HALAR UTKARSH SAMITI Vs. STATE OF GUJARAT

JUDGEMENT

(1.) .Through these three petitions, the petitioners seek to challenge the authorisation by the State Government granted vide letter No. WLP-1098-CM-41-G1 dated 4th February, 2000 issued under the signatures of Shri P. Basu, Addl. Chief Secy., Forest and Environment Deptt., Government of Gujarat, Gandhinagar permitting the Chief Conservator of Forest (W.L.) and the Chief Wild life Warden, Gujarat State, Gandhinagar to grant permission and the permission granted by the Chief Conservator of Forest and the Chief Wild life Warden, Government of Gujarat, Gandhinagar to Bharat Oman Refineries Ltd., which will be hereinafter referred to as 'B.O.R.L.' for the sake of brevity, vide letter No. FCA/WLP/29/C/3180-83/99-2000 dated 4-2-2000 issued under the signatures of Shri G. A. Patel for laying the pipeline as mentioned in the said letter. Before we proceed further to narrate the case of the parties, it will be appropriate to mention the abbreviations which have been used in the pleadings, in judgments and various study reports with regard to the names of the Companies/Institutions/Bodies and other terms as under : B.P.C.L. Bharat Petroleum Corporation Limited, (a wholly owned Government of India Company). O.O.C.L. Oman Oil Company Limited. "the Refinery" A refinery complex at Bina, in the State of Madhya Pradesh. M.N.P. Marine National Park. M.S. Marine Sanctuary. M.O.E.F. Ministry of Environment and Forest (the Central Government) M.O.P. & N.G. Ministry of Petroleum and Natural Gas (the Central Government) S.P.M. Single Point Mooring. C.O.T. Crude Oil Terminal (Crude Off-loading Terminal). N.I.O. National Institute of Oceanography. C.W.L.W. Chief Wild Life Warden. B.O.R.L. Bharat Oman Refinery Limited. G.P.C.B. Gujarat Pollution Control Board. L.F.P. Landfall Point. I.O.C.L. Indian Oil Corporation Limited. E.M.P. Envionment Management Plan. E.I.A. Environmental Impact Assessment N.O.C. No Objection Certificate R.P.L. Reliance Petroleum Limited. L.T.L. Low Tide Line. H.T.L. High Tide Line. C.R.Z. Coastal Regulation Zone. W.L.(P)A. Wild Life (Protection) Act, 1972. E.(P)A. Environment (Protection) Act, 1986. E.(P) Rules Environment (Protection) Rules, 1986. N.E.E.R.I. National Environmental Engineering Research Institute - Nagpur Nagpur. F.C.A., 1980 Forest (Conservation) Act, 1980. C.F. Conservator of Forest C.C.F.(W.L.) Chief Conservator of Forest (Wild Life) G.O.I. Government of India. G.O.G. Government of Gujarat. V.L.C.Cs. Very Large Crude Carriers. E.I.A. Environment Impact Assessment (Appraisal) M.S. Motor Spirit. H.S.D. High Speed Diesel. L.P.G. Liquefied Petroleum Gas. M.M.T.P.A. Million Metric Tonnes per Annum. M.O.U. Memorandum of Understanding. J.V.C. Joint Venture Company. J.V.A. Joint Venture Agreement. R.O.U./ Right of Use/Right of Way. R.O.W. G.M.B. Gujarat Maritime Board. K.P.T. Kandla Port Trust. I.N.R.I.M.T. Indian National Resource and Information 'Technologies.

(2.) . In September 1992, Bharat Petroleum Corporation Ltd., one of the promoters of B.O.R.L. submitted an application to the Addl. Chief Secretary, Energy and Petrochemicals, State of Gujarat, seeking approval for laying the pipeline from the Single Point Mooring (S.P.M.) in the high sea to the Crude Oil Terminal (C.O.T.) at Vadinar and for laying cross-country crude oil pipeline and also approached the Environment and Forest Department, Government of Gujarat as well as Conservator of Forests, Marine National Park to identify a suitable location of the C.O.T. from environmental consideration that is away from the sensitive area from the Marine National Park and Sanctuary. On 6-5-1996, B.O.R.L. submitted an application for grant of permission for laying the petroleum/oil pipeline for the purpose of transporting crude oil and petroleum products. The said pipeline was to pass through the ecologically sensitive area which has been declared as Marine Sanctuary. In reply to the said application of Bharat Petroleum Corpn. Ltd., made in September 1992, the the Bharat Petroleum Corporation Ltd., received approval in principle and clearance from Energy and Petrochemical Department, Gujarat and Conservator of Forest, Marine National Park, Jamnagar, as well as Forest and Environment Department during October, 1992/April, 1993 respectively along with the No Objection Certificate (N.O.C.) (in principle) from Gujarat Pollution Control Board (G.P.C.B.) in May, 1993 for setting up the said facilities.

(3.) . Since the capital cost required for setting up of the refinery was huge of which a substantial portion is to be in foreign currency and one of the requirements of long term of the assurance of the supply of crude oil, the 'Government of India' and 'Sultanate of Oman' entered into a Memorandum of Understanding to which the B.P.C.L. and Oman Oil Co. Ltd. (O.O.C.L.) were also parties to form a Joint Venture Company (J.V.C.) for implementation and operation of the oil refinery in Central India and Madhya Pradesh (M.P.), and it was further agreed that O.O.C.L. which is a Government Company of Sultanate of Oman will bring in 26% of the equity capital of the J.V.C.. It was farther agreed that foreign exchange agreement of the total cost will firstly met through equity portion of O.O.C.L. and the balance of amount of exchange will be arrived at by O.O.C.L. on behalf of the J.V.C. at the most economical terms available. In this background and in terms of the J.V.C. agreement signed on 23rd December, 1993 between the B.P.C.L. and O.O.C.L., a Limited Company namely, B.O.R.L. was formed.