Is Minister Jairam Ramesh scheming to take the 15,000 crore Vedanta University to the south?
July 31st, 2010
It seems like Vedanta University is seriously considering to move to a location in the Southern states. (For those who may not know much about Vedanta University; it is a university proposed by London based industrialist Anil Agarwal who has pledged $1 Billion = 5000 crores of his own money towards this university which will have an overall budget of 15,000 crores. Note that the budgte of a new IIT is about 800 crores, a new AIIMS is about 850 crores, a new IIM is 215 cores, a new IISER is 500 crores. So just the 5000 crore is greater than having 2 IITs, 2 AIIMS, 2 IIMs and 2 IISERs. See http://vedanta.edu.in/ for more details.)
Following are some excerpts from recent news items:
“Agarwal’s other project in Orissa — Vedanta University — seems to be going nowhere. It appears it would take years before the first brick is laid on his most ambitious, and grandest, education project…. Agarwal, founder of London-based Vedanta Group, turned heads in 2006 when he said he would set up an 8,000-acre, $3-billion university under the aegis of Vedanta Foundation (which later changed its name to Anil Agarwal Foundation or AAF) in the state’s coastal town of Puri. He also offered $1 billion from his personal funds. Agarwal’s holding in his companies is worth more than $10 billion (as on 31 March 2010). …
Two states have extended an invitation; a decision is likely to be taken on a new site in two months,” says Ajit Kumar Samal, in-charge of the university project. He, however, refuses to divulge more details. Experts say the alternatives to Orissa could be Tamil Nadu and Andhra Pradesh, which have good educational infrastructure.
(ii) http://sify.com/finance/
The Anil Agarwal Foundation’s plan to set up a Rs 15,000- crore varsity in Puri (Orissa), called Vedanta University, has come a cropper. The management is now in talks with two southern states for alternative land to set up the varsity.
Although there has been opposition from inside Orissa mainly because some people are against Vedanta due to its Kalahandi operations and partly because some people are against the huge land requirement for this university, the last straw seems to be the action taken by the Minister of Environment in Delhi Mr. Jairam Ramesh. His action stopped the construction that was about to happen. See http://moef.nic.in/downloads/
After granting conditional clearance, it has now put on hold the clearance. Following is an excerpt from a report in Hindustan Times:
The Union Environment Ministry on Tuesday put on hold the controversial Rs.150 billion Vedanta University project in Orissa following complaints of alleged irregularities by its promoter Anil Agarwal Foundation. The direction to keep the project in abeyance has come within a month of the Ministry granting conditional environmental clearance to the Foundation which is building the university.
While the environment aspects of a mine is understandable, using environment as an issue to stop a university looks somewhat fishy. Especially, consider the following:
(i) The same Jairam Ramesh and his ministry has this week granted environmental permission to construct the Polavurum dam in Andhra Pradesh against the objections of the Orissa and Chhatisgrah government. See http://timesofindia.
Even Times of India is surprised with this. It wrote: "Oddly, while the ministry had set up separate committees to investigate the settlement of rights under the Forest Rights Act in other high profile cases such as Vedanta and Posco which propose to displace far lesser people, in the Polavaram case the ministry has decided to accept the state government’s compliance report on face value. The mega-project is expected to submerge 276 villages displacing upwards of two lakh people by some estimates. "
(ii) In the past IIT Madras was built on the land of Guindy National Park. Following is from IIT Madras’s web page at http://www.iitm.ac.in/
The IIT Madras Campus was carved out of a natural forest that formed part of the Guindy National Park.
Jairam Ramesh’s bias against Orissa was earlier evident when in 2007 when he questioned how an IIT would benefit Orissa. See https://www.orissalinks.com/
I worry that Mr. Ramesh may be scheming to take the 15,000 crore Vedanta University to the south. He is originally from Karantak and is currently a Rajya Sabha MP from Andhra Pradesh. Regardless, losing this would be a great loss for Orissa.
I know oppositions in Orissa have raised many questions about Vedanta University. I have tried to answer their criticisms and questions. See https://www.orissalinks.com/
My basic point is that this university with a budget of 15,000 crores out of which 5,000 crore is personal money pledged by Anil Agarwal (who has a net worth of several billion pounds, thus making this believable) can completely change the situation of Orissa and make the Bhubaneswar-Puri area a viable competitor to Bangalore, Pune and Hyderabad in terms of being a knowledge hub. This is a once in a century type of opportunity and letting it go would be foolish for generations to come.
Sorry for being so long, but this is a complex issue and I had to explain the background. We need to do something about this so that Vedanta University is established in Orissa, if not Puri, somewhere else in Orissa is fine too. If we let it go to some other state generations of Oriyas will repent for having lost this opportunity.
What can we do?
To start with please consider sending a version of the following letter (make changes to your liking).
