PRISM CEMENTS LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) In these two writ proceedings under Article 226 of the Constitution of India, the common petitioner (hereafter referred to as "PRISM") challenges two orders of the Tribunal constituted under Section 30 of the Mines and Minerals (Development and Regulation) Act, 1957 (hereafter referred to as "the Act") read with Section 55 of the Mineral Concession Rules, 1960 (hereafter referred to as "the Rules"). The impugned orders rejected PRISM's Revision Petitions, being R.P. 16(32) of 2005 and R.P. 16(31) of 2005.

(2.) The facts necessary for deciding the two petitions are that PRISM set-up a cement plant in Satna (M.P.) in 1997. Originally the plant had a capacity of producing 6000 Metric Tons (MT) Clinker per day, which worked-out to 2 million MT Clinker per annum. It is submitted that the capacity were subsequently enhanced to 7000 MT Clinker per day, which in turn resulted in enhancement of the annual production to 2.31 million MT clinker. PRISM contends that the areas allotted to it contained mining reserves to the extent of 44.75 million MT which were sufficient for 13 years, having regard to the original capacity and the conditions imposed for operation of the cement plant. It is submitted that on 31.12.1996 and 14.02.2000, the Central Government, acting through the Ministry of Environment and Forests granted clearances under the relevant laws for extracting minerals, primarily sandstones, subject to certain conditions. It is also stated that the Director of Mines, Central Government, by an order dated 19.08.2000 granted relaxation in regard to the Safety Zone - for the purpose of mining from 500 metres and reduced it to 300 metres. Further by another order dated 05.03.2004, again issued by the Director of Mines, additional relaxation was granted.

(3.) PRISM contends that the net-result of the relaxation, together with the clearances earlier obtained was such that 16.810 million MT reserves of limestone stood released for the purpose of mining; yet it is contended that it was impracticable to mine those reserves in entirety, due to various facts, such as existence of stray buildings and structures within those areas and other such obstructions. PRISM states that it took steps to increase its daily production to 7500 MT clinker per day.