SPV formed for development of primitive tribals

Economic Times, Oct 16, 2009

BHUBANESWAR: Orissa government has finally begun acting to take proper measures for the development of primitive tribes thanks to the intervention by the Apex Court.


In a belated move the state government at the instance of the Supreme Court has formed the much touted Lanjigarh Project Area Development Foundation (LPADF), a special purpose vehicle (SPV) to initiative programmes for primitive tribal communities like Kutia Kondh and Dongaria Kondh.

The SPV is being headed by southern range Revenue Divisional Commissioner (RDC) Satyabrata Sahu, the LPADF has the state-owned Orissa Mining Corporation and Sterlite Industries as its stakeholders.

Developmental projects in the areas of healthcare, education and infrastructure in the poverty-stricken Kalahandi and Rayagada districts will be carried out for which Rs 20 crore has been sanctioned in the first phase, according to Mr Sahu. There will be emphasis on supply of drinking water beside health care, he added.

The first meeting of the Board of Directors of the SPV, which was held in Berhampur on Wednesday under the chairmanship of RDC Mr Sahu, decided to take up Chairman of the Foundation. Mr Sahu informed that the SPV would initiate projects for socio-economic development of Kutia Kondh and Dongria Kondh communities on priority basis, besides looking after other tribal sections of people living in the region.

Hyderabad based National Institute of Rural Development (NIRD) has been short listed for undertaking the Need Assessment Study (NAS) in the tribal area. The study will help in formulating effective development interventions.

The Foundation will have its office at and operate from Lanjigarh. However, on temporary basis it will have offices at Kalahandi and Rayagada collectorates. Collectors of both the districts, who are ex-officio directors of the Foundation, will be responsible for execution of the entire developmental project, in their respective area of the Foundation.

Sterlite Industries had deposited Rs 20 crore in the Foundation for the year 2007-08 and 2008-09, as per the Supreme Court’s directive. It had deposited another Rs 12.2 crore during the same period towards tribal development and compensatory aforestation.

Dr Mukesh Kumar, chief operating officer (COO) Vedanta Alumina Limited (VAL), - the Indian arm of Sterlite Group said,“Vedanta is expecting a sea change in the peripheral village development process once the money will be utilised for the tribal development which is otherwise long awaited.”

As per the Supreme Court’s order on August 8, 2008, Sterlite Industries will deposit five per cent of the profit or Rs 10 crore; whichever is higher for local area development with the SPV. The SPV will dedicatedly work for development of tribals in the areas of health, education, communication, recreation, livelihood and cultural lifestyle within 50 km radius of Lanjigarh Project.

Vedanta Alumina Limited (VAL) a subsidiary of Vedanta Resource pls has set up a Greenfield Alumina Refinery in Orissa with a capacity of 1 million tons per annum. It is also setting up a 0.5 MTPA aluminum smelter, 1215 MW captive power plant. The Group Company Sterlite Energy Limited is also setting up a 2400 MW Independent Power Plants at Jharsuguda.

SPV for tribal welfare

Expressbuzz, Oct 16, 2009

LANJIGARH: A special Purpose Vehicle (SPV) – Lanjigarh Project Area Development Foundation (LPADF) – has been formed with Orissa Government, Sterlite Industries and Orissa Mining Corporation (OMC) as its stakeholders.

The SPV, formed on the direction of Supreme Court, held its first meeting of Board of Directors (BoD) in the office of the RDC (Southern Division) Satyabrata Sahu, who is also chairman of LPADF, at Berhampur yesterday.

As per the Supreme Court’s order on August 8, 2008, Sterlite Industries will deposit 5 per cent of the profit or Rs 10 crore, whichever is higher, for local area development with the SPV. The SPV will work for development of tribals in fields of health, education, communication, recreation, livelihood and cultural lifestyle. The SPV will work within 50 km radius of Sterlite’s Lanjigarh project .

District Collectors of Kalahandi and Rayagada and conservators of forest are directors of the SPV. Sterlite industry has four directors and OMC has one director in the LPADF.

At the meeting, the BoD resolved to take up development projects in areas like health, education and infrastructure in both Kalahandi and Rayagada districts with Sahu stressing implementation of projects for Kutia Kondhs and Dongria Kondhs on a priority basis.

Projects worth Rs 12.5 crore in the priority areas were approved by the BoD.