To: pmosb@pmo.nic.in, kapil@kapilsibal.com, kapilsibal@hotmail.com, sam.pitroda@c-sam.com, s.pitroda@nic.in, jairam@sansad.nic.in, jairam@jairam-ramesh.com, secy.dhe@nic.in , skumar-mail@nic.in
Cc: cmo@ori.nic.in, bmahtab@sansad.nic.in, jayarampangi@gmail.com, pyarimohan@yahoo.co.uk, office.bjpanda@gmail.com, k.mangala@sansad.nic.in, mohan.jena@sansad.nic.in, rb.pradhan@sansad.nic.in, sushila.tiriya@sansad.nic.in, pyarimohanap@sansad.nic.in
Bcc: ajit.samal@vedanta.co.in, brajakmishra@gmail.com, Itishree.Devi@vedanta.co.in, cv.krishnan@vedanta.edu.in
SUBJECT: Please stop putting hurdles on the Vedanta University project and facilitate its establishment
Dear Esteemed Prime Minister Dr. Singh:
I am very concerned that various bureaucratic hurdles have been put by your environment ministry on the Vedanta University Project (in Puri, Odisha), which is the only current initiative that has a decent chance of becoming the first (and perhaps the only for several decades) world class university of India.
I have no association with Vedanta University except that I would like India and Odisha to have world class universities and I see the best hope of that happening soon through the establishment of Vedanta University. I am making this clarification of not having any association with Vedanta University because in India many people are afraid of speaking out in favor of industrial houses lest they be branded as being bought out by these houses.
The annual expenditure of typical state university [1] in the USA is 1.785 Billion USD, which comes to 8211 crores of INR at One USD=46 INR rate. Even taking the purchasing power index according to which 1 USD has the purchasing power of Rs 17, 1.785 Billion USD comes to about 3000 crores of INR using the purchasing power parity (PPP) numbers. Among other universities, Harvard with 20,000 students has an expenditure of 3.756 Billion USD [2] which comes to 6385 crores INR using PPP. Stanford’s budget for 18,500 students is 3.65 Billion USD [3]. In comparison, the 2010-11 budget for IISc Bangalore is 221 Crores INR and the total budget for the seven older IITs is 1600 crores.
The only Indian institution that ranks very high (at number 15) in global rankings [4] is the Indian School of Business at Hyderabad. According to a Times of India report [5]: "Indian School of Business (ISB) pays over Rs 20 lakh to its Assistant Professors (APs). Against this, an IIM-Ahmedabad AP gets only Rs 5.5 lakh as starting pay annually."
Based on the above two numbers one can guess estimate that a university in India aspiring to be world class would need to have an annual budget of 1000-1500 crores INR. I am not sure what budget estimates have been made for the innovation universities. The closest number that I came across was the estimate (in 2008) of 720 crores [6] over a nine year period.
The Vedanta University as planned has an overall budget of 15,000 crores with 5,000 crores being pledged from personal funds of the Anil Agarwal foundation. So the scale is way beyond what is mentioned with respect to the other institutions and universities in India.
As per [6,7,8,9] the budget towards making a new IIT is 760 crores, a new IIM is 210 crores, a central university is 300 crores, a central university with a medical school is 720 crores, an IISER is 500 crores and an AIIMS is 850 crores. These all add up to 3340 crores which is much less than the 5000 crores Mr. Anil Agarwal has pledged to contribute personally (through the Anil Agarwal foundation) towards Vedanta University. In addition the 15,000 crore overall budget and the plan for Vedanta University [10] which includes a township of 500,0000 and research institutes and centers a la Stanford Research Institute suggest a way to get enough income to match the annual expenses needed to operate a truly world class university. Thus when Vedanta University website talks about being world class [10], the numbers seem to add up.
I am not sure if the proposed innovation universities will be able to pay about 4 times the salary that is paid to faculty at IIMs and IITs. That is what ISB Hyderabad, the only globally top ranked institute is paying. That is what Vedanta University with its planned budget could possibly pay.
Under the above circumstances, Vedanta University seems to me as having the best chance to be India’s first comprehensive world class university.
While the honorable HRD Minister has been visiting around the world to get help in establishing innovation universities, does it make sense to create unreasonable hurdles (as the environment ministry seems to be doing) to the only one foundation that seems to have a real plan [10] and that has pledged money to back up that plan to create a truly world class university.
India’s laws and its constitution are sacrosanct. But as everyone knows one can use laws to create hurdles and one can also facilitate the establishment of one of a kind potentially real world class university while making sure that those laws are in compliance. It is my sincere opinion that the environment ministry is creating hurdles instead of just making sure that the laws are followed. Also, it is unfortunate that the HRD ministry has not taken notice of Vedanta
University and has not facilitated the creation of this potentially world class university. Please note that, as per [11] "the IIT Madras Campus was carved out of a natural forest that formed part of the Guindy National Park."
