Vedanta Jharsuguda Under Multi-Pronged Probe Over ₹304-Cr Penalties, Waste and Water Use
JHARSUGUDA- The Vedanta Aluminium mega facility in Jharsuguda is facing multi-pronged regulatory scrutiny as state authorities launch sweeping investigations into historical water extraction and environmental compliance.
In a major escalation, the Odisha Water Resources Department has directed the Burla Irrigation Division to submit a comprehensive report mapping out the plant’s entire water sourcing history. The investigation aims to track the facility’s cumulative drawal patterns stretching back to its initial construction phase.
This directive follows an ongoing dispute over a ₹233.11 crore demand notice previously slapped on the unit by state authorities for allegedly drawing unauthorized water from the Bheden river system. While Vedanta has legally contested the penalty, claiming the government’s calculations rest on flawed assumptions, administrative pressure is mounting. Parallelly, a specialized district-level panel has initiated physical inspections of the facility’s borewells following complaints that groundwater was being extracted through unmetered systems without mandatory statutory clearances.
Compounding its resource allocation troubles, the aluminum major is simultaneously battling massive environmental penalties. The Odisha State Pollution Control Board (OSPCB) recently levied a ₹71.16 crore environmental compensation fine on Vedanta. The penalty targets the alleged unauthorized dumping of over 7 lakh metric tonnes of industrial coal fly ash across neighboring districts.
Local judicial bodies and environmental panels have also intervened, ordering fresh probes into how the facility manages its combustion residues. Investigators are tasked with evaluating the long-term ecological impact of these waste disposal practices on the vital Bheden and Ib river ecosystems, signaling a prolonged legal and regulatory battle for the manufacturing hub.
