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Home Environment

Jindal Steel to Pay ₹160 Crore for Ecological Damage in Raigarh, Chhattisgarh, Rules NGT

Tribunal fixes corporate responsibility, recognises villagers’ grievances, and directs long-term monitoring measures in Chhattisgarh’s Tamnar block.

India CSR by India CSR
August 30, 2025
in Environment
Reading Time: 5 mins read
Jindal Steel Limited

Jindal Steel Limited

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The March 2020 NGT order against JSPL was not just another fine; it was a statement of accountability in India’s fragile environmental justice system.

NEW DELHI (India CSR): In a landmark decision that shook India’s industrial and legal circles, the National Green Tribunal (NGT) in March 2020 held Jindal Steel and Power Limited (JSPL) accountable for damaging the environment in Raigarh, Chhattisgarh. The tribunal imposed a hefty Rs. 160 crore fine on the company, fixing responsibility for long-standing violations of green norms.

The verdict, delivered by the principal bench headed by NGT Chairperson Justice Adarsh Kumar Goel, also found South Eastern Coalfields Limited (SECL), a subsidiary of Coal India Ltd, complicit in the violations after it took control of the mine in 2016.

Fixing Responsibility – A Rare Stand in Environmental Justice

One of the most significant aspects of the March 20, 2020 order was that it not only identified the violators but also directed them to pay for the damages. Such a clear fixing of responsibility is rare in India’s environmental justice system, where offenders often escape accountability through prolonged litigation.

The bench, which also included expert members Nagin Nanda and Siddhanta Das, underlined that environmental degradation caused by neglect and mismanagement must be compensated.

Recognising Local Voices and Grievances

The judgment was particularly meaningful for residents of Raigarh’s Tamnar block, who have been voicing their concerns for years. Villagers Dukalu Ram and others filed the original application against JSPL, SECL, and CIL for violations at Gare Palma IV/2 and Gare Palma IV/3 coal mines.

The tribunal’s ruling validated these long-standing grievances, giving legitimacy to their demands for environmental accountability and better living conditions. For the locals, it was both a moral victory and a legal recognition of their struggle.

Neglect of Green Belt Development

A crucial part of the NGT’s findings revolved around the non-compliance of green belt development. The order sharply criticised both JSPL and SECL for neglecting a key environmental safeguard:

“They are not clear about the concept of greenbelt and always confusing with plantation. As the name itself explain the meaning of green belt, ie a belt of plants around the activity area to attenuate the pollution.”

The tribunal added:

“(T)he liability for non-compliance of environmental condition with regard to development of green belt lies more with M/s JSPL. Both, the proponent and custodian akin are responsible for non-compliance of this important condition. No one has taken up this condition seriously. If this condition was taken up seriously, the situation would not have been so alarming.”

This clear indictment highlighted how companies failed to implement basic measures that could have reduced pollution and its impact on surrounding communities.

Scientific Evidence of Pollution

Supporting the villagers’ claims, multiple reports had documented the alarming levels of pollution in the area.

  • An August 2017 report found cadmium levels 169 times higher than safe standards (as defined by Canada) in soil samples around coal mines, thermal power plants, and coal ash ponds.
  • The study, conducted by Community Environmental Monitoring and Dalit Adivasi Mazdoor Sangathan, examined soil, water, air, and sediment samples from five locations in Tamnar.

These findings provided scientific backing to the claims of severe ecological damage.

Health and Social Impacts

Beyond ecological destruction, the NGT bench also acknowledged the health implications for residents. It sought the establishment of healthcare facilities for villagers affected by pollution and mining operations.

A November 2017 research report had earlier warned that the rapid expansion of coal mines and coal-fired power plants since 2002 had caused serious adverse impacts on people living in Raigarh for generations. Respiratory illnesses, declining groundwater, and mine fires were among the major issues highlighted.

Poisoned_English_Version_Aug2017Download

Compensation and Oversight

The NGT constituted an oversight committee to calculate monetary damages and monitor remedial action. The committee estimated damages at ₹160 crore, accounting for illegal mining and the loss of ecological services.

Although JSPL challenged the order in the Supreme Court in 2019, the apex court refused to stay the proceedings.

A Victory for the People

The order was hailed as a rare triumph for grassroots communities fighting corporate and governmental neglect.

“The NGT order is a victory for the people who have suffered severe air pollution, depleting ground water, mine fires and a heavy impact on their health for coal mines in the region,” the petitioners and their representatives said.

Ensuring Implementation – The Next Challenge

While the judgment marked a significant milestone, its true test lies in implementation. For the villagers of Raigarh, the fine and directives mean little unless remedial actions are carried out effectively.

The NGT directed the Chhattisgarh Environment Conservation Board (CECB) to set up 12 Continuous Air Quality Monitoring Stations — including three in mining areas, one in an affected village, and eight in non-attainment cities — to operate for at least seven years.

The responsibility now rests with the state administration and the NGT to enforce the judgment “in letter and spirit.” Without effective follow-up, even a landmark ruling risks becoming symbolic.

(India CSR)

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India CSR is the largest media on CSR and sustainability offering diverse content across multisectoral issues on business responsibility. It covers Sustainable Development, Corporate Social Responsibility (CSR), Sustainability, and related issues in India. Founded in 2009, the organisation aspires to become a globally admired media that offers valuable information to its readers through responsible reporting.

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