According to an article by the Organised Crime and Corruption Reporting Project (OCCRP), Vedanta in India conducted a “secretive” lobbying effort to undermine critical environmental regulations amidst the COVID-19 pandemic.
In January 2021, Vedanta Group Chairman Anil Agarwal told former environment minister Prakash Javadekar the government could add “impetus” to India’s economic recovery by allowing mining companies to boost production by up to 50 per cent without having to secure new environmental clearances, the OCCRP said.
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Vedanta: Successfully Advocated for Eliminating Public Hearings in Oil Exploration
Vedanta’s oil business, Cairn India, also successfully lobbied to have public hearings scrapped for exploratory drilling in oil blocks it won in government auctions, the report said.
Vedanta told OCCRP that as “one of the leading natural resources organizations in India” the company operated “with an objective of import substitution by enhancing domestic production in a sustainable manner.”
A spokesperson for the company conveyed to OCCRP that they consistently present representations to the government with the aim of advancing national development and India’s pursuit of self-sufficiency in natural resources.
Inside Indian Energy and Mining Giant Vedanta’s Campaign
In 2021, during the COVID-19 pandemic, Anil Agarwal, the chairman of Vedanta Resources Ltd, saw an opportunity to boost India’s economic recovery. He wrote a letter to the environment minister, Prakash Javadekar, suggesting that mining companies be allowed to increase production by up to 50% without new environmental clearances, citing economic growth and revenue generation. Javadekar took action on the proposal, and in early 2022, India’s environment ministry relaxed regulations, eliminating the need for public hearings, a crucial step in environmental clearances. This move, influenced by Vedanta’s lobbying efforts, raised concerns about powerful interests shaping policies without public input and potentially bypassing the law, according to the Vidhi Centre for Legal Policy’s analysis of pandemic-era regulatory changes.
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