demanded that the affected land should be acquired by the Corporation and they should also be given employment in the Corporation. However, the Corporation maintained that there was no question of providing employment.
6. There were series of meetings between the Corporation and the affected people in the presence of the revenue officers and certain political parties. In the tripartite meeting held on 22.5.1999, the Corporation officials agreed to pay a sum of Rs. 26/- per cubic meter for removal of deposited ash. Subsequently, the Corporation agreed to raise the amount and accordingly, there was an agreement to pay Rs. 27 per cubic meter. Similarly, the Corporation agreed to pay compensation towards the loss of agriculture as per the estimation made by the district administration. Subsequently, there was a meeting on 15.6.1999 and in the said meeting, in the presence of the District Collector, Cuddalore, it was decided that the compensation for crop damages will be paid at the same rates as applicable to the damage caused by floods/natural calamities as the incident was purely a natural calamity. Pursuant to the meeting held on 15.6.1999, a total number of 169 villagers have submitted petitions claiming cos