In any western country a foundation with a $1 Billion donation towards a new university would have been given red carpet treatment. In India, the HRD ministry does not even notice it and the Environment ministry is bordering on harassing the project. No wonder we do not have any world class university yet.
I know that there are various people and organizations that are opposed to the Vedanta University. Many of them because they have issues with the Vedanta company. Also, most of them do not have a grasp of what a world-class university is, and some with political objectives have even floated malicious rumors. Many of those objections have been addressed in great length at https://www.orissalinks.com/
I sincerely request that you urgently have a meeting with the HRD ministry, the environment ministry and the government of Orissa and facilitate the establishment of Vedanta University with full compliance of the laws of the land. In addition, please help Vedanta University to immediately start graduate programs in 2-3 areas of need while the various issues are expediently sorted out with your help.
Finally, Vedanta University was in the process of constructing the buildings for a top-notch medical school which would have been part of it. The environment ministry has stopped that. How much sense does it make to stop construction of a medical school in a state (Orissa) that lacks adequate medical facilities and that is at the bottom of many health parameters?
Please allow the medical school construction to resume at the earliest as by stopping the construction of a medical school, your environment ministry is playing with lives.
[1] http://budget.asu.edu/all-
[2] http://www.provost.harvard.
[3] http://www.stanford.edu/dept/
[4] http://rankings.ft.com/
[5] http://timesofindia.
[6] http://pib.nic.in/release/
[7] http://pib.nic.in/release/
[8] http://www.financialexpress.
[9] http://pib.nic.in/release/
[10] http://vedanta.edu.in/
[11] http://www.iitm.ac.in/
sincerely
Entry Filed under: Appeal to readers,Bhubaneswar-Cuttack-Puri- Khurda area (1),BJP attempt to steal it to Karnataka,Congress attempt to steal it to Andhra,Congress ruled Andhra's overture,Environment minister Jairam Ramesh, Congress MP from Andhra, creates hurdles,Vedanta University, Puri
13 Writeup
1. Amit Pasayat | August 2nd, 2010 at 1:18 pm
It is sad to see when people (Jairam Ramesh) play politics just to benefit certain section of people (AP/TN) and not ohers (Odisha). Any kind of constructive criticism would help the state and the county in long run but such an approach will only divide people based on poor and rich,educated and unedaucated,language,caste and many more thanks to our great politicians. But yes, lets not loose hope and do what we can, atleast send a mail.
2. Binod | August 2nd, 2010 at 11:39 pm
not just writing an e-mail. There shall be visible demonstrations. Every body will be interested in taking this high profile institution to their state.I doubted long before the intentions of this founder member of ISB (Indian School of Business). People of Odisha do not understand what they are loosing and how they are loosing.
These peoplewho were visible oposing BT Brinjal they certainly also oppose in Business, Businessman, Munafa khore etc. etc.
people who understand how these projects could help us to have some pride, they do not show…
We shall ve a strong desire to fight agains such apathies. As far as POSCO is concerned, when things are getting resolved in the locality, some maverick minister is coming on the way
3. Ranjan Nayak | August 3rd, 2010 at 11:47 pm
This kind of politics will only divide people. For people like this, India is still a divided nation and inclusive growth is far away. Unfortunately ODISHA don’t have powerful politicians at center who can turn the table. Still we should do our bit whatever we can. Also I hope Odisha politicians work for the state unitedly and fight at the center beyond party line.
4. rajat parida | August 7th, 2010 at 1:16 am
it is really sad of you people who are just swayed away by the motion unless your land has been losted by the vedanta mafias you people never feel how really it hurts. Do go to the spot do know throughly the MOU. then only you can be in a position to put an unbiased opinion. keep mum if you don’t have the courage to dig it further.
5. Chitta Baral | August 7th, 2010 at 1:27 am
Has your land been taken by Vedanta? Please tell us more.
6. Sarthak Satpathy | August 7th, 2010 at 4:41 pm
Mr parida,This is nothing but simply making our-self fool by giving such emotional excuses which comes in the way of great development & state’s interest.it’s not the company that is playing such politics ,but its the Netas,the babus & the specific group of people who are interested in there benefits,which let the common people & the company suffer.Its not the that Vedanta is the mafia…. the fact is that we all people have closed our eyes and dont want to see the actual fact.
and for your kind information, i am from the spot ….. Balighai
I hope this Dirty politics and these silly Blame games will end soon….and this will only happen when we ll know & accept the actual fact and support the actual side.
