COMMON LETTER TO CHIEF MINISTERS OF ORISSA, CHHATTISGRH AND JHARKHAND

TRIBAL WELFARE SOCIETY

(HO: New Delhi)

Zonal Office (East Zone)

[Covering Chhattisgarh, Orissa, Jharkhand and W. Bengal]

A/3, Indrajeet Complex; High Court Road Bilaspur 495-001. (Chhattisgarh)

Email: tribalwelfare@gmail.com

BY ELECTRONIC MAIL

Dated: 25^h July, 2007

I

To,

The Hon’ble Chief Minister

GovT. of Orissa

Bhubneswar, Orissa

AND

The Hon’ble Chief Minister

Govt. of Chhattisgarh

Raipur. Chhattisgarh

AND

To,

The Hon’ble Chief Minister

Govt. of Jharkhand

Ranchi. Jharkhand

Sub : Long term strategic interest of the states of Chhattisgarh, Orissa and Jharkhand / laughable low rates of Royalty on Iron ore, Bauxite etc.,

Ref : Framing of new mining policy in the light of recommendations of the GoM of Govt. of India recommending New Mining policy

Respected Sirs,

Most humbly draw we draw your kind attention to the subject under reference, with hope that it will find best of your attention in the larger interest of the people of your states who are amongst the poorest people of the country despite state possess huge natural wealth. Serious questions are raised, why this scenario?

Many believe that due to rampant corruption such is the situation. How ever, out studies has revealed that it is the faulty mining policies practiced by the states, surrendering to the dictates of the union government. People laugh at the rate of Royalty that is to be paid by the mining companies.

It will be misconceived for the state to consider itself to be the owner of the scare natural resources but infect the same is held in the utmost public trust to serve/ utilize the scarce resources with the care. The resources cannot be spent at the throw away prices. The policy is for a better today and therefore it should be progressive with forward looking cherishing the goals of sustainable development. As such it is not only your moral duty but constitutional obligation also to practice realistic approach based on International market in the long term strategic interest of the state and its people, more particularly when we talk a lot about globalization.

No body is authorized to mortgage long term strategic interests of farmers / tribals who also enjoys equal right to earn livelihood, own property, equal living and above all protect their fundamental rights. While industrialists are pampered by showering huge sops in the name of development, Farmers / Tribals are brutally treated.

While handful persons create huge wealth by the virtual loot of mineral wealth, millions of poor are made pauper by leaving them alone to struggle for rest of their lives. Lack of trust towards the authorities has been exhibited in accidents like Kalinga Nagar and Nandigram. This cannot be defined as development. Our experience so far is that the tribals are the victims of the development and not its beneficiaries.

The doubt of the people that there exists an unholy nexus between the Industrialists and state officials stands exposed by the simple fact that the authorities by issuing Mining licenses at present laughably low royalty rates are infect issuing licenses to commit day light robbery of the mineral wealth. The nexus stands exposed by the simple fact that though the mining and industrial units do huge environmental loss, silence maintained by the state. This is just one proof of the existing nexus, besides the experiences of how the public hearing are held under the barrel of gun to crush the democratic voices of the poor people. It is also not a secret that to grab land of farmers/tribals, how “PRIVATE INTEREST” become “PUBLIC INTEREST”.

There is an urgent need to adopt a realistic mining policy with royalties based on market prices that can be the key to speedy development that can take the state equal to the front runner states of India. The three states with proper mining policies can be zero tax states of the country that can bring the prosperity of all and not a handful few. You will agree with us that the present rates are laughably low. For example Iron Ore whose international market price as on date is around US $ 86 to 88 [INR 3600/-] the Rate of Royalty at the lowest slab is Rs. 4/- per ton to the highest for best variety of 65% iron content is Rs. 27/- per M.Ton. Mining costs are about Rs. 225/- per Ton. There are every indication that the iron ore prices are going to cross US $ 100 in the near future. Similar is the situation with Bauxite and other precious natural minerals. How can you deny that the licenses issued by you are virtually permissions to commit day light robbery? It is surprising that despite such looting is going on in broad day light, your officials have failed to invite your attention nor informed the public about what is going on behind their back.

Under the circumstances, We urge upon you all the supreme authorities of the three natural wealth rich states to form a joint committee to create a pressure group by forming a cartel similarly in lines with Oil Producing and Exporting Countries [OPEC] have formed to demand market based realistic share of the natural wealth like Iron ore / Bauxite and other costly natural minerals. The need is also to strongly oppose jointly the dictates of the central government to harp on the constitutional rights of the states. If center doesn’t agree, you the state have enough power in your hand to ensure that the natural wealth of the state is preserved for future and not looted.

We look forward to all of you with a great hope that your actions will result in the better future for the people of state by proper exploitation of natural wealth.

Thanking you and with warm regards

Yours truly

For Tribal Welfare Society

S/d

(Pravin Patel)

General Secretary, Central Committee and

Director, East Zonal Affairs.

Note: Confirmation in shape of hard copy goes by regular postal services.