In Brief
The Supreme Court addressed the validity of environmental clearance granted to Sarda Mines Private Limited (SMPL) for iron ore extraction. The Court held that environmental clearance has no retrospective effect and operates only from the date of grant (22 September 2004). The clearance was for mineral iron ore ROM, not iron ore (lump), when read in context of the original permission (13 July 1999) and the MMDR Act. Iron ore lumps are a by-product of ROM extraction. SMPL's mining activities from the lease renewal (August 2001) until clearance grant were legal to the extent of 1.4 lakh tonnes per annum. Excess mining beyond clearance limits is illegal. The matter was remitted to the Central Empowered Committee to recalculate penalties.
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