7. MEETA | August 7th, 2010 at 7:02 pm
Vedanta wants to do open top mining of bauxite in Niyamgiri hills displacing tribals without compensation. Besides there are mines in other areas of Orissa that have destroyed the land , air and water making it unfit for agriculture or decent living due to pollution while taking away flora and fauna that sustain life and biodiversity. High mechanisation will push tribals into cities and force them to work in mines taking away their lefestyle but not give them any benefit. MOU’s signed by GOI with mining companies will push 100 million tribals now living in forests and turn them into urban poor and we will resemble Peru. The universities proposed to be developed by Vedanta are private expensive beyond reach of the common middleclass of India as the tuition there will be on par with international universities aimed at profits – a money spinnign venture for Vedanta. Nothing altruistic about it where a few rich will benefit.
8. Chitta Baral | August 7th, 2010 at 9:20 pm
Various organizations and institutions including the Supreme Court have weighed on Niyamgiri. So no specific comments from me on that.
In regards to the university, such universities usually provide financial assistance to good students who can not afford to pay for their studies. This was mentioned as amendments to the Vedanta University bill. See http://www.orissalinks.com/archives/2829.
We need to look at what is beneficial for Odisha. The mining by various organizations will continue. If not Vedanta public sector NALCO is doing bauxite mining at other hill tops. Without benefits like the proposed university, we basically lose: mines continue, and we don’t get anything out of it.
9. SOURAV | August 12th, 2010 at 5:53 pm
We don’t need so called world class VEDANTA university, when our primary educational structure is in dismal state. We have IIT, NIT, NISER, VSSUT, CET, IIIT, IGIT, UU and some of the great government institution to take care of higher education. Everybody should know that a bright student in INDIA opts for government institutions for their sheer quality & reputation. Institutions like KIIT, ITER have become a place of below average/ rich students .A meritorious student wont opt for VEDANTA….if he gets selected in IIT or NIT or DU or JNU for sure. If Mr.Anil Agarwal has true interest for the development of educational system in odisha he should invest in primary education.As a student & a citizen of odisha I STRONGLY PROTEST VEDANTA UNIVERSITY.
10. Prof.Biswajit Mishra | August 13th, 2010 at 9:03 am
Dear Saurav, I appreciate your concern for better primary education. However, I can not accept your model of “great” government funded educational institutions. We have BITS-pilani (at Pilani, Goa, Hyderabad) and IIIT Hyderbad. BITS has an illustrated list of alumni, including Padmashri Prof.Goverdhan Mehta (former director of IISc) and presently national professor at Central university, Hyderabad. Prof. Mehta is a name in organic chemistry.
According to my colleagues from the Department of Computer Science and Engg, here at IITKgp, IIITH ranks as one of the top five computer schools in the country. Look at their faculty list and you will get the answer. I personally know one boy from Cuttack, who left NIT-Rkl this year, after attending classes,for IIITH, when he got in there after 5th (last) iteration. Both IISc and TIFR, two top schools, were started and funded by the Tatas. Hence, my dear, don’t only cite examples of KIIT/ITER. Look beyond. Hapy reading.
11. Odia Dude | August 14th, 2010 at 2:11 am
Just think about the higher education scenarios in Odisha in 1990s. There were few engg colleges including REC Rkl,Burla and OUAT to name a few. The situation was even worse for medical colleges. Basically there were too few seats and the competition was really tough (I know someone who had qualified for AFMC Pune , but couldn’t make it to SCB Medical college). As a result, many talented odia students were left out of their career choices. Some of them migrated to other states to persue higher education , but rather faced with unpleasant situations such as racism. Things really began to improve after Y2K. With the advent of educational reforms, a few private engineering colleges have been setup in odisha. KIIT is a great success story. Now there are dozens of engineering/medical colleges (many of them are private) including IIT have been setup across the state. So our students have many choices ( I am not sure about the quality of education ). Surely, Vedanta university can provide the much needed quality education. Every odia should support this project, as we all know successive central goverments have looted our state so much so , we are now among the poorest states despite having abundance of resources. Every odia should support privately funded projects especially funded overseas such as Vedanta or Posco, for the simple reason they can be more ethical than the Tatas or Birlas. Plus they are more competitive.
12. Raja | August 27th, 2010 at 3:22 am
Hi ,.I strongly support vedanta plans to set-up a world-class university in orissa also i have a great interest in the development of orissa in various sector.,as i am very new to this site,i just want that what i can do at my level for orissa.
13. random guy | November 28th, 2010 at 12:44 am
mr jairam ramesh is a phscologically and mentally disturbed, as we know for the development of any region there r some compromises with the environment , but he is very sarcastically supporting to andhra, he can also allot the adarsh society flats to war
widow , instead he is going to demolish the building , as the biggest fdi in india is Posco steel giant and he is said no to that also…..i’m praying him to get well soon…. this phsco bastard has passed his engineering in mit united states and he is a minister now , how fool he is…..due
to this bastards india is lacking behind china and still is a developing country in the world.